Kamal who is proprietor of Kamal General Store a registered supplier under composition scheme in the state of Uttar Pradesh, shut down his Store and disposed off stock as follows: Donated stock of 200 kg rice to slums, c

Answer 1(b) Donation of 200 kg Rice to Slums (Cost: ₹25,000) GST Treatment: Since Kamal is registered under the composition scheme and did not claim Input Tax Credit (ITC) on the rice, the donation is not considered a "Supply" under GST. Provisions of Schedule I are not fulfilled. Transfer of 50 kg Pulses to Brother (Cost: ₹20,000) GST Treatment: Transfer of goods to a related party (e.g., family member) without consideration is treated as a "deemed supply" under Schedule I of the CGST Act, 2017, even if ITC was not claimed. Sale of Scrapped Empty Bags and Cartons (Sale Value: ₹6,500) GST Treatment: The sale of scrap is treated as a "Supply" under GST, regardless of the amount or the fact that Kamal is under the composition scheme. Consumption of 100 kg Flour by Family (Cost: ₹12,000) GST Treatment: Personal consumption of goods purchased for business purposes is treated as a "deemed supply" under GST. Since Kamal consumed the flour within his family, it is considered a supply. Total Taxable Supply: ₹20,000 + ₹6,500 + ₹12,000 = ₹38,500 Kamal would be required to pay GST on this amount under the composition scheme.