Author: abhishek

No, the registered person whose aggregate turnover in the preceding financial year does not exceed seventy-five lakh rupees (subject to fifty lakh rupees in case of specified states as prescribed under Notification 08/2017-Central Tax, dated 28.06.2017), may opt to pay tax subject to satisfaction of the following conditions:
1. he is not engaged in the supply of services other than supplies referred to in clause (b) of paragraph 6 of Schedule II (Restaurant Services);
2. he is not engaged in making any supply of goods which are not leviable to tax under this Act (like petrol, diesel, alcohol liquor for human consumption, etc.);
3. he is not engaged in making any inter-State outward supplies of goods;
4. he is not engaged in making any supply of goods through an electronic
commerce operator who is required to collect tax at source under section 52; and
5. he is not a manufacturer of such goods as may be notified by the Government on the recommendations of the Council:
However, manufacturers of ice cream, pan masala, tobacco and tobacco substitutes are not eligible for composition scheme.

(ICAI FAQ PUBLICATIONS 06-09-2017 COMPOSITION LEVY: FAQ NO. 54)

Section 10(1) of the CGST Act, 2017 prescribes, subject to such conditions and
restrictions as may be prescribed, that the rate of tax shall not exceed:
1. one per cent of the turnover in State or turnover in Union territory in case of a manufacturer;                                                                                                                                       2. two and a half per cent, of the turnover in State or turnover in Union territory in case of persons engaged in making supplies referred to in clause (b) of paragraph 6 of Schedule II; and
3. half per cent, of the turnover in State or turnover in Union territory in case of other suppliers.

(ICAI FAQ PUBLICATION 06-09-2017 COMPOSITION LEVY: FAQ NO. 53)