Most asked questions from the Government on GST.

Levy of and Exemption from Tax

Question 18

Q 18. Who are not eligible to opt for composition scheme?

Ans.   Broadly, following categories of registered person are not eligible to opt for the composition scheme:

(i) supplier of services other than supplier of restaurant service;

(ii) supplier of goods which are not taxable under the CGST Act/SGST Act/UTGST Act;

(iii) an inter-State supplier of goods;

(iv) person supplying goods through an electronic commerce operator who is required to collect tax at source under section 52;

(v) manufacturer of certain notified goods such as Ice Cream, Pan Masala and Tobacco products;

(vi) a casual taxable person and a non-resident taxable person.