Registration Under GST

GST registration applies to all individuals and entities supplying goods or services in India. GST registration becomes mandatory when the aggregate value of supply exceeds Rs.20 lakh. The Ministry of Finance (MoF) simplified the GST registration procedure to ease the tax filing process. If the entity operates in a special category state, GST registration becomes applicable if the value exceeds Rs.10 lakh p.a. In this article, let us look at the eligibility for obtaining GST registration. The article also coves documents required as well as the GST registration procedure online.

Requirement for Registration

  • A business entity that is currently registered under any of the existing tax regimes including:-
    • Central Excise duty
    • Service Tax
    • State VAT
    • Central Sales Tax
  • But if a business doesn’t have any existing registration, then it needs to get registered if aggregate turnover in any financial year exceeds the threshold limit (Rs. 20 lakhs).
  • Every person who makes a supply from the territorial waters of India.

Explanation: GST Registration will be a single PAN-based registration in one State or Union territory, but a person having multiple business verticals in one state or businesses in multiple states has to get a separate registration for each such business.

This process is however mandatory for certain people that are listed below:

  • Persons making any Inter-State taxable supply (e.g. from Delhi to Maharashtra)
  • Casual Taxable person (No fixed place where GST is applicable)
  • Non-resident Taxable person (No fixed place in India)
  • Persons who are required to pay tax under Reverse Charge
  • Persons who are required to deduct tax at source
  • Agents of a supplier
  • Input Service Distributor
  • Persons who supply goods or services through E-commerce Operator
  • E-commerce Operator/ Aggregator who supplies services under his brand name (e.g. Flipkart, Amazon).
  • Supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered taxable person.
  • Any Specialized Agency of the UN or any Multilateral Financial Institution

Procedure for Registration Under GST

The GST Registration looks like this:

  1. The applicant needs to submit his PAN, Mobile number and E-mail address in Part A of Form GST REG-01 on GSTN Portal.
  2. The PAN is then verified on the GSTN Portal while the Mobile number and the E-mail address are verified through an OTP (One-time-password). An acknowledgment will be issued to the applicant in the Form GST REG-02.
  3. The Applicant then needs to fill the Part B of Form GST REG-01 and specify the application reference number. The form can be submitted after attaching the required documents. The authentication would be done by signature through DSC or E-Signature.
  4. If any additional information is required, Form GST REG-03 will be issued. The Applicant needs to respond in Form GST REG-04 with the required information within 7 working days from the date of the receipt of Form GST REG-03.
  5. If applicant has provided all the required information via Form GST REG-01 or Form GST REG-04, the registration certificate in Form GST REG-06 for the principal place of the business as well as for every additional place of business will be issued. If, however, the details submitted are not satisfactorily, the registration application will be rejected using Form GST REG-05.
  6. The applicant who is required to deduct TDS or collect TCS shall, however, submit an application in Form GST REG-07 for the purpose of registration.

Documents Required For Registration

For Company

Company Documents Directors Place of business
PAN Card of company PAN Card Owned – electricity/landline/water bill
MOA/AOA Photographs Consent – No Objection Certificate of owner
Registration certificate of the previous regime Aadhar Card Rented – Rent Agreement
Bank Statement/ Cancelled Cheque/ Pass Book DIN
Copy of Board Resolution

For LLP/Partnership

Documents Partners Place of business
PAN Card of entity PAN Card Owned – electricity/landline/water bill
Partnership Agreement Photographs Consent – No Objection Certificate of owner
Registration certificate of the previous regime Aadhar Card Rented – Rent Agreement
Bank Statement/ Cancelled Cheque/ Pass Book
Copy of Board Resolution (only for LLP)

For Individual or Sole Proprietorship

Individual Documents Place of business
PAN Card, Aadhar Card & Photograph Owned – electricity/landline/water bill
Bank Statement/ Cancelled Cheque/ Pass Book Consent – No objection certificate of owner
Registration certificate of the previous regime

Rented – Rent Agreement

Amendments in Registration

  • If any amendment has to be made in the registration, then within 15 days of such change, submit an application, along with documents relating to such change.
  • The change in name of business and addition, deletion or retirement of partners or directors, Board of Trustees, CEO or equivalent, responsible for day to day affairs of the business will affect such change in all registrations.
  • Where a change in the Constitution of any Business results in a change of the PAN of a registered person.
  • Deemed Amendment
    • Registration will be deemed changed if the proper officer fails to take any action-
      • Within 15 working days from the date of submission of application; or
      • Within 7 working days from submission of the reply.

In case you are confused about GST as a business owner, feel free to consult the GST experts at LegalRaasta. You can get comprehensive assistance on GST Registration online and GST Return Filing. You can also use our GST compliance software for doing end-to-end GST compliance.

WHEN  IT IS MANDATORY TO TAKE REGISTRATION 

Following persons need to take mandatory registrations & pay taxes accordingly.

(That is even if their turnover or supply is less than 20L / 10L, registration is mandatory)

  • If supplying inter-state. (Applicable even for Services)
  • If liable to pay tax under Reverse Charge (RCM)
  • Agents supplying goods/services on behalf of another (even if their agency commission is less than 20L / 10L)
  • Persons supplying through e-commerce portal (like Amazon, Flipkart, Paytm, etc.) or an e-commerce operator itself.
  • A casual taxable person or a non-resident person amongst others.

 WHEN IT IS NOT REQUIRED TO TAKE REGISTRATION 

In the following cases, a person is not liable to take Registration under GST:

  • If a person is engaged in exclusively supplying goods / services:
  • Which is wholly exempt from GST (e.g.: any nil rated goods or any exempted services such as health care services, etc.)
  • Tax on which is payable under RCM by the receiver.
  • Example  Services of an insurance agent providing agency services to Insurance Company is under RCM. Now if
    the agents’ entire services are falling under RCM, then
    the insurance agent is not liable to take registration,
    as the Insurance Company will be discharging the tax liability.)
  • An agriculturist is not liable to take registration to the extent of supply of produce out of land cultivation.

You can find more information at Zeroinfy.in 

Hope you can find this article helpful. If you did like this Blog then Share it with your friends who are doing CA Final studies or who will be giving their CA Final exams in the near future. 

All The Best!

Zeroinfy

Zeroinfy is the Largest Online Platform for Exam Preparation in India, with over 2000+ HD quality video courses, 95+ best Professors. We provide access to the best, most reputed Professors, from across India, by streaming their classes online/ delivering it in pen drives

For further inquiries Call 8100 800 600 / 601.

For other queries, check Zeroinfy.in

Thank you!!



Leave a comment

Request For Callback

Thank you ! We will get to you soon.

Couldn't submit your request.