Poonawalla fincorp
Poonawalla fincorp

Composition scheme


07 August 2017 Dear All,

If any person opting composition scheme and purchase goods worth Rs 15000 from unregistered dealer, is he liable to pay tax under RCM on those goods which was purchased from unregistered dealer, if yes then is he eligible for Credit of taxes paid by him under RCM or that tax amount is considered as cost?? please refer any provision if possible

07 August 2017 RCM applicable as a registered dealer is purchasing from unregistered. No credits available. Refer section 10(4).

08 August 2017 it mean person opting the composition scheme also liable to pay tax under RCM if they purchase from unregistered dealer


08 August 2017 No credits available. But, Considered as cost. After the items value is higher than regular dealer......



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