If your annual turnover reaches Rs. 20 lakhs in a financial year, you must register for GST.
The foregoing limits apply only to transactions that take place in the same state.
The following are the restrictions for inter-state transactions:-
- Interstate/export service supply: GST Only if the aggregate turnover reaches Rs. 20 lakhs is registration required.
- Goods supplied between states or exported: GST Even if the worth of the products is less than Rs. 1, registration is required in all situations.
The overall turnover, which includes same-state transactions, inter-state transactions, and export sales, would be used to calculate turnover.
The following situations necessitate GST registration:-
- You sell your products on an e-commerce website, or you have a brick-and-mortar store.
- In the course of interstate commerce, you provide items (Export is also considered as inter-state trade and therefore registration is mandatory in case of Export as well.)
GST registration is required if any of the preceding criteria are met, regardless of yearly revenue. However, if a person so desires, he or she may apply for GST Registration voluntarily.
GST Registration is not required
The following taxpayers are exempt from having to register for a GSTIN:
- People who supply agricultural products grown on their land.
- Individuals who only make exempt (nil-rated or non-taxable) deliveries of goods or services.
- People who make supplies that are completely covered by Reverse Charge.
What are the advantages of registering for GST?
The following advantages will accrue to all GST-registered individuals:-
- Recognized as a provider of goods or services under the law.
- Accounting for taxes paid on input products or services that can be used to cover GST due on the delivery of goods or services, or both.
- Licensed to collect taxes from his customers and remit the credit for taxes paid on the goods or services provided to customers or beneficiaries.
- As a result of the GST legislation, you’ll be entitled for a variety of other benefits and advantages.
When is the best time to register for GST?
A person should submit a GST application. He must register for GST within 30 days of the date he becomes obligated to do so. Casual and non-resident taxable people must register for GST at least five days before starting business in India. The obligation to register for a transferee of a business as a going concern comes on the date of transfer.
If the application is submitted within 30 days of the individual being liable to registration, the effective date of registration is the day on which he applied.
The effective date of registration shall be the date of grant of registration if the application is submitted after 30 days from the date on which the person became liable to registration.
The GST Website has a link to download the Registration Certificate. Unless it is surrendered, canceled, suspended, or revoked, the registration is permanent. Changes to the GST Registration can be modified at any point in the future by filing an application for GST Registration amendment.
What Documents Are Necessary for GST Registration?
Documents Required for Sole Proprietorship/Individual GST Registration
- Individual’s PAN Card and ID Proof
- A copy of a voided check or a bank statement is required.
- Declaration of intent to abide by the rules
- Electricity Bill Copies
- The owner’s Certificate of No Objection
- a lease agreement
Definition of GST Registration
As the name implies, the GST registration procedure relates to the process of registering a business for GST.
Only a limited number of enterprises are required to register under the Goods and Services Tax, as determined by the Government of India and the CBIC (Central Board of Indirect Taxes and Customs). The government of India has made it necessary for those enterprises to register under GST.
After being directed to do so and within a predetermined date, an individual or organization who continues to conduct business without registering under GST will be required to pay a substantial sum of money. This act will be prosecuted as a crime.
Individuals or businesses wishing to register for GST should go to the Official GST Registration Portal. It is recommended that users read the portal’s recommendations before completing the GST registration process online.
GST was originally brought to light and subsequently passed to combat the atypical VAT system and modernise India’s whole taxes system. The purpose of the Goods and Services Bill is to give both suppliers and customers a significantly simpler taxation regime.