Sir
One franchisee of Baskin Robbins ice cream having turnover of less than Rs 1 cr wishes to go for composition scheme. Whether he can go for composition scheme since he is trading only in icecream and not selling any snacks to treat his services as restaurant. Please clarify.
Frah Saeed Answered question May 28, 2020
Yes as he is not engaged in manufacturing of ice cream, he can very well opt for composition scheme, there is no impediment. However decision to choose composition scheme should be made in an informed manner considering ITC cannot be availed and tax also cannot be recovered from customers.
Team Clearmytax.in
Frah Saeed Answered question May 28, 2020