COMPOSITE DEALER

[SURYAKANT MITHBAVKAR]

Under Composite Dealer The rate applicable to the supplies (i.e. Manufacturer supply & Traders Supply) is the rate at which GST has to be paid.

AI Summary

Composite Dealers Must Pay 1% GST on Turnover, Cannot Charge Customers or Avail Input Tax Credit. A query regarding the Goods and Services Tax (GST) for composite dealers was raised, discussing the applicable rates for manufacturer and trader supplies. It was clarified that composite dealers must pay GST at a rate of 1% (0.5% CGST and 0.5% SGST) but cannot charge this tax to customers in their invoices. Additionally, composite dealers are not eligible to avail Input Tax Credit (ITC). The tax is to be paid on the turnover, and the dealer cannot pass this tax onto the customer.