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100+ Free CA Final Paper 5: IDT Practice Questions

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Key Facts: CA Final Paper 5: IDT Exam

100 marks

Total Marks

ICAI Final Paper 5 Syllabus

3 hours

Exam Duration

ICAI Final Paper 5 Syllabus

80 marks

GST Weightage (Part I)

ICAI Final Paper 5 Syllabus

20 marks

Customs and FTP (Part II)

ICAI Final Paper 5 Syllabus

30%

Compulsory MCQ Portion

ICAI Assessment Pattern

2023

New Scheme Edition

ICAI New Scheme of Education and Training

ICAI CA Final Paper 5 (Indirect Tax Laws) is a 100-mark, three-hour Group II paper under the New Scheme of Education and Training, 2023. Part I covers Goods and Services Tax for about 80 marks and Part II covers Customs Law and Foreign Trade Policy for about 20 marks. The paper mixes roughly 70% descriptive questions with about 30% compulsory case-scenario MCQs that carry no negative marking. High-weight GST chapters include input tax credit, time and value of supply, and refunds; Customs valuation is a frequently tested area in Part II.

Sample CA Final Paper 5: IDT Practice Questions

Try these sample questions to test your CA Final Paper 5: IDT exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1Under the CGST Act, 2017, GST is levied on intra-State supplies of goods or services at the rate notified, but the levy under Section 9(1) of the CGST Act specifically excludes which of the following?
A.Supply of restaurant services
B.Supply of online information database access services
C.Supply of alcoholic liquor for human consumption
D.Supply of works contract services
Explanation: Section 9(1) of the CGST Act, 2017 levies CGST on all intra-State supplies of goods or services or both except on the supply of alcoholic liquor for human consumption. Alcoholic liquor for human consumption remains outside the GST net and is taxed by States under State excise/VAT.
2Petroleum crude, high-speed diesel, motor spirit (petrol), natural gas and aviation turbine fuel are currently:
A.Permanently excluded from GST by the Constitution
B.Taxable only under IGST when imported
C.Taxed under GST at the standard 18% rate
D.Outside GST until the GST Council notifies a date for their levy
Explanation: Section 9(2) of the CGST Act provides that CGST on the five specified petroleum products shall be levied with effect from such date as may be notified by the Government on the recommendations of the GST Council. Until that date they remain outside GST and are subject to central excise and State VAT.
3A registered person located in Maharashtra supplies goods to a customer in Gujarat. The applicable tax on this transaction is:
A.CGST and SGST
B.IGST only
C.CGST, SGST and IGST
D.SGST of Gujarat only
Explanation: An inter-State supply (supplier and place of supply in different States) attracts IGST under Section 5 of the IGST Act, 2017. Since the supplier is in Maharashtra and the place of supply is in Gujarat, the supply is inter-State and only IGST is leviable.
4As per Schedule I of the CGST Act, which of the following is treated as a supply even when made without consideration?
A.Permanent transfer of business assets on which input tax credit has been availed
B.Free samples distributed to unrelated customers
C.Gifts to an employee not exceeding fifty thousand rupees in a financial year
D.Sale of goods to an unrelated customer at a discount
Explanation: Schedule I, entry 1 treats the permanent transfer or disposal of business assets as a supply even without consideration, but only where input tax credit has been availed on such assets. This prevents a person from enjoying ITC and then disposing of the asset GST-free.
5Under Section 8 of the CGST Act, a composite supply comprising two or more taxable supplies, one of which is a principal supply, shall be treated as a supply of:
A.The supply that has the highest value
B.The supply that attracts the highest rate of tax
C.The principal supply
D.Each component taxed separately at its own rate
Explanation: Section 8(a) provides that a composite supply is treated as a supply of the principal supply and taxed at the rate applicable to that principal supply. A mixed supply, by contrast, is taxed at the rate of the component attracting the highest rate of tax under Section 8(b).
6Goods Transport Agency (GTA) services supplied to a registered body corporate, where the GTA has not opted to pay tax under forward charge, are taxed under:
A.Composition scheme by the GTA
B.Exemption from GST
C.Forward charge by the GTA
D.Reverse charge by the recipient
Explanation: Under Section 9(3) and the relevant notification, GTA services to specified recipients (including a body corporate) are subject to reverse charge unless the GTA has opted to pay under forward charge. The recipient discharges the GST liability on the freight.
7The threshold aggregate turnover for compulsory GST registration for a supplier engaged exclusively in supply of goods in a normal category State (not a special category State) is:
A.Rs. 10 lakh
B.Rs. 20 lakh
C.Rs. 40 lakh
D.Rs. 75 lakh
Explanation: For a supplier engaged exclusively in the supply of goods, the threshold for compulsory registration in normal category States is Rs. 40 lakh (subject to specified exclusions). For services or mixed supplies the threshold is generally Rs. 20 lakh.
8As per Section 22 read with the relevant rules, a person making any inter-State taxable supply of goods is:
A.Required to register only if supplying to registered persons
B.Required to register only after crossing Rs. 20 lakh turnover
C.Compulsorily required to register irrespective of turnover
D.Exempt from registration up to Rs. 40 lakh
Explanation: Section 24 mandates compulsory registration for persons making inter-State taxable supplies, irrespective of the threshold. A special exemption from this compulsory registration exists for inter-State supply of services and handicraft goods up to Rs. 20 lakh, but for general goods the compulsory registration rule applies.
9Under Section 12 of the CGST Act, where the invoice is issued within the period prescribed under Section 31, the time of supply of goods is:
A.The earlier of the date of issue of invoice or the last date for issuing the invoice
B.The date of entry in the books of the recipient
C.The date of receipt of payment only
D.The date of removal of goods only
Explanation: For goods, the time of supply under Section 12(2) is the earlier of the date of issue of the invoice (or the last date by which it should have been issued under Section 31) or the date of receipt of payment. Note that for goods, the receipt-of-payment trigger was removed by notification, leaving the invoice date as the operative trigger in most cases.
10In the case of supply of services taxable under reverse charge, the time of supply under Section 13(3) is the earlier of the date of payment or:
A.The date immediately following 60 days from the date of issue of invoice by the supplier
B.The date immediately following 30 days from the date of issue of invoice
C.The date of receipt of services
D.The date of issue of invoice by the recipient
Explanation: Under Section 13(3), for services under reverse charge the time of supply is the earlier of the date of payment or the date immediately following 60 days from the date of issue of the invoice by the supplier. For goods under reverse charge the corresponding period under Section 12(3) is 30 days.

About the CA Final Paper 5: IDT Exam

CA Final Paper 5, Indirect Tax Laws, is a Group II paper under the ICAI New Scheme 2023. It tests GST (about 80 marks) and Customs and Foreign Trade Policy (about 20 marks) across a 100-mark, three-hour exam combining descriptive questions with compulsory case-based MCQs.

Assessment

Question count not published by the exam provider

Time Limit

3 hours

Passing Score

40% in the paper and 50% group aggregate, subject to ICAI exemption rules

Exam Fee

Included in the consolidated ICAI CA Final examination fee; no separate per-paper fee is published (Institute of Chartered Accountants of India (ICAI))

CA Final Paper 5: IDT Exam Content Outline

80 marks

Part I: Goods and Services Tax (GST)

Levy and collection under CGST/IGST, supply, place, time and value of supply, input tax credit, registration, tax invoice, e-way bill, returns, payment including reverse charge and TDS/TCS, refunds, job work, assessment, audit, demands, appeals and advance ruling.

Within 20 marks

Part II: Customs Law

Levy and exemptions from customs duty, types of duty, classification and valuation of imported and export goods, import and export procedures, warehousing, duty drawback and refund under the Customs Act, 1962.

Within 20 marks

Part II: Foreign Trade Policy (FTP)

Basic concepts of FTP, legislation and administration under the FTDR Act and DGFT, contents of FTP, import and export basics, and export promotion schemes such as Advance Authorisation, EPCG and RoDTEP.

How to Pass the CA Final Paper 5: IDT Exam

What You Need to Know

  • Passing score: 40% in the paper and 50% group aggregate, subject to ICAI exemption rules
  • Assessment: Question count not published by the exam provider
  • Time limit: 3 hours
  • Exam fee: Included in the consolidated ICAI CA Final examination fee; no separate per-paper fee is published

Keys to Passing

  • Work through all 100 available questions
  • Review every answer and explanation
  • Track weak areas and revisit them
  • Use our AI tutor for tough concepts

CA Final Paper 5: IDT Study Tips from Top Performers

1Allocate roughly 80% of your effort to GST and 20% to Customs and FTP, mirroring the official marks split.
2Practise case-based MCQs because the compulsory MCQ section rewards quick, accurate application of provisions.
3Master input tax credit, time and value of supply, and refunds, which are high-weight and frequently tested GST chapters.
4For Customs, focus on valuation, types of duty and procedures, which carry most of the Part II marks.
5Track the amendment cut-off date notified by ICAI for your attempt so you study the correct version of the law.
6Maintain a chart of due dates, thresholds and rates (e.g., 180-day ITC rule, refund limitation) for quick revision.

Frequently Asked Questions

What is CA Final Paper 5?

CA Final Paper 5 is Indirect Tax Laws, a Group II paper of the ICAI CA Final under the New Scheme of Education and Training, 2023. It is a 100-mark, three-hour paper covering GST, Customs Law and Foreign Trade Policy.

How are marks split between GST and Customs in CA Final Paper 5?

ICAI divides the paper into Part I, Goods and Services Tax, for about 80 marks, and Part II, Customs and Foreign Trade Policy, for about 20 marks. GST is therefore the dominant portion of the syllabus.

Does CA Final Paper 5 have MCQs?

Yes. About 30 marks of the paper are compulsory case-based multiple-choice questions, with the remaining 70 marks as descriptive questions. The MCQ portion carries no negative marking.

What is the passing requirement for CA Final Paper 5?

A candidate generally needs 40% in the paper and 50% in aggregate across the group. ICAI also grants paper-wise exemption where a candidate scores 60% or more in a paper, subject to its rules.

Which chapters are most important in CA Final Indirect Tax Laws?

Input tax credit, time and value of supply, refunds and place of supply are high-weight GST chapters, while customs valuation is a frequently tested Part II area. These reward repeated practice and case-based MCQs.

Is the syllabus updated for amendments?

Yes. ICAI notifies the amendments and notifications applicable for each examination attempt, and study material is updated to those cut-off dates. Candidates should always check the applicability statement for their attempt.