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Commentary

Composition scheme (India)

22 India

Suppliers who opt to register as composition dealers under the composition scheme apply the following rates of GST on their supplies:

  1. Ìý

    •ÌýÌýÌýÌý 1% of turnover for manufacturers of goods other than notified goods which are not eligible for the composition scheme – see the table below.

  2. Ìý

    •ÌýÌýÌýÌý 5% of turnover for suppliers of food or any other article for human consumption other than alcoholic drinks.

  3. Ìý

    •ÌýÌýÌýÌý 1% of turnover for any other suppliers of goods or services eligible for the composition scheme.

The following table sets out the notified goods that are not eligible for the composition scheme:

GoodsEffective period
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Web page updated on 17 Mar 2025 13:16