9911796707
TMI BlogGST Composition SchemeX X X X Extracts X X X X X X X X Extracts X X X X ..... GST Composition Scheme X X X X Extracts X X X X X X X X Extracts X X X X ..... s comparatively low than those prescribed for normal taxpayers. The threshold limit of composition scheme extended from INR 1 crore to INR 1.5 crore which shall also include 10% provision of normal taxpayer annual turnover within the composition scheme if in case the given 10% is provided as the service. The illuminating feature of this scheme is that the business or person who has opted to pay ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x under this scheme can pay tax at a flat % of turnovers every quarter, instead of paying tax at normal rate every month. Who is eligible for Composition scheme? * Small traders and manufacturers having a turnover of INR 1.5 crore paying 1% GST * Service providers and suppliers of both goods and services with a turnover of INR 50 lakh paying 6% GST. Who is not eligible for Composition scheme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ? * Services supplier other than restaurant related services * Ice cream, pan masala, or tobacco manufacturers * inter-state supplies individuals * A non-resident taxable person or a casual taxable person * Businesses supplying goods through an e-commerce operator Advantages of registration under composition scheme: * Limited tax liability * Least involvement of compliances * High ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liquidity as taxes are at a lower cost Disadvantages of registration under composition scheme: * A dealer is barred from carrying out inter-state transactions which result in the limited territory of business. * Composition dealers will have no input tax credit * E-commerce supply portal cannot be taken in operation to supply exempt goods or goods. If a composition scheme taxpayer is not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... furnishing the returns for two consecutive tax periods and a regular taxpayer who has not filed returns for a consecutive period of two months would not be allowed to generate e-way bill. It would act as an incentive for small and upcoming businesses to accept the composition scheme without any fear of compliance resulting in relieving taxpayers from the burden of filing a detailed and hulking ret ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urn. X X X X Extracts X X X X X X X X Extracts X X X X
|
