GST Turnover Limit for Supplier of Goods

GST Turnover Limit for Supplier of Goods

Home » Learn » GST in India » GST Turnover Limit for Supplier of Goods

GST Turnover Limit for Supplier of Goods

The Central Board of Indirect Taxes and Customs have recently come up with two notifications through which the turnover limit for suppliers of goods under the existing composition scheme has been increased and the threshold limit for exemption from GST registration has been provided.

Turnover Limit for Composition Scheme

With effect from 1st April, 2019, as per notification no. 14/2019 – Central Tax dated 7th March, 2019, the eligible registered person, whose aggregate turnover in the previous financial year didn’t exceed INR 1.50 Crore, can opt for composition scheme.

The aggregate turnover for the specified states of Arunachal Pradesh, Sikkim, Manipur, Tripura, Meghalaya, Uttarakhand, Mizoram and Nagaland would be INR 75 Lakhs.

The person who is engaged in manufacturing of following the goods would not eligible to avail composition scheme benefit –

Sr. No. Tariff Description of goods
1 2105 00 00 Ice-cream and other edible oil whether or not containing cocoa
2 2106 90 20 Pan masala
3 24 All goods (Tobacco and manufactured tobacco substitutes)

Turnover Limit for Exemption from GST Registration

New threshold limit for exemption from GST registration for a supplier of goods is being provided at notification no. 10/2019-Central Tax dated 7th March 2019. As per the said notification, the person who is engaged exclusively in the supply of goods and whose aggregate turnover in the financial year does not exceed INR 40 Lakhs is exempt from obtaining GST registration.

However, following are the exception to the said exemption i.e. following categories of persons are required to obtain registration even if they fall within the exemption limit –

  • Persons who are required to obtain compulsory registration under GST law;
  • Persons engaged in supplying the following goods –
Sr. No. Tariff Description of goods
1 2105 00 00 Ice-cream and other edible oil whether or not containing cocoa
2 2106 90 20 Pan masala
3 24 All goods (Tobacco and manufactured tobacco substitutes)
  • Persons who are engaged in making intra-state supplies in the States of Meghalaya, Arunachal Pradesh, Mizoram, Manipur, Puducherry, Nagaland, Telangana, Uttarakhand, Tripura, Sikkim.
  • Persons who are voluntarily registered and wants to continue their registration.

Other Related Guides

GST on Liquidated Damages GST on Liquidated Damages - Advance Ruling Authority Liquidated damages are the common terminology used by the parties under a contract. With regard ...
34th GST Council Meeting 34th GST Council Meeting 34th GST Council meeting was held on 19th March 2019 and decision with regard to the implementation of lower GST rate on rea...
GST on Renting of Motor Vehicle GST on Renting of Motor Vehicle The indirect tax implication on renting of motor vehicles service has always driven the attraction because of its com...
GST Rate Changes GST Rate Changes - 22nd GST Council Meeting GST rates for goods and services are decided by the GST Council in India. Based on the recommendations of...
Zero Rated, NIL, Exempted and Non-GST Supply Zero Rated, NIL, Exempted and Non-GST Supply The terms zero rated, nil rated, exempted and non-taxable supply under GST have always been misused and ...

Post by Shushma

IndiaFilings is India's largest online compliance services platform dedicated to helping people start and grow their business, at an affordable cost. We were started in 2014 with the mission of making it easier for Entrepreneurs to start their business. We have since helped start and operate tens of thousands of businesses by offering a range of business services. Our aim is to help the entrepreneur on the legal and regulatory requirements, and be a partner throughout the business lifecycle, offering support at every stage to ensure the business remains compliant and continually growing.