MCQ Test: India Unveils Major GST Overhaul to Boost Economy Amidst Global Headwinds

1. When are the announced GST reforms, termed 'GST 2.0', set to come into effect?

A) September 22, 2024 B) October 1, 2025 C) September 22, 2025 D) January 1, 2026

2. The GST Council approved a simplification of India's four-tier GST system into a more streamlined two-slab structure. What are the primary rates in this new structure?

A) 5% and 12% B) 12% and 18% C) 5% and 18% D) 18% and 28%

3. According to the reforms, what is the new GST rate for goods like toothpaste and shampoo?

A) 18% B) 12% C) 5% D) 28%

4. What is the revised GST rate for items such as small cars, air conditioners, and televisions?

A) 5% B) 12% C) 18% D) 28%

5. Which category of goods has been subjected to a new, higher 40% tax rate under the GST overhaul?

A) Essential goods and services B) Luxury and sin goods C) Agricultural products D) Pharmaceuticals and healthcare

6. What is a primary economic objective of these GST reforms, as stated by Minister Piyush Goyal, particularly in the context of recent global trade actions?

A) To increase India's export competitiveness B) To neutralize the adverse impact of US tariffs by boosting domestic demand C) To reduce the national debt D) To attract foreign direct investment (FDI)

7. Economists project what boost to India's GDP growth over 12 months due to these GST rationalizations?

A) Up to 10 basis points (bps) B) Up to 30 basis points (bps) C) Up to 60 basis points (bps) D) Up to 100 basis points (bps)

8. What reduction in retail inflation is anticipated over a full year as a result of the GST reforms?

A) Nearly 10 bps B) Nearly 50 bps C) Nearly 100 bps D) Nearly 200 bps

9. What significant change was announced regarding GST on health and life insurance premiums from September 22?

A) A 5% increase B) A 10% reduction C) Complete exemption D) Introduction of a new 12% slab

10. Which Indian state expressed concerns over significant annual revenue losses due to the GST rate reductions and called for central government intervention?

A) Maharashtra B) Uttar Pradesh C) Kerala D) Tamil Nadu

11. What was India's Services Purchasing Managers' Index (PMI) in August 2025, reaching its fastest growth in 15 years?

A) 50.1 B) 55.5 C) 62.9 D) 68.0

12. What was India's GDP growth for the April-June 2025 quarter?

A) 6.5% B) 7.0% C) 7.8% D) 8.2%

13. Coal India Ltd. is diversifying its portfolio by seeking bids for renewable projects. What is its target for total renewable energy capacity by March 2030?

A) 5 gigawatts B) 9.5 gigawatts C) 15 gigawatts D) 20 gigawatts

14. Which of the following industry bodies welcomed the GST reforms, anticipating improved compliance and reduced classification disputes?

A) NASSCOM and ASSOCHAM B) SEBI and IRDAI C) FICCI and CII D) RBI and SBI

15. Which of these items is NOT explicitly mentioned as being subject to the new higher 40% GST rate for 'super luxury' and 'sin' goods?

A) Cigarettes B) Cars with engine capacity exceeding 1,500 cubic centimeters C) Carbonated beverages D) Imported electronics

ALL TN Comp Exams Prep

India Unveils Major GST Overhaul to Boost Economy Amidst Global Headwinds

Your Score: 0 / 0

1. When are the announced GST reforms, termed 'GST 2.0', set to come into effect?

2. The GST Council approved a simplification of India's four-tier GST system into a more streamlined two-slab structure. What are the primary rates in this new structure?

3. According to the reforms, what is the new GST rate for goods like toothpaste and shampoo?

4. What is the revised GST rate for items such as small cars, air conditioners, and televisions?

5. Which category of goods has been subjected to a new, higher 40% tax rate under the GST overhaul?

6. What is a primary economic objective of these GST reforms, as stated by Minister Piyush Goyal, particularly in the context of recent global trade actions?

7. Economists project what boost to India's GDP growth over 12 months due to these GST rationalizations?

8. What reduction in retail inflation is anticipated over a full year as a result of the GST reforms?

9. What significant change was announced regarding GST on health and life insurance premiums from September 22?

10. Which Indian state expressed concerns over significant annual revenue losses due to the GST rate reductions and called for central government intervention?

11. What was India's Services Purchasing Managers' Index (PMI) in August 2025, reaching its fastest growth in 15 years?

12. What was India's GDP growth for the April-June 2025 quarter?

13. Coal India Ltd. is diversifying its portfolio by seeking bids for renewable projects. What is its target for total renewable energy capacity by March 2030?

14. Which of the following industry bodies welcomed the GST reforms, anticipating improved compliance and reduced classification disputes?

15. Which of these items is NOT explicitly mentioned as being subject to the new higher 40% GST rate for 'super luxury' and 'sin' goods?

India Unveils Major GST Overhaul to Boost Economy Amidst Global Headwinds

Your Score: 0 / 0

1. When are the announced GST reforms, termed 'GST 2.0', set to come into effect?

2. The GST Council approved a simplification of India's four-tier GST system into a more streamlined two-slab structure. What are the primary rates in this new structure?

3. According to the reforms, what is the new GST rate for goods like toothpaste and shampoo?

4. What is the revised GST rate for items such as small cars, air conditioners, and televisions?

5. Which category of goods has been subjected to a new, higher 40% tax rate under the GST overhaul?

6. What is a primary economic objective of these GST reforms, as stated by Minister Piyush Goyal, particularly in the context of recent global trade actions?

7. Economists project what boost to India's GDP growth over 12 months due to these GST rationalizations?

8. What reduction in retail inflation is anticipated over a full year as a result of the GST reforms?

9. What significant change was announced regarding GST on health and life insurance premiums from September 22?

10. Which Indian state expressed concerns over significant annual revenue losses due to the GST rate reductions and called for central government intervention?

11. What was India's Services Purchasing Managers' Index (PMI) in August 2025, reaching its fastest growth in 15 years?

12. What was India's GDP growth for the April-June 2025 quarter?

13. Coal India Ltd. is diversifying its portfolio by seeking bids for renewable projects. What is its target for total renewable energy capacity by March 2030?

14. Which of the following industry bodies welcomed the GST reforms, anticipating improved compliance and reduced classification disputes?

15. Which of these items is NOT explicitly mentioned as being subject to the new higher 40% GST rate for 'super luxury' and 'sin' goods?

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