Composition scheme under GST(Aggregate turnover)

Rahul (Article) (89 Points)

05 December 2021  
In case of sec 10(1)/(2) of CGST Act,2017, while calculating Aggregate turnover, should we also take into account current year turnover for Rs. 150/75 lakhs limit.

For example, if in FY 19-20, aggregate turnover is 130 lakhs and in current FY 20-21, turnover is Rs.40 lakhs, do we then calculate aggregate turnover as Rs. 170 lakhs and consequently become ineligible for composition scheme. Is this the meaning of Explanation 1?
Thank you.