Services by composition dealer

SIR, 

GOVT HAS ANOUNCED THAT "Composition dealers to be allowed to supply services (other than restaurant services), for upto a value not exceeding 10% of turnover in the preceding financial year or Rs 5 lakhs whichever is higher"

MY QUESTION IS - HOW MUCH WOULD BE THE RATE OF TAX?? SHOULD WE COLLECT 18% FROM SERVICE RECEIPIENT PAY TO THE GOVT OR WE HAVE TO PAY 1% OF SERVICE TURNOVER..?? KINDLY CLARIFY MY DOUBT..

THANK YOU.

Replies (2)
good question , my query is same , anyone there to clarify this doubt ???

Though till date there is no notification/clarification by CBEC in this regard, but a composition dealer is not allowed to charge GST over supply, nor receiver is allowed to claim any ITC, means regular tax cannot be levied. Or 1% to be paid from suppliers pocket. (unless GST council modifies it to 5% rate)

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