composition scheme

106 views 4 replies

Mitesh Shah

Article

92 Points Joined February 2016

what if a person is in composition scheme under section 10 and he supply two types of goods.one is taxable @ 18% and one is Nil or exempt supply

Total supply @ 18 % goods is 300000/- and

Nil/ Exempt supply is 500000/-

what is the total taxable amount ?

Note/- He is mfg and 1% rate is applicable to him..

And another question is whether he can avail credit if he has paid GST under RCM

Replies (4)

Vijay Boliya

54 Points Joined June 2018

Under section 10 taxable person supply the exempt supply is ineligible under the composition scheme, department remove him from u/s 10( Read section 10 eligibility conditions). Section 10 supplier no eligible for any itc whether forward charges or RCM.

Mitesh Shah

Article

92 Points Joined February 2016

ok thanks

Pankaj Rawat

GST Practitioner

55067 Points Joined June 2017

Composition Dealer can sell exempted Goods & and not liable to charge GST on same As per Notification 1/2018 CT .

Composit dealer is not allowed provide any services

No ITC is available as per section 16 CGST Act , to taxpayer Registered (Composit Dealer) under section 10 CGST Act , Hence
Composition Dealer cannot avail ITC on the GST deposited under RCM