A prop. concern brought waste plastic from unregistered sources and purchased raw materials from registered dealers. He is manufacturing plastic rope and crushed the waste plastic as powder and collect purely labour charges.
He done purely labour, manufacturing, and processing. he is willing to opt composition under GST, it is eligible or not pl.clarify any experts.
Hlo, since he is a manufacturer of plastic rope, labour work can be included in the production cost. So you have to consider the following,
A taxpayer whose turnover is below Rs 1.5 crore* can opt for Composition Scheme. In case of North-Eastern states and Himachal Pradesh, the limit is now Rs 75* lakh.
As per the CGST (Amendment) Act, 2018, a composition dealer can also supply services to an extent of ten percent of turnover, or Rs.5 lakhs, whichever is higher. And also he cannot make inter state supplies.
This is my opinion regarding it.
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