Who cannot opt for composition scheme?

[Tax with Ria]

Part 2- Who cannot opt for composition scheme ?

• A person making inter-state supplies
• A casual taxable person-“Casual taxable person” means a person who occasionally undertakes transactions involving supply of goods or services or both in the course or furtherance of business, whether as principal, agent or in any other capacity, in a State or a Union territory where he has no fixed place of business.
• A non-resident taxable person
• A person engaged in the supply of non-taxable goods under the GST law (Non- taxable goods under GST are supplying Alcohol for human consumption only, Petroleum, Aviation Turbine fuel, Motor spirit, natural gas, high speed diesel, real estate sector)
• A supplier who has exceeded the turnover threshold limit (i.e exceeded 75 laks/1.5cr /50 lakhs) specified for opting into the composition scheme, and
• Businesses which supply goods through an e-commerce operator . Eg. Supplying goods through Amazon, Myntra, meesho etc.
• Manufacturers of ice cream, pan masala, or tobacco (Not Traders)
• Manufacturers of bricks, including building bricks, bricks of fossil meals or similar siliceous earths, earthen or roofing tiles, and fly ash bricks and blocks.(Not Traders)

Hence the above mentioned persons cannot opt for composition scheme under 10(1)&10(2) or 10(2A) as discussed in Part 1 of my recent posts.

Part 1 - Thread 'Small GST taxpayers covered under Composition levy' https://bekifaayati.co/threads/small-gst-taxpayers-covered-under-composition-levy.1590/

 

[arjungoyal12]

My Sister runs a D2C selling essential oils business. Her Annual turnover is between 75 Lakhs to 1 Crore. Will she be eligible for GST composition scheme?

 

[Tax with Ria]

My Sister runs a D2C selling essential oils business. Her Annual turnover is between 75 Lakhs to 1 Crore. Will she be eligible for GST composition scheme?

Yes, she will be eligible to claim composition scheme provided she's not residing Nagaland,Sikkim, Tripura, Mizoram, Meghalaya, Manipur, Arunachal Pradesh, Uttarakhand

 

[anuragmukherjee28]

Yes, she will be eligible to claim composition scheme provided she's not residing Nagaland,Sikkim, Tripura, Mizoram, Meghalaya, Manipur, Arunachal Pradesh, Uttarakhand

How much is the limit for these states like nagaland, sikkim, tripura , mizoram , meghalaya , manipur, arunachal pradesh and uttarakhand ??

 

[Tax with Ria]

How much is the limit for these states like nagaland, sikkim, tripura , mizoram , meghalaya , manipur, arunachal pradesh and uttarakhand ??

Their maximum turnover limit to opt for composition scheme in these states is 75 laks