GST composition scheme: turnover limit and tax rates (Rs 1.5 crore)

You can opt for the composition scheme if your aggregate turnover is up to Rs 1.5 crore (Rs 75 lakh in North-Eastern states and Himachal Pradesh). The rate is 1% of turnover for traders and manufacturers, 5% for restaurants not serving alcohol, and 6% for eligible service providers, whose separate limit is Rs 50 lakh. You pay this flat rate but cannot claim input tax credit, cannot make inter-state outward supplies, and cannot charge GST on invoices. To opt in for a year, file Form CMP-02 by 31 March before that year begins, then file CMP-08 quarterly and an annual return.