Goods and service tax is taking India by the storm. GST will bring uniformity in taxes to unite indirect taxes under one umbrella and assist Indian businesses to be worldwide competitive. The Indian GST case is prearranged for proficient tax collection, diminution in corruption, avoid cascading effect of taxation etc which would lead to GDP growth.

One of most crucial part of GST is the understanding that which business entities should be compulsorily registered under GST even though they are not registered under any of the present indirect tax regime.

Today we will discuss everything there’s to know about GST registration.

If  any of the conditions listed below are fulfilled , GST registration should be obtained within 30 days.

• Every supplier shall be liable to be registered under GST in the state from where he makes taxable supply of goods and/or services if his aggregate turnover in a financial year exceeds threshold limit of Rs 20 lakhs. (Rs 10 lakhs for Special category states).

   

  Aggregate turnover means includes all types of sales like Taxable Sales, Exempt Sales, Export Sales,Inter State Sales, Sales by Agent of principal.

Explanation: This definition covers 100% Export oriented units exceeding 20 lakhs turnover.This implies that 100% export oriented units should also be compulsorily registered under GST once the turnover exceeds 20 lakhs. It was noted that in the proposed GST regime, exports are zero rated which means that the export good would not suffer any actual tax liability although the inputs for them would be tax paid which would be subsequently neutralized by way of refund.

Apart from this, there is no threshold limit of 20 lakhs for the following categories.

• There is no threshold limit for registration in case of person making Taxable Inter-State supply of Goods and /or Services. Such person would be required to be registered on making such Inter-State taxable supply of goods and/or services irrespective of the threshold limit.
• Threshold limit is not applicable for dealers liable to pay taxes under Reverse Charge Mechanism
• Threshold limit is not applicable for Casual Taxable person. If you occasionally make supply of goods/services as a principal or agent or any other capacity, in a taxable territory, where GST applies but where you don’t have a fixed place of business. As per GST you will be treated as a casual taxable person.
• Threshold limit is not applicable for Non Resident taxable person. When you occasionally make supply of goods/services as a principal or agent or any other capacity, in a taxable territory, where GST applies but you don’t have a fixed place of business in India. As per GST you will be treated as a non-resident taxable person.
• Threshold limit is not applicable for Input Service Distributor
• Threshold limit is not applicable for E-Commerce Companies
• Threshold limit is not applicable for Supplying goods on behalf of other persons
• Threshold limit is not applicable for Online Database Service Provider from outside India into India.

Talk to our experts for understanding the benefits of voluntarily registration under GST.

We have also launched Single Platform on GST Compliances In India, assisting in 4 areas – 1) Migration, 2) GST Compliance, 3) Training and 4) Transition & Implementation. Click this link for any assistance