In India, a comprehensive indirect tax known as the Goods and Services Tax (GST) is imposed on the provision of goods and services. It is a destination-based tax system that incorporates a number of indirect taxes, including excise duty, service tax, and VAT. With the GST regime's implementationon July 1, 2017, firms with a turnover that exceeds the established threshold have been required to register for GST. We'll talk about how to register for GST in India in this blog.
Getting a special GSTIN (Goods and Services Tax Identification Number) from the government, which is needed to submit GST reports and make input tax credit claims, is the process of GST registration. All companies and people involved in the production The sale of products or services that generate more revenue than the established threshold necessitates GST registration. A step-by-step tutorial for registering for GST in India is provided here.
Assess your eligibility for GST registration in step one.
Identifying whether or not your firm qualifies for registration is the first stage in the GST registration process. According to GST rules, companies must register for GST if their yearly revenue exceeds Rs. 20 lacks (Rs. 10 lacks for northeastern and hilly states). Nonetheless, regardless of their annual revenue, some companies, such as exporters, e-commerce companies, and those engaged in interstate deliveries, are required to register for GST.
Compile the necessary paperwork
The following step after determining your eligibility for GST registration
Step 1: Determine the eligibility for GST registration
The first step towards GST registration is to determine whether your business is eligible for registration or not. As per the GST law, companies with an annual turnover of more than Rs. 20 lakh (Rs. 10 lahks for northeastern and hilly states) are required to register for GST. However, certain businesses, such as exporters, e-commerce operators, and those involved in inter-state supplies, are required to register for GST, irrespective of their turnover.
Step 2: Gather the required documents
Once you have determined your eligibility for GST registration, the next step is to gather the required documents. Here is a list of documents that you will need to provide:
PAN card of the business
Aadhaar card of the authorised signatory
Proof of business registration (in the case of a company, partnership firm, LLP, or trust)
Address proof of the place of business (rent agreement or ownership deed)
Bank account statement or cancelled cheque
Digital signature certificate (DSC) of the authorised signatory
Step 3: Register for GST online
GST registration can be done online through the GST portal. Here is the step-by-step process for online registration:
Go to the GST portal (https://www.gst.gov.in/) and click on the 'Register Now' button.
Select the 'New Registration' option.
Choose the appropriate category for the taxpayer and fill in the required details, such as name, PAN, email address, and mobile number.
Once you have filled in the details, you will receive an OTP on your registered mobile number and email ID. Enter the OTP to proceed.
Next, you need to provide your business details, such as the legal name, trade name, address, and contact details.
Upload the required documents and click on the 'Save and Continue' button.
In the next step, you need to provide details of the authorized signatory, such as name, PAN, Aadhaar, and designation.
Once you have filled in the details, you will receive an OTP on the registered mobile number and email ID of the authorized signatory. Enter the OTP to proceed.
Next, you need to provide details of the business activity, such as the type of business, nature of business, and goods or services supplied.
In the next step, you need to provide the details of the bank account and upload a scanned copy of a cancelled check or bank statement.
Lastly, you need to sign the application using a DSC or EVC (electronic verification code).
Step 4: Track the application status
Once you have submitted the GST registration application, you can track the status of your application on the GST portal. The status of the application can be checked using the ARN (Application Reference Number) provided at the time of submission.
Step 5: Receive GSTIN and start filing returns
Once your application is processed and approved by the GST department, you will receive your unique GSTIN and a certificate of registration. The GSTIN is a 15-digit number that will be used for all GST-related transactions. You can also download the registration certificate from the GST portal.
After receiving the GSTIN, you need to start filing GST returns. As per the GST law, registered businesses are required to file three types of returns – GSTR-1, GSTR-2, and GSTR-3. GSTR-1 is the monthly or quarterly return for outward supplies, GSTR-2 is the monthly return for inward supplies, and GSTR-3 is the monthly return for the summary of outward and inward supplies.
In addition to these returns, businesses are also required to file an annual return in the form of a GSTR-9. E-commerce operators and taxpayers who have opted for the composition scheme are required to file GSTR-8 and GSTR-4, respectively.
GST registration is a crucial process for businesses in India. It not only makes them eligible to collect and pay GST but also allows them to claim input tax credits. The procedure for GST registration is simple and can be done online through the GST portal. Once you have received your GSTIN, you must start filing GST returns to comply with the law. If you have any doubts or queries regarding GST registration or filing returns, it is advisable to seek the help of a professional GST consultant or CA.
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