composition scheme
raja sekar (1435 Points)
25 September 2017
can a retailer who sells fruits like banana guava and rice opt for composition scheme.
7 Replies
RAMESH KUMAR SINGLA
(PROFESSIONAL)
(1777 Points)
Replied 25 September 2017
Composition scheme covers supply of any kind of goods or services. Section 10 of CGST Act may be seen in this regard. Pl see restrictions in section 10(2) in this regard.
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 25 September 2017
| Originally posted by : raja sekar | ||
 |
can a retailer who sells fruits like banana guava and rice opt for composition scheme. |  |
Yes... He can.....
But, Small Drawback is Calculate tax on Full turn over.
It means, You ll calculate T/O tax on full sales valu like (taxable Value + Exempted Value = Turn Over (x) 1%)
raja sekar
(1435 Points)
Replied 25 September 2017
The dealer cannot supply GST exempted goods. Does this condition apply only for dealers.
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 25 September 2017
Please explain one more...
I can't understand dear...
What is retailer business...?
He is registered or not...?
I can't understand dear...
What is retailer business...?
He is registered or not...?
raja sekar
(1435 Points)
Replied 26 September 2017
He is registered. He sells directly to consumers B2C. He runs a retail shop which sells both exempted and taxable goods. The condition says " a DEALER registered under composition scheme cannot supply exempted goods ". Now the question is does the word DEALER refers only B2B or both B2B and B2C?
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 26 September 2017
Where is "The condition says " a DEALER registered under composition scheme cannot supply exempted goods"....?
A composition dealer can't give services only. Also the condition except to restuarent business....
Coming to the point...
Your said way (composition dealer) can deal the exempted goods and taxable goods. Also he can sell above said fruits. No more restriction except services....
But,
Condition says, you ll be calculate tax (1% / 2 = 0.5% + 0.5%) your turn over.
Composition dealer's turn over calculate is "Taxable Sales + Exempted Sales (Exempted, Zero Rated & Nil Rated) = Total Turn Over.....
A composition dealer can't give services only. Also the condition except to restuarent business....
Coming to the point...
Your said way (composition dealer) can deal the exempted goods and taxable goods. Also he can sell above said fruits. No more restriction except services....
But,
Condition says, you ll be calculate tax (1% / 2 = 0.5% + 0.5%) your turn over.
Composition dealer's turn over calculate is "Taxable Sales + Exempted Sales (Exempted, Zero Rated & Nil Rated) = Total Turn Over.....
Recent Topics
- Applicability of 44AD needs clarification
- ITC reversal in GST 3B
- Claim if ITC on stocks 19-2020 conversion from com
- Urgent doubt on GST
- Profit or Loss on Sale of Assets Accounting treatm
- Clarification on RCM on Rent Payment for QRMP Deal
- Reclaimed itc in gstr9
- Gamification in Accounting Software: Boosting Enga
- I want to knw Hsn code and gst rate of resin produ
- Schedule FA clarification
Related Threads
CAclubindia
