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When can I opt for the Composition Levy?

QuestionsCategory: GSTWhen can I opt for the Composition Levy?
AayushPareek Staff asked 1 month ago

When can I opt for the Composition Levy?

1 Answers
NidhiJain Staff answered 1 month ago

In order to avail this scheme, you need to file an online application to Opt for Composition Levy with the tax authorities. Taxpayers who can opt for this scheme can be categorized as below:
 
1. Migrated Taxpayers: Any taxpayer who are migrated from earlier laws and who have been granted provisional registration would file an application for composition within 30 days prior to or after the appointed day.
 
2. New Taxpayers: Any person who becomes liable to register under GST Act, after the appointed day, shall file his option to pay composition amount in the Application for New Registration in Form GST REG-01.
 
3. Existing Taxpayers: Any taxpayer who is registered as normal tax payer under GST regime shall file an application to opt for Composition Levy at least 7 days prior to the commencement of financial year for which the option to pay tax under the aforesaid section is exercised.