Answer

1. F

   Facts

   Yes. A composition taxpayer must pay tax under reverse charge on notified supplies at the normal rate, without composition rates and without ITC. This is paid through CMP-08.

2. P

   Provisions and law

   • Sec 9(3), CGST Act 2017Recipient pays tax on notified supplies under reverse charge
   • Sec 10(4), CGST Act 2017A composition taxpayer cannot collect tax from customers and cannot take ITC
3. A

   Analysis

   Example: a composition trader pays Rs 50,000 freight to a GTA under reverse charge. He pays 5 percent, Rs 2,500, in CMP-08 and cannot claim it back. If he rents a commercial property from an unregistered landlord and that falls under notified reverse charge for his case, tax applies there too. Check notified RCM categories each year.

4. C

   Conclusion

   1. 1Review expenses for notified reverse charge items
   2. 2Compute tax at the normal rate
   3. 3Report and pay in CMP-08
   4. 4Do not treat it as ITC

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.