About the Composition Scheme:
♦ Whose turnover is below 1.5 Crore in other states or 75 lakhs in North-Eastern states and Himachal Pradesh (Notification No. 14/2019 – Central Tax dated 07th March, 2019). Such person can provide services up to 10% of turnover or Rs. 5 lakh whichever is higher.
♦ For Service provider the turnover limit is Rs. 50 lakhs, who is purely engaged in providing services.
♦ Following persons cannot opt for composition scheme:
♦ To opt for scheme taxpayer is required to file GST CMP-02 to the Government intimating to opt for the scheme at the beginning of the FY.
♦ Turnover for Trader means turnover of taxable supply of goods only.
Conditions to be complied by Composite Dealers:
Tax Rate applicable to Composite Dealers:
Sr. No. | Type of Dealer | Applicable tax Rate |
1 | Manufacturer or Trader | 0.5% CGST + 0.5% SGST = 1%
(Notification No. 1/2018-Central Tax dated 01st January, 2018) |
2 | Person providing restaurant service | 2.5% CGST + 2.5% SGST = 5% |
3 | Service Provider | 3% CGST + 3% SGST = 6% |
Applicable Returns and due date of the same:
Sr. No. | Financial Year | Returns and Challans Forms | Due Date |
1 | 2017-18 | GSTR 4 – Quarterly return giving details of outward supplies and tax payable thereon
GSTR 9A – Annual Return |
GSTR 4 – 18th of next month after the end of the relevant quarter
GSTR 9A – 31st Jan-2019 |
2 | 2018-19 | GSTR 4 – Quarterly return giving details of outward supplies and tax payable thereon
GSTR 9A – Annual Return |
GSTR 4 – 18th of next month after the end of the relevant quarter
GSTR 9A – 30th Sep-2020 |
3 | 2019-20
Onwards |
CMP-08 – Quarterly payment of tax
GSTR 4 – Annual Return [Notification No. 02/2019– Central Tax (Rate), dated the 7th March, 2019] |
CMP-08 – 18th of next month after the end of the relevant quarter
GSTR 4 – 30th April of next FY |
Extension in view of Current Pandemic: