GST Registration The Goods and Services Tax (GST) is a tax on goods and services consumed in India. GST is an indirect tax that has replaced many other indirect taxes in India, such as excise duty, VAT, and services tax. GST has been in force from 1st July, 2017 based on the Goods and Service Tax Act passed by the Indian Parliament on March 29, 2017. A 'taxable person' under the GST Act is someone who conducts business in India and is registered or needs to be registered under the GST Act. A taxable person can be an individual, HUF, company, firm, LLP, an AOP/ BOI, any corporation or Government company, body corporate incorporated under the laws of a foreign country, co-operative societies, local authorities, governments, trusts, or artificial juridical persons.
There are various types of GST registration like regular, casual taxable persons, non-resident taxable persons and eCommerce operators. Casual taxable persons, non-resident taxable persons and eCommerce operators are required to obtain GST registration irrespective of turnover limit.
Casual Taxable Persons
Non-resident Taxable Persons
E-Commerce Operators
The following are some of the advantages of GST registration:
Bank Loans: GST registration and GST return filing serve as proof of business activity and create track record for a business. Banks and NBFCs lend to businesses based on GST return data. Hence, GST registration can help you formalize your business and get credit.
Supplier Onboarding To become a supplier of reputed companies, GST registration is often times a must during the supplier onboarding process. Hence, GST registration can help you get more business. .
eCommerce: To become a supplier of reputed companies, GST registration is often times a must during the supplier onboarding process. Hence, GST registration can help you get more business. .
Input Tax Credit: To become a supplier of reputed companies, GST registration is often times a must during the supplier onboarding process. Hence, GST registration can help you get more business. .
GSTIN or Goods and Services Tax Identification Number (GSTIN) is provided to entities having GST registration number. GSTIN is 15 characters in length. The allocation of GSTIN is based on PAN and State of the applicant. In a GST registration number, the first two digits represent the State Code. The following next 10 digits represent the PAN of the applicant.
In this case of salary payment or the life insurance policy, the tax is deducted at the time when the payment is done. The deductor is required to deposit this amount with the Income Tax Department. Through TDS a portion of the tax is paid directly to the Income Tax Department. The Tax is deducted usually over a range of 10%.
Suppliers of goods who supply through such e-commerce operator who are liable to collect tax at source. Persons supplying services through e-commerce operators need not take compulsory registration and are entitled to avail the threshold exemption of Rs. 20 Lakh as per Notification No.
Casual taxable person / Input Service Distributor (ISD)
Non-resident taxable person
Inter-state supplier of goods and services
Supplier of goods through an e-commerce portal
Any service provider
Liable to pay tax under the reverse charge mechanism
Any person or entity that wishes to supply goods or services can obtain GST registration voluntarily, irrespective of business turnover. Voluntarily obtaining GST registration can help the business avail Input Tax Credit and also provide GST bill to customers.
Voluntary registration under GST has several advantages such as more freedom in inter-state sales, passing on of input tax credit, good ratings, etc. However, it is important to also have the technology ready for online payments.
| KYC (Aadhaar, PAN, Voter ID, Email Id, Passport Size Photo, Signature, Mobile No.) |
| Rental Agreement |
| Utility Bill (Electricity Bill/Telephone Bill/GAS Bill) |
| Municipal Corporation Receipt/Khasra/Khatuni/Khata/Mauja |
| COI |
| PAN |
| MOA |
| AOA |
| Rental Agreement |
| Utility Bill (Electricity/Telephone/GAS Bill) |
| Director’s KYC (Aadhaar, PAN, Voter ID, Email Id, Passport Size Photo, Signature, Mobile No.) |
1. What is the deadline for getting registered under GST?
An entity liable to be registered under GST should apply for registration within 30 days of meeting the criteria. Casual taxable persons and non-resident taxable persons are required to be registered under GST prior to commencing business.
2. Who is the primary authorized signatory?
The primary authorized signatory is the person who is primarily responsible to undertake tasks on the GST portal on behalf of the taxpayer. It could be the promotion of the business or any other trustworthy person nominated by the promoters of the business.
3. Is PAN mandatory for obtaining GST registration?
Yes. PAN is mandatory for obtaining GST registration. In the case of proprietorship, the PAN of the proprietor can be used. In the case of LLP or Company or Trust or other types of a legal entity, PAN must first be obtained for the entity. However, PAN is not mandatory for the GST registration of foreigners and foreign companies. For non-resident taxable persons, GSTIN with a fixed expiry date will be provided based on the other documents provided to prove existence.
4. What is the validity of GST registration?
GST registration does not have an expiry date. Hence, it will be valid until it’s cancelled, surrendered or suspended.Only GST registration for non-resident taxable persons and casual taxable persons have a validity period that is fixed by the authorities while issuing the GST registration certificate.
5. Can a person with no GST registration collect GST?
No, only persons registered under GST are allowed to collect GST from the customers. A person not registered under GST cannot even claim the input tax credit on the GST paid.
