Composite dealer limit for 1.5cr or 2cr

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This discussion clarifies the Goods and Services Tax (GST) composite scheme turnover limits for businesses dealing in both goods and services. It explains that a taxpayer registered under the regular scheme can convert to the composite scheme, but the overall turnover threshold is either Rs 1.5 crore or Rs 50 lakh, not a combined Rs 2 crore. The limits for goods and services are distinct within the composite scheme, with specific rules for service provision based on turnover or a fixed amount.

Kollipara Sundaraiah

Kollipara Sundaraiah (Querist)
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14 August 2020 A taxpayer at present gst regular scheme registered under gst act.tax payer both type of goods and services business running.if a tax payer gst regular scheme conversion( change) to composite scheme registration
Doubt:
Tax payer for selling goods turnover limit rs:1.5cr pay tax @ 1%and for services turnover Limit rs:50 lacs pay tax @6% total composite scheme dealer turnover threshold limit rs1.5cr or 2 cr applicable in gst act.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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15 August 2020 Turnover limit applicable 1.50cr.
Composition dealer can provide services to an extent of 10% of turnover or Rs 5 lakh, whichever is higher, if they are a manufacturer or trader.

Lekhraj sood

Lekhraj sood (Expert)
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15 August 2020 These are two composition scheme. One of Rs.1.5 cr limit and the other Rs.50 lakhs. You cannot opt for both schemes simultaneously. So your t/o limit will be either 1.5 cr. or 50 lakhs but not Rs. 2 crores.

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