ABOUT Goods and Service Tax Registration (GST No.)
GST No is the fifteen digit identification no. GST is one of major law applicable form 1st July 2017 in all over India.Various indirect taxes marged in GST like various central indirect taxes including the Central excise Duty,Countervailing duty,Service Tax,etc. and also subsumes state value added tax,octroi tax,luxury tax,etc.
GST is a comprehensive, multi-stage, destination-based tax that is levied on every value addition.
Type of GST Registration
REGISTRATION
• Mandatory Registration u/s 22 & 24
• Voluntary Registration u/s 25(3
• Casual Taxable Person u/s 27
• Non-Resident Taxable Person u/s 27
• Registration by Dept u/s 25(8)
• UIN- Unique Identity No. u/s 25(9)
• Input Service Distributor u/s 24
• Others- Job worker etc.
Mandatory Registration u/s 22: Persons liable for GST registration
Every person is liable to be registered under GST if the aggregate turnover exceeds the specified limit in the respective states or UT as mentioned below:
SUPPLIER ENGAGED EXCLUSIVELY IN SUPPLY OF GOODS
Before 1 Feb, 2019 w.e.f 1 Feb, 2019 w.e.f 1 April,2019
Manipur, Mizoram, Nagaland, Tripura (special category states) Rs. 10,00,000 Rs. 10,00,000 Rs. 10,00,000
Arunachal Pradesh, Meghalaya, Sikkim, Uttarakhand Rs. 10,00,000 Rs. 20,00,000 Rs.20,00,000
Jammu & Kashmir, Assam, Himachal Pradesh Rs. 10,00,000 Rs. 20,00,000 Rs. 40,00,000
Puducherry, Telangana Rs. 20,00,000 Rs. 20,00,000 Rs. 20,00,000
Other states Rs. 20,00,000 Rs. 20,00,000 Rs. 40,00,000
SUPPLIER ENGAGED IN SUPPLY OF SERVICES OR BOTH GOODS AND SERVICES
Manipur, Mizoram, Nagaland, TripuraRs.10,00,000Rs.10,00,000Rs.10,00,000
Arunachal Pradesh, Assam, Meghalaya, Sikkim, -
Uttarakhand, Himachal Pradesh, J&KRs.10,00,000Rs.20,00,000Rs.20,00,000
Other States Rs.20,00,000 Rs.20,00,000 Rs.20,00,000
Mandatory GST Registration(Section 24 of the CGST Act)
Person making inter state taxable supply of goods.
Casual Taxable Person making taxable supply
Person liable to pay the taxes under reverse charge
Electronic Commerce operator for supplying services notified u/s 9(5)
Non resident taxable person making taxable supply
Person who, are required to deduct the TDS u/s 51 whether or not separately registered under this act
Person who makes taxable supply of goods and/or services on behalf of other taxable person whether as an agent or otherwise
Input Service Distributor whether or not separately registered under this act
Person who supply goods or services or both through electronic commerce operator who is required to collect tax at source u/s 52, other than supplies specified u/s 9(5)
E-commerce operator or aggregator who is required to collect tax at source u/s 52
Person supplying online information and database access or retrieval services (OIDAR) from a place outside India to a person in India, other than a registered taxable person
Such other person as may be notified by the government
Section 23: Person Not Liable for Registration
*If person is engaged exclusively in the business of supplying goods and/or services that are neither not liable to tax or are wholly exempt from tax under the GST Act
*An agriculturist to the extent of supply of produce out of cultivation of land.
The government from time to time has through notifications specify category of persons not liable for registration.Some of them are discussed below:
*If a person is ONLY engaged in making supply, the tax on which to be paid by the recipient under RCM as per Sec 9(3)
*Suppliers providing services through an ecommerce platform
*Casual taxable person making taxable supplies of handicraft goods.
*Job worker providing inter-state supply to a registered person not liable to be registered u/s 22(1) or who opt to take registration voluntarily u/s 25(3) or who is involved in making supply of service in relation to the goods
Compostion Scheme of GST
The composition scheme under GST is optional and alternative method specially designed for the small taxpayers whose turnover is up to 1.5 Crore (Increased from Rs. 1 Crore) & (Rs. 75 Lacs in case of few states) and the main reason is to reduce the compliance cost (less returns, maintaining books of account & no issuance of tax invoices).The eligible taxpayer opting this scheme shall be required to pay tax quarterly at a defined percentage of his turnover.
Rate under Composition Scheme
S.No. Eligible Taxpayers Rate of Tax
(i) Manufacturers, other than manufacturers of 1% (0.5% CGST + 0.5% SGST) of the turnover
such goods as may be notified by the Government
(Ice cream, Pan Masala, Tobacco products etc.)
(ii) Restaurant Services (only this service is covered under this scheme) 5% (2.5% CGST + 2.5% SGST) of the turnover
(iii) Traders or any other supplier eligible for composition levy 1% (0.5% CGST + 0.5% SGST) of the turnover
(iv) Goods & Services (As composite supply) 1% (0.5% CGST + 0.5% SGST) of the turnover
*Provided that turnover of services doesn’t exceeds 10% of total turnover in previous year or Rs.5 Lacs,whichever is higher.This is as per CGST Amendment Act, 2018.
(v) Goods or Services (As mixed supplies) 6% (3% CGST + 3% SGST) of the turnover
*This is as per Notification No. 2/2019 – Central tax (Rate), dated 7th March, 2019 – Presumptive Scheme under GST
*Applicable from 1st April, 2019
Special Category States where limit of turnover is Rs. 75 Lacs to opt for Composition Scheme
Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura & Himachal Pradesh
Who cannot opt for Composition Scheme?
The following people cannot opt for the scheme-
Manufacturer of
Ice cream and other edible ice [Notification No. 14/2019-Central Tax]
pan masala [Notification No. 14/2019-Central Tax]
Aerated water [Notification No. 43/2019-Central Tax]
All Tobacco and manufactured tobacco substitutes. [Notification No. 14/2019-Central Tax]
A person making inter-state supplies.
A casual taxable person or a non-resident taxable person
Businesses which supply goods through an e-commerce operator
suppliers whose aggregate turnover in the preceding financial year crossed Rs. 1.5 Crores/ 75 lakhs as applicable;
supplier who has purchased any goods or services from unregistered supplier unless he has paid GST on such goods or services on reverse charge basis;
The following conditions, must be satisfied in order to opt for composition scheme:
*No Input Tax Credit can be claimed by a dealer opting for composition scheme
*He shall not be involved in the manufacture of items as mentioned in the above para.
*The dealer cannot supply goods which are not leviable to tax under the GST Act.
*The goods held in stock by him on the appointed day have not been purchased in the course of inter-State trade or imported or received from his branch situated outside the State or from his agent or principal outside the State.
*The goods held in stock by him have not been purchased from an URD and where purchased, he pays the tax under sub-section (4) of section 9
*The taxpayer has to pay tax at normal rates for transactions u/s 9(3) & 9(4) i.e. RCM
*If a taxable person has different segments of businesses (such as textile, electronic accessories, groceries, etc.) under the same PAN, they must register all such businesses under the scheme collectively or opt out of the scheme.
*The taxpayer has to mention the words ‘composition taxable person’ on every notice or signboard displayed prominently at their place of business.
*The taxpayer has to mention the words ‘composition taxable person not eligible to collect tax on supplies’ on every bill of supply issued by him.
REQUIRED DOCUMENTS
Self signed Pan and Aadhar Copy of Proprietor/All partners/Directors
Rent Agreement copy with Electricity Bill Not Older Than 3 Month's
4 Passport Size Photo's
Name Of Business and Items To Be Traded
Cancelled Cheque
Phone No. and Mail Id of Proprietor/ All partners/ All Directors/ Company
MOA/AOA/Certificate of Incorporation in case of Company
Partnership deed in case of Partnership firm
