Selection of Core Business on the GST Portal
In March 2021, the GST portal added a new option for taxpayers to select their core business on the GST portal. The selection is prompted post-login, and once selected, the option can also be changed anytime later by the taxpayer. This article details the procedure for the selection of core business activity, as well as changing of core business activity post-selection.
I. Selection of core business activity on the GST portal
Step 1: Log in to the GST portal with valid user credentials.
Step 2: After login, the user will be prompted to select the core business activity. The three options available are:
- Manufacturer
- Trader
- Service Provider and others
Selection can be made by checking the radio button (i.e., the circle) next to the appropriate option, as applicable.
Step 3: Once the option has been selected, click on ‘Submit’ to confirm the selection.
Important notes:
- A registered user may select only one core business activity. If he is engaged in more than one activity from the list, he may choose the primary, i.e., the main activity only (depending on his turnover).
- Once selected, the option can be changed in the future. (steps to change the core business activity are detailed below.)
- To make an appropriate selection of the core business activity from the options available, please refer to the table below:
|
Options available |
Description |
|
Manufacturer | A person who manufactures new products from raw materials, using other components like equipment, tools, machines etc. The products are then sold directly to the customers, wholesalers or distributors, retailers, or even other manufacturers. In case a manufacturer sells some of the brought-out items or provides some ancillary services along with the manufactured products, the person will still need to select ‘manufacturer’ as his core business activity since it is his primary activity. |
|
Trader |
A person engaged in the activity of buying and selling goods is classified as a trader.
A trader also includes a wholesaler, distributor, retailer, or even a person selling through e-commerce operators. |
|
Service provider or others |
Any person engaged in providing services is a service provider. For example, banking services, goods transport agencies, IT services, etc.
The word ‘others’ includes works contract services and other miscellaneous business activities. |
II. Changing of selection of core business activity
Step 1: Log in to the GST portal with valid user credentials.
Step 2: On the dashboard, select the ‘View Profile’ option available on the right-hand side.
Step 3: From the list of options available under the ‘Quick Links’, select ‘Core Business Activity Status’.
Step 4: Select the relevant core business option as applicable and provide a reason for the change, which is mandatory.
Step 5: Click on ‘Submit’ to confirm the selection.
Quick Summary
In March 2021, the GST portal introduced the option for taxpayers to choose their core business. This article explains the process for selecting and changing the core business activity on the portal. The options include Manufacturer, Trader, Service Provider, and others, with steps provided for both selecting and changing the core business activity.
Was this summary helpful?
Clear offers taxation & financial solutions to individuals, businesses, organizations & chartered accountants in India. Clear serves 1.5+ Million happy customers, 20000+ CAs & tax experts & 10000+ businesses across India.
Efiling Income Tax Returns(ITR) is made easy with Clear platform. Just upload your form 16, claim your deductions and get your acknowledgment number online. You can efile income tax return on your income from salary, house property, capital gains, business & profession and income from other sources. Further you can also file TDS returns, generate Form-16, use our Tax Calculator software, claim HRA, check refund status and generate rent receipts for Income Tax Filing.
CAs, experts and businesses can get GST ready with Clear GST software & certification course. Our GST Software helps CAs, tax experts & business to manage returns & invoices in an easy manner. Our Goods & Services Tax course includes tutorial videos, guides and expert assistance to help you in mastering Goods and Services Tax. Clear can also help you in getting your business registered for Goods & Services Tax Law.
Save taxes with Clear by investing in tax saving mutual funds (ELSS) online. Our experts suggest the best funds and you can get high returns by investing directly or through SIP. Download Black by ClearTax App to file returns from your mobile phone.
Cleartax is a product by Defmacro Software Pvt. Ltd.
Company PolicyTerms of use
ISO 27001
Data Center
SSL Certified Site
128-bit encryption