GST Registration in India

Who Should Obtain GST Registration?

Obtaining GST Registration depends on various factors and those taxpayers who quality any of them are required to obtain GST Registration. Following are list of factors which fulfil criteria for obtaining registration for GST:

• All the business entities which involves sales of Goodscrosses the threshold of INR 40 Lakhs (under Normal Category states) and INR 20 Lakhs for special category states.
• All businesses which provides serviceswho crosses the threshold of INR 20Lakhs (under Normal Category) and INR 10 Lakhs (under Special Category)
• Those business who are required to perform Inter-state supply.(For example, business registered in Maharashtra state need to supply services in New Delhi)
• Those business who are changing their business constitutions(for example from Proprietorship to Partnership)
• Those business who are perform sale through e-commerce portalor work as an E-commerce operator.
• Those business which works as Input Service Distributor.
• Business with SEZ units.

Important Points For GST Registration

Below are few points to note and consider before proceeding with GST Registration such as:

• GST registration number is state specific, which meaning, you can have multiple office locations registered under one GST application, provided that all those branches are in same state. For example, you can register all locations in Maharashtra state but you need to obtain separate GST number for office location in New Delhi.
• One can also opt the composition scheme under GST application. It is required to obtain for businesses such as Manufacturer/ trader/ Restaurant service provider who turnover threshold is not more than INR 1.5 crores. (under normal states) and INR 75 Lakhs (under Special states).
• Normal states included under GST: Delhi, Maharashtra, Andhra Pradesh, Gujarat, Haryana, Goa, Punjab, Uttar Pradesh, J&K, Assam, Himachal Pradesh, Karnataka, Madhya Pradesh, Odisha, Rajasthan, Tamil Nadu, West Bengal, Chhattisgarh, Jharkhand &Bihar.
• Special Category States Included under GST: Puducherry, Meghalaya, Mizoram, Tripura, Manipur, Sikkim, Nagaland, Arunachal Pradesh, Uttarakhand.

Documents Required For GST Registration

The documents primarily vary as per Business constitutions, however, in brief, following type of documents are required:

• Proof of Business Constitution: such as Partnership Deed etc.
• Photograph of Promoters or Partnersin the business.
• Photo of Authorized Signatory:Is can be one or more in the firm.
• Authorization letter for proof of appointmentor copy of resolution passed by Board of Directors or Managing committee and their acceptance letter.
• Proof of your business place: Such as Legal Ownership document, Electricity Bill, Municipal Khata Copy, Property tax Receipt, Rent/Lease Agreement or Rent receipt with NOC (in case of not having rent agreement)

Brief Process Of GST Registration

GST Registration is done via GST Government website. 

• After Registering your account, you have to first create TRN (Temporary Reference Number) and get it verified by OTP (one-time password).
• Afterwards, you have to fill up the GST REG-01 form for application for new GST Registration.
• The form has to be then filled with details such as:

1. Sector/ Circle/ Ward/ Charge/ Unit
2. Commissionerate Code, Division code, Range Code
3. If you are opting for Composition Scheme
4. Reason to Obtain Registration
5. Date of Commencement of Business
6. Indicating existing Registration
7. Promoter / Partners details
8. Authorized Signatory Details
9. Principle Place of business details.
10. Details of Goods / Commodities Supplied by the business with HSN codes.
11. State Specific Information.

In the end, once all information is concluded correctly, then you have to verify via OTP and submit for approval. Nowadays, approval usually take about 3 days to week time.

Conclusion

If you are starting a new business or you are running a business and already fulfils the criteria mentioned above, then it’s essential to get your GST Registration today. The process can also be performed by yourself but it’s always better to hire a professional to avoid any mistakes in the registration process.