Good Morning, Good Evening, Good Afternoon to everyone who
is watching me.
If you remember, in the last lecture, we had started the
chapter on Composition Scheme.
What type of people was this Composition Scheme brought for?
We saw that the small businessmen who had a turnover of Rs
1.5 crore in normal states last year, and in special
category states, there was a turnover of Rs 75 lakhs in the
preceding financial year, they had the option to come under
the Composition Scheme.
Now what happens in this Composition Scheme is that a
different category has been made for goods and services.
There are three categories for goods.
1. Traders 2.
Manufacturers other than Paan, Masala, Tobacco 3.
Restaurant Service Providers
These three categories have been made.
The rates for these three categories are also different.
5% rate for restaurants and 1% rate for traders and
manufacturers.
In the case of services, the threshold limit that we had to
check was Rs 50 lakhs.
If your turnover is more than Rs 50 lakhs last year, then
you can come under the Composition Scheme.
If your turnover is more than Rs 50 lakhs last year, then
you cannot come under the Composition Scheme for services.
And what was the rate for services?
It used to be 6% rate for services.
Then we also read that in the Composition Scheme, you
cannot collect taxes from customers.
You have to collect taxes from your own pocket at the end
of the year.
Quarterly payment works in this.
Quarterly tax payment works in this.
And annual return goes in this.
You have to collect taxes from your own pocket according to
the specified percentages.
You cannot collect input tax credit at the time of
purchases.
These were some of the things we read.
Then we did a very solid analysis on the definition of
aggregate turnover.
The analysis was that you add everything to the turnover.
Taxable supplies, exempt supplies, exports.
You add all these things.
What do you have to minus?
You have to minus the taxes like CGST, SGST.
You have to minus the inverted supplies on which you have
paid taxes in reverse charge.
That thing will be minused.
But in this, you have to look at it branch-wise or you have
to look at it according to the same pan.
We then saw that we do not look at it branch-wise.
You have to combine all the branches all over India.
Combine their turnover.
Then see if it is exceeding 1.5 crores, exceeding 50 lakhs
or not.
You have to check the turnover of all the branches all over
India.
You do not have to check the turnover of specific branches.
These were some of the points we read.
Then we also read some conditions in this.
What are the conditions that you have to fulfil?
In this, it was said that you are a manufacturer.
So, you should not be a manufacturer of tobacco.
You should not be an inter-state supplier of goods.
If you are a person from Delhi, then it is not that you are
supplying goods in Haryana.
If this happens, then your conditions cannot be fulfilled.
Then you have to come out of the composition scheme.
These were some of the things we read.
Yes, but if you do inter-state purchases, that is allowed.
That was allowed to you.
So, these were some of the points we read.
This topic was left in the middle.
Now, let us assume that we have finished 70-80% of the
topic.
The main thrust of this chapter is over.
Now, there is a small portion of this chapter left.
We will finish it in 10-15 minutes.
You go to your home. I will go to my home.
Let's go.
Come.
This is a very fresh topic.
Marginal supply of services along with supply of goods.
What is he trying to say?
He is talking about a situation.
Try to understand the situation.
The situation is...