Question 19 - What are the benefits available to small tax payers under the GST regime? - Faq On GST (2nd Edition) Dated 31.3.2017

Q 19. What are the benefits available to small tax payers under the GST regime? Ans. Tax payers with an aggregate turnover in a financial year up to [Rs.20 lakhs ₹ 10 Lakhs for NE and special category states] would be exempt from tax. Further, a person whose aggregate turnover in the preceding financial year is less than ₹ 50 Lakhs can opt for a simplified composition scheme where tax will payable at a concessional rate on the turnover in a state. [Aggregate turnover shall include the aggregate value of all taxable supplies, exempt supplies and exports of goods and/or services and exclude taxes viz. GST.] Aggregate turnover shall be computed on all India basis. For NE States and special category states, the exemption threshold shall be [Rs. 10 lakhs]. All taxpayers eligible for threshold exemption will have the option of paying tax with input tax credit (ITC) benefits. Tax payers making inter-State supplies or paying tax on reverse charge basis shall not be eligible for threshold exemption.