GST Registration: Process, Documents, Threshold limit, Benefits, Time kaken and Fees

GST was implemented in 2016 under the Goods and Services Act. The main objective of this Act was to implement the idea of “One Nation One Tax” worldwide. It is levied on the sale of goods and services, GST replaces all taxes such as sales tax, service tax, and VAT. The GST registration process usually takes 7 working days. The BIzfoc professional Team can help you obtain GST registration faster in easy steps. Goods and Services Tax (GST) registration is a crucial process for businesses operating in countries that implement GST.

It involves obtaining a unique GST identification number (GSTIN) from the government, enabling businesses to collect tax on behalf of the government and avail input tax credit for the taxes paid on their purchases. GST registration ensures compliance with tax laws and enhances the credibility of the business. This process is mandatory for businesses exceeding a specified turnover threshold, and it facilitates smoother interstate trade by integrating various indirect taxes into a single, unified tax system. In India, 1.23 Crore taxpayers are registered under the GST.

What is GST Registration?

GST Registration is a necessary process for a business whose threshold limit exceeds particular revenue in a financial year must register as a regular taxable person. It provides legal recognition, ensures compliance with tax and allows taxpayers to claim Input tax credits. GST makes the compliance of tax easy and increases the transparency of the tax collection. If any company fails to register under GST then it is an offence under GST and heavy penalties will be imposed. GST is a tax which is implemented throughout the world. It also offers many benefits such as claiming input tax credits and avoiding double taxation

GST Registration Number

Good and Service Tax Identification Number (GSTIN) is a unique 15-digit alphanumeric code that serves every taxpayer in India.

GST Registration Certificate

After completing the GST registration process, you can download the GST registration Certificate from the taxpayer dashboard. This certificate serves as an official confirmation of the government eligibility and benefits.

GST Registration threshold limit

GST threshold limit refers to the maximum limit of financial year turnover, beyond which a person needs to register under the GST. It is necessary to understand the threshold limits of GST registration for all businesses to ensure compliance.

The GST threshold limit has two categories: regular state and special category states. The limit of regular state was increased from Rs. 20 lakhs to Rs. 40 lakhs. Special category states including Jammu and Kashmir, Uttarakhand, Himachal Pradesh, and the North-Eastern states, retain the limit of Rs. 20 lakhs.

How to apply for the GST Registration Process in India?

GST registration process in India is of two-stage Part-A and Part-B:

• Step 1: Go to the official website

  Visit the official website of GST registration, fill out the Part-A form and enter all the information including PAN, Email, mobile number, state, district, and legal name as per PAN.

• Step 2: Fill Part- A form

  After completing Part-A, it generates a Temporary Reference Number (TRN) which is valid for 15 days.

• Step 3: Fill out Part-B form

  The applicant needs to fill Part-B and enter all the details with mandatory documents. All the data should be authentic and validated by the government record.

• Step 4: Submit the application form

  After completing the Part-B process, it will generate the Application Reference Number (ARN) which is sent to the taxpayers by email and text SMS. After submitting it, the application goes to a Tax official for processing. Tax officials will respond within 3 working days either approval or raising any queries.

• Step 5: Get the GSTIN number

  If the tax official approves the application, the applicant receives a Goods and Service Tax Identification Number (GSTIN), a temporary password in their email, and a Registration Certificate available in the dashboard of the taxpayer. However, if the application gets rejected by the tax officials, the applicants need to clear all the queries within 7 working days to get a GST registration certificate. Always check the GST Registration status daily to get updates about it.

Check the required GST Registration Documents

For obtaining a GST registration certificate, the following documents are required depending upon the business category:

Who all persons are liable for Registration under GST?

GST registration is mandatory for various types of businesses and individuals under the GST law. The following are required to register under GST:

• Any taxpayer who makes Inter-state supplies of Goods and services.
• People liable to deduct tax collected at source (TCS) or Tax Deducted at Source (TDS).
• Agents making supplies on behalf of other registered taxpayers.
• People making a casual supply of taxable goods and services.
• Successors/new owners in case of Proprietor's death, transfer of business, merger/demerger resulting in an ownership change.
• People who pay tax under reverse charge mechanism.
• Suppliers of Goods/Services with annual aggregated domestic PAN-based turnover exceeding the state's specified threshold limit.
• E-commerce portal operators and merchants making supplies through e-commerce portals.
• Input Service Distributors.
• UN Bodies and embassies.
• Non-resident taxable persons engaged in the supply of goods or services in India.
• Other notified persons, including Government bodies.

GST Registration Fees in India

There are no prescribed government fees for GST registration; it is free of cost. However, to save time and effort, consider engaging Bizfoc's professional team, who offer GST registration services with the following charges:

Time Taken for GST Registration in India

To register under GST, you can get in touch with us. Bizfoc professional team members not only help you understand the process of GST but also save valuable time. We will complete the GST registration process within 7 working days.

Benefits of GST Registration

The benefits of GST registration are numerous and include the following:

• Easy to start a business: Starting a business is easy with a GST registration certificate as you don't need to deal with different rules for other states. It also makes it simple to carry out the transaction of the business across state borders without following different rules and regulations.
• Composition scheme: The government introduced the tax composition scheme for businesses with an annual turnover rate of Rs. 20 lakhs and 75 lakhs. This scheme is beneficial for small businesses.
• Simplified the process: GST makes the business easy as now calculating tax takes less time and experience a smooth tax-paying process.
• Threshold Limit of GST Registration: Before implementing GST under the VAT format, if any business has a threshold limit of five lakhs it is required to pay VAT in almost every state. However, the GST has a higher threshold of twenty lakh.
• Less Number of compliances: In GST there are fewer returns to be filed. Before the VAT and service had their own different return and compliance schemes. GST has decreased the number of returns that need to be filled.

How to Check GST Registration Number Online?

Once you complete the GST registration process, you can check the status of your GST registration online in the following ways:
Once the application is submitted to the online portal you can track the GST registration number by entering the ARN (Application Reference Number).

• Post-Login: You can track the status of any registration application (like new registration, core amendment, cancellation of registration, etc.) at the post-login stage, once a new registration application is submitted on the Portal, using ARN or submission period.
• Using TRN: You can track the status of a new registration application using ARN, once Part B of a new registration application is submitted on the GST Portal, post-login (using TRN).
• Using SRN: You can track the status of a new registration application using SRN, which was generated on submission of the registration application on the MCA Portal, at the pre-login stage.

Penalty for not getting GST registration

The taxable person/supplier who failes to get the GST registration once sales exceeds the threshold limit or start selling goods or providing services to other states need to get the GST registration. In case, taxable person/supplier fails to get the GST registration, he is liable to pay a pay penalty of ₹10,000 or tax evaded, whichever is higher.

Why Choose BizFoc for GST Registration?

If you want to do GST registration verification then you came at the right place as Bizfoc offers reliable GST registration service in India. We have qualified team members that have many years of experience in GST registration. Get in touch with us to register your business at an affordable price.

Conclusion

Obtaining GST registration is crucial for any business operating in India. It ensures legal compliance and provides access to benefits such as seamless input tax credit and enhanced credibility. The GST registration process, though straightforward, requires attention to detail and adherence to guidelines. By securing GST registration, businesses can streamline their tax processes, foster growth, and contribute to the economic development of the country.