# Who Cannot Opt for Composition?
## Comparison — Goods scheme vs Services scheme
| Disqualifier | u/s 10(1) & (2) — Goods | u/s 10(2A) — Services |
|---|---|---|
| Makes supplies not leviable to tax | Ineligible | Ineligible |
| Makes inter-State outward supplies | Ineligible | Ineligible |
| Supplies through ECO required to collect TCS u/s 52 | Ineligible | Ineligible |
| CTP or NRTP | Ineligible | Ineligible |
| Manufacturer of notified goods (ice cream, pan masala, tobacco, aerated waters, fly ash bricks/aggregate/blocks, bricks of fossil meals or similar siliceous earths, building bricks, earthen/roofing tiles) | Ineligible | Ineligible (notified goods/services) |
| Supplier of services | Ineligible (save marginal services under 10(1) proviso) | N/A |
## Common gotchas
- Inter-State INWARD supplies are allowed; only outward inter-State is barred.
- RCM liability on inward supplies continues — composition dealers pay RCM at normal rates.
- ECO bar applies only where the ECO is required to collect TCS u/s 52; not every ECO disqualifies.