Procedure of GST Registration

TANMOY MUKHERJEE INSTITUTE OF JURIDICAL SCIENCE

Dr. Tanmoy Mukherjee

Advocate

 

Procedure of GST Registration-

Tanmoy Mukherjee

Advocate

GST [Art. 366(12A)]

Goods and Services tax means any tax on supply of goods or services or both except taxes on the supply of alcoholic liquor for human consumption.

-GST Registration is legal process by which a supplier is recognized as a taxable person under CGST Act, 2017 and is assigned a goods and services tax identification number.

Importance-

-> Authority to collect GST.

-> Eligibility to claim input tax credit.

-> Legal recognition as supplier.

-> Mandatory for filing returns and issuing invoice.

Statutory Provision-

i) Section 22 (CGST Act) -> Person liable for registration.

ii) Section 24 (CGST Act) -> Compulsory registration.

iii) Section 25 (CGST Act) -> Procedure for registration.

iv) Rule (8-13) CGST Rule -> Procedure/Rules.

v) Form No. REG-(01-06) -> Registration Forms.

 Persons liable for Registration-

Every supplier shall be liable to be registered under GST if his aggregate turnover in financial year exceeds the prescribed threshold limit.

Threshold Limit-

Goods => 40 lakh

Service => 20 lakh

Special Category States => 10 lakh

Turnover (Sec. 2(6) [CGST Act]-

Aggregate turnover means the aggregate value of all supplies made on all-India basis by a person having the same PAN.

Persons not liable under sec. 22(2)-

Agriculturist - Supply of produce out of cultivation.

Exclusive Exempt Supplies- No tax liability.

Government notified persons- Exempted By notification.

Compulsory Registration-

Certain persons must register irrespective of turnover.

Persons required to Register Compulsorily

a) Inter-State Taxable suppliers

b) Casual taxable person

c) Non-Resident Taxable persons.

d) Persons liable to pay Tax under reverse charge

e) Electronic Commerce Operator

f) Persons supplying through e-commerce operator

g) TDS Deductors under GST

h) TCS Collectors under GST

i) Input Service Distributors

j) Persons required to deduct tax under Sec-51

k) Persons notified by Government.

 Inter State Taxable Suppliers-

 A person supplying goods from one state to another Sec 24 (1).

Non-Resident Taxable persons [Sec 2(77)] –

A person located out-Side India supplying Taxable goods or services in India.

Casual Taxable Person Sec. 2(20)-

A person who occasionally supplies goods and services in a state where he has no fixed place of business.

Persons liable to pay tax under Reverse change Sec. 9(3) and 9(4)-

When Recipients pay tax instead of Supplier.

Electronic Commerce Operator Sec. 2(45)-

Persons who own or manage digital platform facilitating supplies.

Input Service Distributors- Sec. 2(61)-

Officers distributing Input Tax Credit to Branches.

Voluntary Registration [Sec. 25(3)]-

A person not liable under Sec. 22 or Sec. 24 may voluntarily apply for Registration.

Once Registered full GST compliance becomes mandatory.

Special Category States-

->Meghalaya

->Mizoram

->Nagaland

->Tripura

->Sikkim

->Arunachal Pradesh

Time Limit for Registration-

A person liable to register must apply within 30 days from the date on which liability arises.

-In case of Casual taxable person or non-resident taxable persons, application must be made at least 5 days prior to the commencement of business.

Application-

Mode-

Registration is done online through the GST common portal: www.gst.gov.in.

Form for Registration-

Application is to be made in FORM GST REG  01.

Step-

PART A OF FORM GST REG-01-

-> PAN

-> Mobile number

-> EMAIL ID

-> STATE

-> OTP verification

-> Temporary Reference

Number (TRN) is generated

PART B OF FORM GST REG-01

-> Business Details

-> Place of Business

-> Bank Account Details

-> Authorized signatory

-> Uploading Required Documents.

Verification-

The application is verified by the proper officer. If details are correct registration is granted within 7 working days.

If clarification is required-

-Notice is issued in FORM GST REG-03

-Applicant must Reply in FORM GST REG-04

GRANT OF REGISTRATION-

→ On approval a certificate of Registration is issue in FORM GST REG-06

→ The Certificate contains-

-GST IN

-LEGAL name

-Date of Registration

Registration is effective from-

→ Date of liability, or

→Date of grant

DEEMED Registration-

 If the proper officer does not take any action within the prescribed time the registration shall be deemed to have been granted.

Special Provisions-

→Aadhar authentication may be required.

→Separate Registration is needed for each state.

→Voluntary Registration is allowed under sec 25(3) even if turnover is below the threshold limit.

Step-by-step Procedure

Liability arises →Online application→GST REG-01→OTP Verification →               Document upload → Officer verification →GSTIN granted.

Documents Required-

Proprietorship -> PAN, Aadhaar, Address Proof

Partnership -> Partnership deed.

Company -> Certificate of Identification

LLP -> LLP Agreement.

All Applicants-> Bank Details + Photograph.