When aggregate turnover of business during financial year does not exceed Rs.1.5 Crore for goods (Rs.75 lacs for special category states) and Rs.50 lacs for services, it can avail the benefit of composition scheme u/s 10 of GST Act.
- Aggregate Turnover is sum of taxable sales, exempt sales, exports and inter-state sales. It excludes amount of tax and purchases on which tax is payable under reverse charge
- Aggregate Turnover is calculated on all India basis for all the business working on same PAN
- Business having same PAN but multiple registrations i.e. GSTINs for different states can opt for Composition Scheme for one GSTIN and not for others
- Special category states include Arunachal Pradesh, Assam, Jammu & Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh and Uttarakhand