Small Trader/Manufacturers /Restaurants
You can now option for availing the composition scheme till 30th September 2017,and avail its benefit from 1 October ,2017
Those with annual turnover Rs.75 Lakh can option for composition scheme in which case the tax rate will be as follows.
GST Rate of composition
Trader -1% Manufacturer -2% Restaurant-5%
- In service sector, composition scheme is available only for one sector –restaurant.
- The composition scheme is not available for manufacturer for tobacco and manufacture tobacco substitute, pan-masala & ice cream and edible ice whether or not containing cocoa.
- Tax payer who option for composition scheme ,have to file only one quarterly return with details of tot turnover .invoice with details are not necessary ,bill of supply will suffice .first such return for the quarter July - September ,2017 has to be filed by 18th October .Form GSTR-4A not to be filed for this quarter.
- Small taxpayers are not required to give HSN code in their return.
- However, in composition scheme no input tax credit can be taken or passed on.
- With online registration, return, payment, refund & other processes delays and discretion would be reduced.
- Reduced compliance burden.
- Special dispensation for job - work to help job workers in the GST regime.
*This limit is Rs.50 Lakh for Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, Sikkim and Himachal Pradesh.