Composition scheme for a Broker
Yash Morakhia (107 Points)
22 October 2019
Can a Mutual Fund broker or a share broker be registered under composition scheme for service providers ?
3 Replies
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 22 October 2019
As per Sub-section (2A) of Section 10, Yes. can opt for composition scheme whose Aggregate Turnover do not exceed 50lac in Preceding FY. but with few restrictions :
1. cannot Supply Interstate
2. Cannot supply goods or services. which is not leviable to Tax
3. Required to pay 6% GST on turnover (Cannot collect tax from Recepient)
4. No ITC available
Hence if above conditions fulfilled , can opt for said scheme
1. cannot Supply Interstate
2. Cannot supply goods or services. which is not leviable to Tax
3. Required to pay 6% GST on turnover (Cannot collect tax from Recepient)
4. No ITC available
Hence if above conditions fulfilled , can opt for said scheme
Yash Morakhia
(107 Points)
Replied 23 October 2019
Thanks for such a detailed reply. So even if the person is a sub-broker, he can opt for the scheme right?
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 24 October 2019
Yes ............................ subject to conditions mentioned above
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