Live Course on Drafting of Appeal and Reply of Penalty Notice by CA Sachin Sinha. Register Now!!

Composition dealer ITC

s.murali (commercial manager) (186 Points)

26 April 2018

Dear All, Interstate composition dealer raised invoice GST charged @ 18% ,(9% +9%) is it correct.If correct take the ITC. Pl.Give your suggestion.

Reply
Follow
Share

6 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14234 Points)
Replied 26 April 2018

Composition dealer can not issue Tax invoice nither he can collect the tax also inter state supply goods not applicable to him as per section 10 of the cgst act 2017 . he only can issue bill of supply

Pankaj Rawat (GST Practitioner) (55037 Points)
Replied 26 April 2018

First of all Composit dealer cannot supply Interstate, he cannot collect GST, he is liable charged GST on turnover & rate is 1%
u cannot take ITC

s.murali (commercial manager) (186 Points)
Replied 26 April 2018

Thankyou very much for quick reply. But one thing Bill of supply issued charged Gst 18% ,take ITC

prasad Nilugal ( GST Practitioner & Accounts ) (14234 Points)
Replied 26 April 2018

No composition dealer can not charge GST in bill of supply and thefore no qustion of ITC

1 Like

s.murali (commercial manager) (186 Points)
Replied 26 April 2018

thankyou

George Thomas (131 Points)
Replied 27 April 2018

composition dealer cannot do sales to the states.he can do purchases only.he can issue only Bill of supply.pls check whether he is registered under composition scheme.if then u can file the same in unregistered purchase only it seems.mostly u should give reverse tax.

1 Like