When is compulsory GST registration required?
- A person registered under the Pre-GST law (i.e., Excise, VAT, Service Tax, etc.)
- Casual taxable persons rendering taxable supplies
- A person who is required to pay tax under section 9(5)
- Those paying tax under the reverse charge system.
- Persons make a taxable supply of any kind between States
- Input Service Distributor, whether or not registered separately under this Act
- Persons supplying products or services, or both, other than supplies referred to in subsection (5) of section 9, by such an electronic commerce operator who is authorised to collect tax at source pursuant to section 52.
- Non-resident taxable persons making taxable supplies
- Persons who are required to deduct tax under section 51, whether or not recorded separately under this Act;
- A person who supplies via e-commerce aggregator or any e-commerce aggregator
- Persons making taxable supplies of goods or services, or both, on behalf of other taxable persons, whether as agents or otherwise;
- Businesses with turnover above the threshold limit of Rs. 40 Lakhs* (Rs. 10 Lakhs for North-Eastern States, J&K, Himachal Pradesh, and Uttarakhand)
- Digital Signature certificate
- Copy of Letter of Authorization/Board Resolution for Authorized Signatory
- Scan Copy of Identity and Address proof of Promoters/Director with Photographs
- Copy of Address Proof of the place of business
- Scan Copy of Bank Account statement/Cancelled cheque
- Copy of PAN of the Applicant
- ScanCopy of Aadhaar card
- Copy of Proof of business registration
How to do GST registration for the branches and business verticals?
- As per the CGST Act, in the union territory, it is necessary to be registered under GST for those suppliers who sell taxable goods and services.
- There is a provision made for the GST registration Rules for getting GST registration for the branches.
GST Registration for Business vertical and Branches in the Different States:
- The GST registration is mandatory in each state and union territory for the person who sells the taxable goods and services where the taxable goods and services are created.
- For Example: If a cloth shop is open in the state of Haryana and Chennai then it is necessary to get registration no. in the state of Haryana and Chennai.
- GSTIN No., the First 2 numbers in the GST registration number are connected to the state of registration. If the Business is running in any two states, then the 1st two number of the GSTIN would change, and the PAN would remain the same in case of more than 1 GST registration in a state then the firm code would also change
- In the GSTIN format, the first 2 numbers in the GST registration number are connected to the state of the registration. Hence, If the business leverage in the 2 different states, then the 1st two numbers of the GSTIN would change, while the PAN of the organization would be the remain the same. Also, in the case of more than 1 GST registrations in the state, then the firm code would also change.
GST Registration for Branches within a State:
In the same state separate GST can also be obtained for the business having multiple business verticals. For the Different GST within a state following condition must be satisfied:
- Have more than one business vertical. Business vertical means a distinguishable component of an enterprise that is engaged in the supply of individual goods or services or a group of related goods or services which are subject to risks and returns that are different from those of the other business verticals.
- The business must not be registered to pay tax under the GST Composition Scheme.
- All separately registered business verticals have to pay tax on the supply of goods or services to another registered business vertical of the same business and have to issue a tax invoice for such supply.
Getting Registration for the Branches:
- GST registration for the branches or different business verticals in the same state can be obtained in FORM GST REG- 01. The GST registration Is applied in the Form GST REG-01 by all the Businesses.
- When the application for the GST registration submitted then it will send to an officer for verification and it takes 7 days to finish the process and generate the GST certification. It is must show the principal place of the additional place.
IN CASE OF TRANSFER OF BUSINESS GST REGISTRATION
If the business is transferred by a GST taxable person which is registered under GST Act, whether by way of succession or otherwise, to another person as a going concern, the transferee of business shall need to be registered from the date of such transfer or succession.
IN CASE OF MERGER AMALGAMATION GST REGISTRATION
Registration in a case of arrangement or amalgamation of business, as the case may be, the demerger of two or more companies to an order of a High Court, Tribunal then, in that case, persons shall be liable for registration.
For regular registered companies:
- Take ITC credit
- Conducting interstate business without limitations
for Composition dealers:
- Less tax liability
- Limited compliance
- Less effect on working capital
For a taxpayer that voluntarily opt-in to register for the GST (Below Rs.40 lakhs*)
- Conducting interstate business without limitations
- Get a competitive advantage compared to other businesses
- Accessible ITC Credit
- Easily register with online & e-commerce websites
* Central Board of Indirect Taxes and Customs announced an improvement in the threshold turnover from Rs 20 lakhs to Rs 40 lakhs. The notice shall enter into force on 1-04-20199. Some state have opted for different threshold thresholds,
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