Sources have stated that under GST or goods and services tax, the new indirect tax regime, you are not required to register or pay tax if your annual turnover is below Rs 20 lakh. This has been said by the Central Board of Excise and Customs on multiple platforms. This limit is Rs 10 lakh for Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, Sikkim, Uttarakhand and Himachal Pradesh.
Sources have stated the composition levy is an alternative method of levy of tax designed for small taxpayers with turnover is up to Rs 75 lakh. It enables taxpayers to make payments at a flat rate under GST, without input credits. An alternate upper limit of Rs 50 lakh is applicable in a few states Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, Sikkim and Himachal Pradesh.
Those with annual turnover up to Rs 75 lakh can opt for composite scheme. The tax rates will be 1% for traders, 2%for manufacturers and 5% for restaurants. Moreover with online registration, return, payment, refund and other processes, delays and discretions would be reduced.
