Question

Assertion (A): The entire tax collected under IGST is paid to the account of central Government.

Reason (R): The GST collected on the supply of goods or services in case of interstate trade within India or in case of imports/Exports is called IGST.

विकल्प

• A is true, R is false

• A is false, R is true

• Both A and R are true

• Both A and R are false

Answer 1

Both A and R are true

Explanation:

Reason (R) correctly defines IGST it is the tax on inter‑state supplies and on imports/exports and IGST is collected by and credited to the Central Government. In practice the entire IGST is first paid into the Centre’s account and then settled/transferred to the destination state as required.