a. Higher exemption threshold limit for registration for exclusively supply of goods increased to ₹.40 lakh from ₹.20 lakh, except persons engaged in making intra-State supplies in the States of Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Puducherry, Sikkim, Telangana, Tripura, Uttarakhand; and subject to the conditions of the notification (Notification No. 10/2019–CT dt. 07.03 2019)
b. Composition scheme has been extended to the services also, by an amendment in Rule 7 under CGST Rules, 2017 whereby Composition Rules‘ have changed to Composition Levy‘. Hence, the latest Composition Levy is as under:
|
Sl. |
Category of registered persons |
Rate of tax (CGST + SGST) |
| (1) | (2) |
(3) |
| 1. | Manufacturers, other than manufacturers of such goods as may be notified by the Government | One per cent. of the turnover in the State or Union Territory |
| 2. | Suppliers making supplies referred to in clause (b) of paragraph 6 of Schedule II | Five per cent. of the turnover in the State or Union Territory |
| 3. | Any other supplier eligible for composition levy under section 10 and the provisions of this Chapter | One per cent. of the turnover of taxable supplies of goods and services in the State or Union Territory |
(Notification No. 03/2019–CT dt. 29.01.2019 and corresponding State Notifications)
c. Turnover limit for Composition Scheme has been increased to ₹.1.5 crore from ₹.75 lakh for all States except States namely (i) Arunachal Pradesh, (ii) Assam, (iii) Manipur, (iv) Meghalaya, (v) Mizoram, (vi) Nagaland, (vii) Sikkim, (viii) Tripura, (ix) Himachal Pradesh for which the aggregate turnover limit is increased to ₹.75 lakh from ₹.50 lakh
(Notification No. 14/2019–CT dt. 07.03.2019)
d. A new Composition Scheme for intra State supply of goods or services or both has been launched vide which first supplies of goods or services or both upto an aggregate turnover of fifty lakh rupees made on or after the 1st day of April in any financial year, by a registered person, shall be levied at 6%, subject to the conditions as specified in the corresponding entry in notification.
(Notification No.02/2019–CT(R) dt. 07.03.2019)Edit This Article
