ITC avial if he sale to composite schme dealor

On Sale No Question arise 

Input Claim

If registered dealer purchase from composition scheme dealer then he can avail ITC but if composition daeler is purchasing from registered or unregistered dealer he can not avail ITC.

If you are selling to composition dealer then you are not eligible for ITC as ITC is calculated on purchases not on sale items

Originally posted by : makkhan sharma
	UPASANA JI I THINK A COMPOSITION DEALER CANNOT CHARGE GST IN HIS INVOICE ,OTHERWISE SOMEONE CLAIM FOR ITC .READ AGAIN AND CLEAR IT .

You are exactly correct Mr. Makkhan Sharma...

Composition Dealer ll be issue Bill of Supply and Its not tax Invoice.

Registered Dealer ll be Purchased from Composition Dealer RD can't take/Claim ITC. Just he ll be loss his(RD) ITC