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Composition to regular

MANJEET (JOB) (59 Points)

27 July 2020

Hi Dear
Agr kisi ko composition se regular me jana hai to kya kre gst registration dobara krre ya fir amendment kre plz tell me.

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9 Replies

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 27 July 2020

File an intimation in Form GST CMP-04 online.

A composition tax payer who wants to become a regular tax payer should file an intimation for withdrawal from the composition scheme in Form GST CMP-04.

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Nidhi (Chief Accountant) (3150 Points)
Replied 27 July 2020

Can person claim ITC on closing stock, when he/she becomes convert to regular from composition?

2 Like

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 27 July 2020

Yes, Registered Person can claim ITC on inputs, inputs in semi-finished or finished goods and capital goods in stock when he/she becomes a regular dealer from composition.

1 Like

Nidhi (Chief Accountant) (3150 Points)
Replied 27 July 2020

There is any procedure, means any form to claim that

2 Like

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 27 July 2020

The person moving to the regular scheme has to furnish a statement in Form GST ITC-01 containing details of the stock of inputs, inputs in semi-finished or finished goods held on the day before the date on which he becomes liable to be a regular dealer.
Furnishing of Form GST ITC-01 enables the dealer to claim ITC on inputs, inputs in semi-finished or finished goods and capital goods in stock when he/she becomes a regular dealer and it has to be furnished within 30 days after filing Form GST CMP-04.

1 Like

Nidhi (Chief Accountant) (3150 Points)
Replied 27 July 2020

Thanks..Mr. Sagar Patel

2 Like

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 27 July 2020

Most welcome 😊

Rags Nayak (2 Points)
Replied 27 July 2020

Is composition tax payer liable to pay reverse charge on frieght

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 27 July 2020

Yes, Composition taxpayer is also required to pay GST under Reverse charge as like Regular taxpayer on freight subject to exemption,
like if bill is less than 750/- than no RCM ect.

1 Like