Sir composition dealer of goods is allowed to provide service up to RS. 5 lacs or 10% of Turnover whichever is higher. Now sir if composition supplier is receiving rent income with in above limit. Whether he should charge GST 18% or he cannot charge anything and it is added in his composition turnover and pay 1% GST on Turnover

Reply—As per CGST (Amendment) Act, 2018 (w.e.f. 01.04.2019) composition dealer (supplier of goods) may supply services of value not exceeding ten per cent of turnover in a State or Union territory in the preceding financial year or five lakh rupees, whichever is higher. Rate of tax (1%) will be applicable on sale of goods as well as on supply of services. Composition dealer cannot charge 18% GST on rental income.

However if value of supply of service will be more than 10% of turnover and value of such Service also exceeding Rs. 5 lakhs, the taxpayer would not be able to continue his registration as a composition dealer, he will be required to opt out from the scheme.