GST Composition Scheme

According to GST law, Rs 50 per day is charged as late fee for delay in filing GSTR-4. However, where the total amount of tax payable is nil, a maximum of Rs 500 can be imposed as late fee.

Under the VAT system, the compensation mechanism linked to the cut in central sales tax from 4% to zero had created bad blood between the union govt and the states

A five per cent tax is levied on restaurant owners, two per cent on traders and one per cent on manufacturers under the composition scheme

Assessees registered under scheme rise to 1.5 million in about two months

Taxpayers were earlier given time till August 16 to opt for composition scheme

Only 1 mn entities opted for the scheme, meant for specific small businesses

Nearly 7.1 mn excise, service tax and VAT assessees have migrated to the GST Network till July 25

The objective of the Composition Scheme is to bring in simplicity and to reduce the compliance cost