Explanation
Composition scheme under CGST Section 10: Eligible: manufacturers and traders with AATO ≤ ₹1.5 crore (₹75 lakh for special category states). Restaurant services (not serving alcohol): AATO ≤ ₹1.5 crore. Service providers: ≤ ₹50 lakh AATO under Section 10(2A). Rates: Manufacturer/trader: 1% of turnover. Restaurant: 5%. Services: 6%. Composition taxpayers cannot: collect GST from customers, claim ITC, make inter-state supplies. They file CMP-08 quarterly challan and GSTR-4 annual return. Not eligible: ice-cream, tobacco, pan masala manufacturers, and those making inter-state outward supplies. Verify on the GST portal before filing.