Goods and Service Tax or GST is a uniform taxation policy in India under which it is mandatory for all businesses that have an annual turnover exceeding Rs 20 lakh and in the case of North Eastern States and certain hilly regions those with a turnover of Rs 10 lakh and above to register (From 1st April 2019 the turnover limit will be Rs. 40 lakhs. For North Eastern States and hilly areas the revised limit will be Rs. 20 Lakhs) .
The GST taxation policy was introduced in July 2017 with the aim of having a single, uniform taxation for sales of goods and services throughout the country instead of the different taxes varying from State to State.
The registration process is simple if you have the checklist for GST registration in place and required documents are kept ready.
Who are eligible to apply for GST registration aggregators?
- All the businesses that have an annual turnover exceeding the threshold limit of Rs 20 lakhs (Revised limit of Rs. 40 lakhs will be applicable from 1st April 2019) (and for States like Himachal Pradesh, Jammu and Kashmir, Uttarakhand and the North Eastern States the threshold limit is Rs 10 lakhs (Revised limit of Rs. 20 lakhs will be applicable from 1st April 2019) ).
- All individuals who have previously applied for pre-GST laws of taxation such as VAT, excise, service tax, etc.
- All those who pay tax under the reverse charge mechanism.
- All agents of a supplier and input service distributors.
- All e-commerce aggregators.
- All individuals who supply via e-commerce aggregators.
- All individuals who pay tax including non-resident taxpayers and fit into the threshold limit.
What are the documents required for GST registration?
- Aadhaar card
- PAN card details of the applicant
- Digital signature, if available
- Address and identity proof of the director or/and promoters of the business along with their photographs
- Proof of business registration e.g. Certificate of incorporation in case of Company and LLP, Partnership deed for Partnership firms etc.
- Address proof of the place of business
- Copy of bank account statement and cancelled cheque
- Authority letter in the name of authorised representative, if any.
What is the GST registration process?
The registration process involves 11 steps which include-
- The first step is to log in to the official GST website, https://www.gst.gov.in/. Once you login, click on the tab ‘Services’ and when a drop-down menu appears, select the option ‘Registration’.
- Next, select the option ‘New Registration’ and enter the necessary details such as if you are a taxpayer, if you are a GST practitioner or tax deductor. Then enter the name of your State or Union Territory, name of district, own name, PAN number, email address and mobile number on which you wish to receive the OTP (one-time password). Next enter the verification characters seen on screen and select ‘Proceed’ to move ahead.
- An OTP will be sent on the email ID as well phone number entered. This OTP needs to be entered and then proceed by clicking on ‘Continue’.
- You will receive a TRN or temporary reference number on the screen as well via email and message on the phone. This number needs to be saved for future reference.
- Now, go to the ‘Services’ section again and select ‘Registration’. Further, select the option ‘Temporary Reference Number’.
- Here, enter the TRN you received earlier along with the verification characters and then select ‘Proceed’.
- You will now receive an OTP on the email ID and mobile number registered. Enter the OTP in the designated box and click on ‘Proceed’.
- The status of your application will be visible on the screen in draft format. There will be an ‘Edit’ option present, which needs to be selected.
- Now the second part of the registration process starts wherein in the form ten sections need to be filled and the documents requested need to be submitted by uploading them. These include photographs, authorization form, the constitution of tax payer, proof of place of business, bank account details etc..
- After all the documents are uploaded and details are entered, go to the ‘Verification’ page and check on the declaration and submit using one of the options below –
- Using e-sign where OTP will be sent to the registered Aadhaar number.
- Companies can submit the application using DSC.
- Using the EVC where OTP will be sent to the registered mobile number.
- You will finally receive a success message on the screen and will receive an Application Reference Number or ARN on the registered mobile number and email ID.
The status of your registration can be checked by entering the ARN in the GST portal.