Form GST CMP – 02 is required to avail the process of filing under the Composition Scheme for the YR 2020-21.
Eligibility Criteria
Who can avail this Composition scheme:-
- Assesses who do not want an ITC Credit & having aggregate turnover (at PAN level) below Rs. 1.5 Crore in the previous financial year can apply to the above scheme
Process –
- To Apply on the GST Portal for the composition scheme for the financial year, 2020-21
- Businesses or Individuals being already in composition scheme in the previous financial year are not required to re-apply for composition again for FY 2020-2021.
- FORM GST CMP-02 for the application up needs to be filed on or before 31st March 2020 on the common portal.
Navigate on the GST Portal is as follows:
- Log-in>Services > Registration > Application to opt for Composition
- Levy>filing form GST CMP-02>file application under DSC/EVC.
- A composition scheme will be available w.e.f. 1st April 2020. to the taxpayer once the application is done on the portal.
Transition:-
For the compliance till date, taxpayers as regular assesses in the previous financial year & opting-in composition scheme for 2020-21 must file ITC-03 for reversal of ITC credit on stocks of Inputs, semi-finished goods and finished goods as per records within a period as prescribed.
Return /Payment
Businesses opting for composition shall file FORM GST CMP-08 quarterly & are required to pay GST.
They are also required to file GSTR-4 annually.
Latest Updates
- Navigating GST Changes: 5 Essential Updates on E-Way Bill and E-InvoiceNavigating GST Changes: 5 Essential Updates on E-Way Bill and E-Invoice As we step into the new financial year 2025-26, businesses must gear up for key compliance changes in GST, particularly concerning E-Invoicing and E-Way Bills. These aren’t just procedural formalities—they’re critical documents that validate tax liability and the movement of […]
- Pros and Cons of Presumptive Taxation Scheme for ProfessionalsPros and Cons of Presumptive Taxation Scheme for Professionals To reduce the compliance burden for small professionals, the Income Tax Act introduced the Presumptive Taxation Scheme under Section 44ADA. This scheme is especially useful for professionals like doctors, lawyers, architects, engineers, and others specified under Section 44AA. What is Section 44ADA? […]
- Understanding Form 3CD Amendments: What Changed from April 1, 2025Understanding Form 3CD Amendments: What Changed from April 1, 2025 The Central Board of Direct Taxes (CBDT), via Notification No. 23/2025 dated March 28, 2025, has introduced key amendments to Form 3CD under the Income-tax Rules, 1962. These changes come into effect for all tax audit reports signed on or after […]
- GST Compliance Checklist for Financial Year 2025-26GST Compliance Checklist for Financial Year 2025-26 Strategic Review & Action Plan for Businesses As the new financial year 2025–26 begins, businesses must undertake a comprehensive introspection of their GST compliance framework. This includes both substantive law changes and procedural reforms. With several amendments becoming effective from April 1, 2025, aligning […]
- Mutual Funds and Stocks: Understanding Capital Gains Tax Implications in 2025Mutual Funds and Stocks: Understanding Capital Gains Tax Implications in 2025 Investing in mutual funds and stocks is a time-tested route to building wealth. However, returns from these assets attract capital gains tax, and staying informed about tax rules is crucial to avoid unexpected liabilities. As of 2025, the tax landscape for investors […]