We assist you in registering for GST by advising you on the proper type of GST registration necessary, creating paperwork, filing online applications, responding to inquiries, and tracking the application until it is registered under GST.
GST Registration in India- Overview
GST, often known as the Goods and Services Tax Act, was introduced in 2016. The objective of its introduction was to establish the concept of “One Nation, One Tax” throughout the country. GST, which is levied on the sale of goods and services, replaces other taxes such as sales tax, service tax, and VAT.
This streamlined approach has significantly improved India’s indirect tax policy. Furthermore, GST has decreased the cascading effect of taxes and enabled taxpayers to claim input tax credits. The GST regime has resulted in uniform taxes across the country, which has facilitated tax compliance and increased transparency in tax collection.
GST Registration provides legal recognition and tax compliance for enterprises that trade goods and services in India. Furthermore, it simplifies GST payment for qualifying taxpayers. However, GST registration isn’t only about compliance. It provides various benefits to taxpayers, including the ability to claim Input Tax Credit and avoid double taxes.
GST Registration Eligibility for Taxpayers
GST Registration does not have pan-India eligibility. It is only applicable to qualifying enterprises with turnover limits specified in Section 22 of the Central GST Act, 2017. However, Section 24 of the Act requires certain enterprises to get GST registration regardless of their sales limits. Each of these firms is mentioned below based on their eligibility criteria.
Businesses eligible for GST Registration in India include:
- Those dealing in merchandise with aggregate annual turnover exceeding Rs.40 Lakhs.
- Those operating in North Eastern and Hilly states with aggregate annual turnover exceeding Rs.10 lakhs.
- Businesses selling on e-commerce platforms.
- Business non-resident in India.
- Taxpayers under GST Reverse Charge Mechanism
- Businesses engaged in Inter-state supplies of goods & services.
- Those providing services with aggregate annual turnover exceeding Rs.20 lakhs.
- E-commerce operators/ aggregators.
- Casual Taxpayers.
- Importers & Exporters.
- Service Providers providing information & online databases services (OIDAR).
- Taxpayers registered under the older tax regime.
What Businesses are Exempted from GST Registration in India?
Section 23 of the CGST Act, 2017 exempts certain businesses completely from the requirement of obtaining GST Registration in India. The exemption is applicable despite these businesses exceeding the prescribed turnover limits. We have listed all such exemptions below.
- Businesses with a turnover that does not exceed the obligatory GST registration requirement.
- An agriculturalist who produces agricultural products on his own land.
- Any other entity as notified by the Government.
GST Registration Checklist & Documents
GST registration in India requires various requirements and documentation. The table below has two sections. The first contains all of the criteria, while the second lists all of the paperwork needed for GST registration in India. If you qualify for GST, you must fulfill all of the GST registration requirements before submitting your application.
GST Registration Checklist
- Applicant’s PAN must be linked to his Adhar, Mobile Number & Email Address
- Application must be filed within 30 days from the date a business becomes liable to pay GST
- Exception: Casual and NRI taxpayers can apply 5 days before the commencement of their business
- Eligible businesses must take GST Registration in every state they are operational
- Small Businesses can opt for GST Composition Scheme
GST Registration Documents
Documents of Partners/Proprietor/Directors
- PAN Card
- Aadhar Card
- Two Coloured Photograph
- Address Proof
Documents of the Firm/ LLP/Company
- Partnership / LLP Deed
- MOA & AOA, in case of a company
- Business PAN
- Business / Proprietor’s Bank Details
- Certificate of Incorporation
- Letter of Authorisation of Authorised Signatory
- Copy of Resolution validating the decision to apply for GST Registration
Documents of Registered Office
- Address Proof
- NOC from the Premises Owner
- Rent Agreement/Property Tax Receipt
Benefits of GST Registration in India
GST registration is not only necessary for qualifying enterprises, but it also delivers numerous practical benefits to taxpayers. It is a significant step towards simplifying India’s indirect taxation system, combining multiple levies into a single, comprehensive tax framework. Let’s go deeper into the numerous advantages of GST registration, which might be a game changer for your organization!
Prevent Cascading Effect
The tax-on-tax phenomena that existed across the supply chain has been removed under the new GST regime.
Uniformity in Taxation
GST rates are decided by the GST Council with members from the Central and State Governments.
Low tax rates & compliances
GST is charged at a tax rate of 18% or less for most goods and services. GST returns can either be filed monthly or quarterly.
Entitled to avail ITC
Sellers along the supply chain, excluding the end consumer, can claim ITC for excess input tax paid by them.
Zero-rated Exports
Exports of goods and services are tax-free under the GST framework. This comprises materials for a SEZ unit.
Formalisation of the economy
With GST registration, the informal sector’s significant proportion of the economy has been reduced to fewer than 50%.
Register for GST Today with Our Expert Assistance!
Are you looking for professional help with GST registration? Consult Value, India’s leading GST registration consultant, is here for you! We recognize that businesses often find the GST registration procedure daunting and time-consuming. As a result, we provide entire GST registration services, from preparing all GST registration paperwork to filing the final GST application.
Before we apply, we ensure that your firm meets all GST registration eligibility requirements. We also regularly check the status of your GST registration once you submit your application until a GSTIN is issued. Choosing us as your GST registration consultant ensures that all of your GST registration requirements are met with simplicity.
Other GST Services
Amendment of GST Registration
The GST Portal allows you to change the taxpayer’s details such as the principal address, authorized signatory, and so on. We assist in changing both the core and non-core fields of GST Registration.
Cancel GST Registration Surrender GST
The GST Registration might be cancelled for a variety of reasons. The process is simple and takes place online. However, if the cancellation is granted, the Final Return of GST must be submitted. We assist in legally deactivating the GST registration.
GST Invoice & E-Way Bill
In common language, an invoice is a document delivered to the addressee that specifies the type of the taxable supply and its amount. It represents the amount owed to the person issuing the invoice by the person to whom it is issued. The GST requirements for invoices have been communicated, and a standard invoice format can be obtained from the link provided on this page.
GST LUT Filing File Letter of Undertaking (LUT)
The export of goods or services may be made without charging GST to the overseas client if the exporter files a declaration under Rule 96A stating that the exporter will comply with all GST Law requirements.
Frequently Asked Questions
Q1. What category of taxpayers are exempted from obtaining GST registration?
Certain businesses are not required to get GST Registration as per Section 23 of the CGST Act, 2017. These include:
- Businesses involved in the sale of goods and services whose turnover has not crossed the threshold limit mandatory GST registration.
- An agriculturist growing produce on his own or hired land using his own labour, family labour or hired workers.
- Any other entity as notified by the Government
Q2. What are the applicable GST registration fees in India?
The primary distinction between an exporter and a merchant exporter is their participation in the producing process. A manufacturer exporter produces things and exports them, whereas a merchant exporter purchases products from manufacturers and handles the exporting. In brief, the manufacturer exporter produces and sells, whereas the merchant exporter trades and transports commodities to other markets.
Q3. What is the GST Identification Number or GSTIN?
GSTIN is a unique 15-digit number allotted to all GST registered businesses India. It helps in checking GST registration status and fulfil all GST-related compliances.
Q4. Do I need separate GST Registrations for multiple business activities?
Yes, businesses that engage in several business operations must register for multiple GSTs online. Multiple registrations can be obtained with a single PAN card.
Q5. Do I need separate GST Registrations if I operate by business at multiple locations?
Yes, businesses that operate from various locations must obtain GST registrations at each site. This applies both within and outside the borders of the state where the business is primarily located. Similarly, the same PAN can be used to obtain several registrations.
Q6. Is GST registration mandatory for SEZ businesses?
Even though GST is not levied on SEZ businesses, GST registration is still mandatory for these businesses.
Q7. What is the validity period of GSTIN?
GSTIN, once allotted, is valid for the lifetime of the taxpayer. It ceases to exist only if GST registration is cancelled or the taxpayer voluntarily surrenders it.
Q8. What is Composition GST Registration for small businesses?
For small enterprises in India, Composition GST Registration is a simpler tax system. Depending on their revenue, it enables qualified companies to pay GST at incredibly low rates (2% to 5%). Additionally, because they only need to file their taxes once a year, composition dealers are subject to a lower compliance burden. They are unable to receive the Input Tax Credit, which is a significant disadvantage of the program.
Q9. What are the GST registration guidelines for Casual Taxpayers?
People who infrequently do business and don’t have a set location of business are known as casual taxpayers. Five days before they start their activity, they can register online for GST registration. Usually lasting up to ninety days, their registration is temporary and can be extended for an additional ninety days. They are required to file returns for the registration period and deposit tax liabilities in advance.
Q10. Can I obtain voluntary GST Registration Online? Yes, you can use the official GST portal to submit an online application for voluntary GST registration. Businesses with annual revenue below the required threshold might choose to voluntarily register for GST and take advantage of its advantages.
