Opting out of composition scheme- return filing criteria?

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This query is : Resolved

Harish Soni (Querist)

29 November 2018 Hi,
What would be the ideal time period to opt of composition scheme?
And how much time does it take to opt out of composition scheme?

What are the implications of opting out on return filing?
For Example :
If I opt out of composition scheme on 30/11/2018, do I need to file GSTR 1 for the months oct and november or GSTR 4?

Example 2 :
If I opt out of composition scheme on 31st December 2018? Do I need to file just GSTR-4 for the 3rd quarter or do I need to file GSTR-1?

And also, if I apply on a particular date for opting out, will it be applicable from same day or not?

CS Advocate Abhishek Goyal

CS Advocate Abhishek Goyal (Expert)

30 November 2018 There is no such thing as ideal time to opt out of composition scheme. Only thing to remember is that it is better to opt out of composition after the end of a particular quarter and not in the middle.
Example 1- It all depends upon your dashboard shown on GSTN portal.
Example 2- You only need to file GSTR-4.
It is applicable on the day of opting out.
You can take credit of GST paid stock if any as lying on the penultimate day of opting out of composition by filling online form ITC-01 within 30 days of opting out.

Harish Soni

Harish Soni (Querist)

08 December 2018 @CS Abhishek Goyal
Thank you for the response.
I think you cleared all of my doubts.

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