A trader opts for the Composition Scheme to simplify their compliance. What is the primary disadvantage regarding their purchases? 

A major trade-off for the lower tax rate and simpler compliance of the Composition Scheme is the total loss of Input Tax Credit. For small taxpayers who want to avoid complex compliance, GST offers the Composition Scheme. • Eligibility Turnover: Up to ₹1.5 Crore (₹75 Lakhs for Special Category States). • Service Providers: A separate scheme exists for service providers with turnover up to ₹50 Lakhs. • Benefits: o Quarterly Payment: Pay tax via Form CMP-08 (instead of monthly). o Annual Return: File GSTR-4 once a year. • Restrictions: Cannot collect tax from customers, cannot claim ITC, and cannot make inter-state supplies of goods.