To analyse whether a business should register under the composition scheme or not, the following factors should be considered: 









































 
Composition Scheme
Regular Scheme
Nature of CustomersSales to unregistered or composite dealers not ready to pay GSTSales to registered dealers ready to pay GST
Claim Input Tax CreditNot claim ITC since purchase is from unregistered or composite dealers Claim ITC of GST paid on purchases from registered dealers
Type of SaleBusiness making only Intra-state salesBusiness making Inter-state sales
Goods or ServicesSale of taxable goods or services Sale of non-taxable goods or services
E-Commerce SalesNo plans to sell online through e-commerce portal Plan to sell online through e-commerce portal  
Record KeepingAvoid record keeping and accounting Maintain accounting and record keeping