Composition Scheme vs Regular GST Scheme: Which is Better for Retail Stores?

The Core Difference in Small Business GST Options

Section 10 of the CGST Act offers small retailers with annual turnover up to ₹1.5 Crore the option to pay a simplified quarterly turnover tax (1% for manufacturers and traders). However, composition dealers cannot collect GST from customers, cannot issue tax invoices (they issue a "Bill of Supply"), and cannot claim Input Tax Credit on their purchases.