Goods and Services Tax (GST) is a comprehensive, destination-based indirect tax, levied by the government of India on all value addition. Headed by the Finance Minister of India, it is governed by the GST council. GST has replaced many of the central and state indirect taxes such as excise duty, customs duty, VAT, state excise, etc.
Let us discuss the criteria for any business owner to register under GST. One must register under GST when:
- Annual turnover exceeds Rs 20 lakh (for special category states, the amount is Rs 10 lakh)
- The business was registered under an earlier tax law
- Making an inter-state supply of goods and services
- You are a casual taxable person or a non-resident taxable person
- Supplying goods to an agent
- Your mode of business is an e-commerce operator or an aggregator
- Supplying goods and services through an e-commerce platform
- You are an input service distributor
- Supplying online information/database access or retrieval services from a place outside India to a person in India (other than a registered taxable person)
Now that we have established that you must register your business under GST if you fall under these above categories, let us take a look at the online registration process for GST. It can by following these simple steps.
Step 1: Logon to the online GST portal
Step 2: Fill up the Form (Part A) with your basic details such as PAN, mobile, and e-mail address
Step 3: The online portal will then verify your details by sending you an OTP or e-mail
Step 4: You will then get the application reference number via mobile or e-mail
Step 5: Access and fill in the Form (Part B), using the received number
Step 6: Upload the documents (specific to your business type)
Step 7: The GST officer starts verifying your applicationAfter 3 working days, if the officer approves your GST application, you get the certificate of registration
- If the officer rejects your application, he will ask you for additional details and documents in form GST-REG-03.
- You are then required to submit the additional documents along with GST-REG-04. You will have 7 working days to submit them. You will be informed in form GST-REG-05.
Step 8: After going through your details, the GST officer will then decide to either approve or reject your GST application. In the next 7 working days, you will get your GST certificate of registration.
Registering for Goods and Services Tax (GST) is a fairly easy process. The infographic below explains the process of how to register for GST online.
The documents that are required to register for GST are:
- Constitution of taxpayer
- Proofs of place of business
- Bank account details
- Authorization form
GST registration is applicable for you if your business is registered for under Central Excise, Service Tax, Sales Tax or VAT. Read our guide to understand if GST applies to you.
The GST registration process has been reopened again from the 25th of June.
For more, read our guide on what you must know about GST registration.
Here’s a link to download the government of India prescribed GST registration form.