Composition Taxpayers cannot issue Tax Invoice; CBIC warns Restaurants doing Malpractice

The Central Board of Indirect Taxes and Custom(CBIC) has issued a clarification that a person registered as composition taxpayer cannot issue taxable invoice and can neither collect GST from his customers nor can claim ITC on his purchases.

In a recent the Central Board of Indirect Taxes and Customs has stated that.

The Tweet goes like, “As per GST law, a person registered as composition taxpayer cannot issue taxable invoice and can neither collect GST from his customers nor can claim input tax credit on his purchases.”

“The fact as to whether a person is a regular taxpayer or a composition taxpayer can be verified on the GST portal under “ Search Taxpayer” -> “Search by GSTIN/PAN” tab under the heading “Taxpayer Type”. The url for the same is https://services.gst.gov.in/services/searchtp”