Hello,
My question is, What is the effect on stock in hand, if previously I was in Normal Scheme in VAT and now I want to convert to Composition Scheme in GST?
The following info I received when I googled about this:
"When switching from normal scheme to composition scheme, the taxpayer shall be liable to pay an amount equal to the credit of input tax in respect of inputs held in stock on the day immediately preceding the date of such switchover. The balance of input tax credit after payment of such amount, if any lying in the credit ledger shall lapse"
What does this mean?
CAclubindia
