ORDER NO. 11/2017-GST: INTIMATION IN FORM GST CMP-03

Order No. 11/2017-GST has been issued by the CBEC to provide clarity on the procedure for opting for composition scheme under GST.

The order specifies that taxpayers who want to opt for the composition scheme must file Form GST CMP-02 before the start of the financial year.

If a taxpayer fails to file Form GST CMP-02 before the start of the financial year, they will not be eligible for the composition scheme for that year.

Taxpayers who are already registered under the composition scheme under the previous tax regime must file Form GST CMP-03 to opt for the composition scheme under GST.

The order also clarifies that taxpayers who opt for the composition scheme cannot claim input tax credit.

The composition scheme is available to taxpayers with an annual turnover of up to Rs. 1.5 crore.

Taxpayers who opt for the composition scheme must pay tax at a lower rate than the normal GST rate, but they are also subject to certain restrictions and conditions.