TMI BlogOpening stock under Composition SchemeX X X X Extracts X X X X X X X X Extracts X X X X ..... Under composition rules, a dealer can not opt for composition scheme if his stock on the appointed day contains 2% CST Stock. My query is this, whether there is any way that he can opt for Composition scheme by paying the difference tax as in the case of stock purchased from unregistered dealer? Regards Kavita Sharma - Reply By Ganeshan Kalyani - The Reply = A registered person, whose aggrega ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te turnover in the preceding financial year did not exceed seventy five lakh rupees, may opt to pay, in lieu of the tax payable by him, an amount calculated at such rate as may be prescribed subject to some condition. In my veiw there is no condition as mentioned in your query. Please mentioned the provision to which you are referring. - Reply By KASTURI SETHI - The Reply = Dear Querist, There ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is restriction. It is not disputed. There is no provision for payment of CST for seeking eligibility for such scheme. However, your idea is good and full of stance. You may make representation to Chairperson GST Council and email to the Council. Next meeting is on 5.8.2017. Council may take up your point being full of reason and logic. - Reply By Kavita Sharma - The Reply = The dealer's aggr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... egate turnover did not exceed seventy five lakhs Rupees in the previous year. Now under GST, he wants to opt the composition scheme. His stock on the appointed day contains inter-state purchases i.e. on 2% CST. In terms of Rule 3(1) of the Composition Rules , the person exercising the option to pay tax u/s 10 i.e Composition levy, he has to comply with the certain cumulative conditions, ou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t of which one condition is:- The Goods held in stock by him on the appointed day have not been purchased in the course of inter-state trade or commerce or imported from a place outside India or received from his branch situated outside the State or from his agent or principal outside the State, where the option is exercised under sub-rule (1) of Rule 1 In view of above rule , please rev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iew my query Regards - Reply By KASTURI SETHI - The Reply = After going through the above provisions cited by you, my reply is same. - Reply By MADAN RAHEJA - The Reply = On the basis of facts quoted by you, it appears that you may not be eligible for Composition Scheme at present. But you can plan opting for the scheme from next financial year by ensuring fulfillment of conditions. In su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ch a case you have to make application in FORM CMP 02 prior to commencement of financial year. For the present, you can think acting on the advise of Sh. Kasturi Sethi because a provision for such payment exists in case of goods purchased from unregistered dealer. - Opening stock under Composition Scheme - Query Started By: - Kavita Sharma Dated:- 14-7-2017 Goods and Services Tax - GST - Got 5 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
