Composition scheme for service provider

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This query is : Resolved

Sanket Galande (Querist)

23 March 2019 Dear Sir,
One of my client is in medical services. He is running a clinic along with a medical. He is billing both services medical as well as clinic ( Surgery, etc) from a single GST No. Total Turnover of his business is as follows :
1. Trading in Medicines (Retail) is upto Rs. 70 Lakhs
2. Turnover from OPD (General Practice) is Rs. 20 Lakhs (Exempt Service)
3. Turnover from Surgeries (Cosmetic & Plastic Surgery) is upto Rs.20 Lakhs (Taxable)

Thus, his total turnover for FY 2018-19 is below Rs.1.5 Cr. Whether He can opt for Composition Levy for Services (Turnover Below Rs.50 Lakha) & Goods (Turnover Below Rs. 1 Cr) for FY 2019-20 ?

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Thanks & Regards,

CA Parag Lunkad,
SUNSVG & Associates | Chartered Accountants | 020- 27515581/ 82/83 |

CA Anita Bhadra

CA Anita Bhadra (Expert)

24 March 2019 In my view

Your client can not opt either composition scheme under sec 10 or new 6% composition scheme

Reasons are :
For composition scheme under sec 10 , W.e.f. 01.Feb.19, the suppliers shall be allowed to supply services to the extent of 10% of the turnover or Rs. 5 Lakhs, whichever is higher.

6 % composition scheme is available to registered persons whose aggregate turnover, including exempt supplies in the preceding financial year, was 50 lakhs rupees or below. Turnover has to be seen on PAN-India basis.

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