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switch to composition scheme

19 July 2018

what a person has to do when he switch from composition scheme ? his ledger will not show any ITC then further how he will take benefit of it

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2 Replies

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 19 July 2018

In case of opting out from composition scheme Registered person can file ITC 01, to avail the ITC on inputs/capital goods as on the day immediately preceding the day in which he opts out from composition

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Vinod Babu (24191 Points)
Replied 19 July 2018

Yes, you are eligible for input tax credit on inputs held in stock and inputs contained in semi-finished or finished goods held in stock as on date on which you have converted yourself from composition scheme to regular scheme.