Kindly clear it.
1) If a composition dealer purchases goods or services from Unregistered person, is composition dealer liable gst under reverse charge mechanism?
2) if a registered person purchases goods or services from composition scheme dealer, is such registered person liable to pay gst under reverse charge mechanism?
Whatever the circumstances may be, the composition dealer will be required to pay GST on his own, at the rate specified for him @ 1%.
Reverse Charge Mechanism will not have any effect on such transactions.
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