Ashok supplies goods to Bhanu who further supplies such goods to Chetan on behalf of Ashok. The consideration for such supply was guaranteed by Bhanu if not paid by Chetan. State the relationship as per provisions of CGS

CS Executive · Tax Laws · PYQS · December 2021
Ashok supplies goods to Bhanu who further supplies such goods to Chetan on behalf of Ashok. The consideration for such supply was guaranteed by Bhanu if not paid by Chetan. State the relationship as per provisions of CGST Act, 2017 between Ashok and Bhanu.
(A) Principal - Agents
(B) Principal - Third Person
(C) Seller - Buyer
(D) Principal - Del credere Agent

Answer & Explanation:

Correct Answer: Option (D)

Official answer key: (D).

Topics: GST

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