Overview of GST Registration
Goods and Services Tax (GST), implemented on 1 July 2017, is a unified tax system that replaced multiple indirect taxes like Service Tax, VAT, Excise Duty, etc., in India. It simplifies tax compliance and ensures a transparent supply chain process. GST is mandatory for businesses that meet specific turnover criteria or engage in particular types of inter-state or e-commerce operations.
IndiaFilings provides expert guidance for GST registration online, making the process seamless for businesses of all scales.
Key Components of GST
- Central GST (CGST): Levied by the Central Government on intra-state supplies.
- State GST (SGST): Levied by the State Government on intra-state supplies.
- Integrated GST (IGST): Levied by the Central Government on inter-state and import/export transactions.
Who Must Register for GST?
GST registration is mandatory for:
- Business Entities: Turnover exceeding Rs. 40 lakhs (Rs. 20 lakhs for special category states).
- Service Providers: Annual turnover over Rs. 20 lakhs (Rs. 10 lakhs in special category states).
- Inter-State Suppliers: Businesses operating across state boundaries.
- Casual Taxable Entities and Agents of Suppliers.
- E-Commerce Operators: Entities or individuals offering goods or services through e-commerce.
- Voluntary Registration: Businesses below the threshold can register to avail of input tax credits and conduct inter-state sales.
Exemptions: Businesses dealing in GST-exempt goods/services are not required to register.
GST Registration Process
- Document Preparation:
Depending on the business type (Proprietorship, LLP, HUF, Company), gather mandatory documents such as PAN, Aadhaar, address proof, and bank details. - Apply Online:
Submit your application on the GST portal with accurate business details, and upload necessary documents. - Verification:
The GST authorities verify the application and documentation. - GSTIN Issuance:
Post-verification, a GST Identification Number (GSTIN) is provided. This is a unique 15-digit code that serves as the identity for all GST-related transactions. - Certificate of Registration:
The GST Certificate issued includes business details and GSTIN, enabling the collection and payment of GST.
Documents Required for GST Registration
For Proprietors:
- PAN and Aadhaar of the owner.
- Address proof of business location.
- Bank account details.
For Companies (Indian/Foreign):
- PAN of the company and directors.
- Incorporation certificate, MOA, and AOA.
- Proof of business address and bank details.
For LLPs/Partnerships:
- PAN of partners and LLP certificate.
- Address proof and partnership deed.
GST Turnover Thresholds
- Goods Suppliers: Rs. 40 lakhs (Rs. 20 lakhs for special category states).
- Service Providers: Rs. 20 lakhs (Rs. 10 lakhs in special category states).
- Exclusions: Businesses exclusively supplying GST-exempt goods/services.
Advantages of GST Registration
- Input Tax Credit: Claim credit for GST paid on purchases.
- Legal Compliance: Avoid penalties and ensure smooth operations.
- Ease of Doing Business: Simplifies interstate transactions.
- Market Expansion: Increases credibility and access to new markets.
- Transparent Operations: Promotes accurate record-keeping.
Penalties for Non-Compliance
- Late Registration: A penalty of 10% of the unpaid tax (minimum Rs. 10,000).
- Evasion or Fraud: 100% of the tax amount.
How harsh yadav & Co. Can Help?
- Hassle-Free Registration: Guidance through document preparation and GST portal application.
- Fast Turnaround: Registration completed in 3-7 working days.
- End-to-End Support: Post-registration GST compliance assistance, including GST return filing.
Contact harsh yadav & Co. today for expert assistance with your GST registration.