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composition scheme

05 July 2017

I am a manufacturer of Namkeen my turnover is under 75 lakhs but I supply my goods to wholesalers and retailers as well. do I m eligible for composition scheme ?

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6 Replies

RAMESH D MODI (Proprietor) (4869 Points)
Replied 05 July 2017

yes why not
but your wholesaler customers

can not claim tax credit

1 Like

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Shanky Khamdelwal (10 Points)
Replied 05 July 2017

As per GST Act any person can opt for composition scheme having turnover less than 75 lakhs from one entity/under one registration .It is irrespective that Whether the goods are supplied as wholesaler or retailer but should be supplied within the State

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CA Rashmi Gandhi (Chartered Accountant) (86323 Points)
Replied 05 July 2017

You can.

But the problem is that retailer are unable to get any ITC of goods purchased.

So they may be less intresered to deal wid you.

Better to consult with them before opting for Composition scheme.

2 Like

Bhavya Mulchandani (9 Points)
Replied 06 July 2017

there was a statement last weak by an expert in Abp news that if u r below 75lacks nd deal with only end users or consumers then only you are eligible for composition scheme.

RAMESH D MODI (Proprietor) (4869 Points)
Replied 06 July 2017

No
i dont agree bcoz there is no such restriction in law. U can opt the option of composition and can sale your good within the state irrespective that whether your customer is consumer, retailer or wholesaler.