In this article, we’re going to take a closer look at GST Registration under the composition scheme.

Can a person who applies for new registration under GST choose to submit a composition at the time of the application for registration?

The person can avail the option of composition scheme by filling the details in Part-B of Form GST REG – 01, and this will be considered as the intimation to pay tax under the composition scheme. The option to pay tax under the composition levy be exercised at any time of the year by giving intimation in FORM GST CMP – 02.

Can a person with the same PAN request separate registration for all branches or say that all companies choose to pay taxes under the composition scheme?

If a taxable person has multiple business verticals where each such vertical has separate registration under the same PAN, then a composition scheme shall be applicable for each such business vertical or registered branch. So, if more than one registered person has the same PAN, the registered person is not entitled to choose the composition scheme unless and until all businesses decide on the composition scheme. If the one registered branch or business vertical opts out from the composition scheme, all registered persons under the same PAN must deregister from the composition scheme.