Composition Scheme — The applicant, admittedly has two lines of business, one for the supply of goods andother for the supply of services. There is no dispute that both the activities of the applicant are taxable and also supplied by the same person. The applicant states the annual aggregate turnover of both the activities put together is not more than Rs. 50 Lakhs. The applicant has sought advance ruling in respect of the following questions: 1. Whether he is eligible to be in the composition scheme as his aggregate turnover is much less than Rs. 50,00,000? 2. Whether the rate of composition tax applicable is 1% for the turnover of goods (sales) and 6% for the turnover of service (rent). The two separate taxes amounts to be totalled and paid or is it 6% as a whole for the aggregate turnover of goods and service turnover that is to be paid? Held that— The applicant is eligible to be in the composition scheme under Section 10 of the CGST Act, 2017 if the turnover of services of the applicant does not exceed ten per cent of turnover in a State or Union territory in the preceding financial year or five lakhrupees, whichever is higher. The applicant is not eligible to opt to pay tax under the Notification No.2/2019-Central Tax (Rate) dated 07.03.2019 and under the Notification (02/2019) No. FD 48CSL 2017 dated 07.03.2019 of the Government of Karnataka as the applicant is registered as a Composition Taxpayer. The rate of tax applicable on the entire value is 3% CGST and 3% KGST and he cannot pay tax at 1% on supply of goods and 6% tax on the supply of services. — Sri. Ghalib Iqbal Sheriff M/S. Emphatic Trading Centre, In Re… [2020] 23 TAXLOK.COM 007 (AAR-Karnataka)