How To Register For GST Number online: If you want to do business then GST registration has also become almost necessary. Almost because some businesses are kept out of the purview of GST. However, if your business comes under the purview, then how can you get entry into this system, that is, how will your GST registration be done?
As per the GST Act, if your financial turnover is more than Rs 40 lakhs, you need to register under GST. For northeastern states and hill states, this limit is 10 lakhs.
Table of Contents
What is GST?
A GST or the Goods and Service Tax is a single or indirect tax implemented by the Government of India, if you are running an online business or providing services like hotels, restaurants, shopping, factories, etc. then the government charges GST. How To Register For GST Number online | GST Registration Kaise Kare
One of the biggest reforms of the system of GST is Indirect Tax. GST was started by the Modi government in India on July 1, 2017, in the country. It has been brought to increase the economic development in the country.
GST i.e. Good and Service Tax This is a tax system where a single tax is levied on the supply of Goods and Services. GST is one of the biggest reforms of the indirect tax system. GST was started by the Modi government in India on July 1, 2017, in the country. It has been brought to increase the economic development in the country.
There are mainly four types of JST tax collected in India, namely Central GST, State GST, Union Territory GST, and Integrated GST. Central GST is levied on supplies within a state, State GST is also levied on intra-state supplies, Union Territory GST is levied on supplies within a union territory or Integrated GST is levied on interstate supplies and imports.
What is CGST?
The full form of CGST is “Central Goods and Services Tax”. CGST is referred to as the central tax which is levied on the transactions of goods and services occurring within a state. Applied by the central government, CGST replaces all other central taxes including state tax, CST, SAD, etc. Under CGST the prices of goods and services are charged as per the original market value. The CGST Act has been provided for by the Central Government for the intra-state supply of goods or services and for tax and matters connected therewith or levy and tax relating to tax. How To Register For GST Number online | GST Registration Kaise Kare
The CGST Act is spread throughout India except in the states of Jammu and Kashmir. There was no provision for this in Jammu and Kashmir, but now GST has been implemented on that too. The CGST Act has come into force from 1st July 2017 and has been notified by the Central Government in the Official Gazette.
What is SGST?
GST is a destination-based tax, hence an end-user consuming any goods or services is liable to pay Goods and Services Tax. This tax is collected by the state in which the goods or services are consumed and not by the state in which such goods are manufactured. In cases of exports, the seller of goods or services is exempted from paying tax. But if the export area of that trader is the same where it is being manufactured, then GST will be taxed on that too.
The full form of SGST is “State Goods and Services Tax”. Like CGST and IGST, SGST is also a component of GST. The Act to be followed after GST is the State Goods and Services Tax Act 2017. Therefore, after the introduction of SGST, all other indirect taxes levied by the state government in the old taxation system got membership under SGST. In addition, all taxes collected under SGST remain in the hands of the state governments.
- SGST is levied and collected by the respective state government.
- Every state has its own State GST Act.
- SGST is levied on all goods and services supplied by the states for consideration.
- The tax collected is deposited in the accounts of the respective state.
- Each state has a separate SGST Act under its own State Goods and Services Tax department.
- The basic features of the GST law for all states such as duty, assessment, taxable incidence, measurement, classification, etc. The respective Acts of each state are the same.
- SGST is not applicable on exempted goods and services as they do not come under the effect of GST.
- Further, SGST is also not applicable where the total annual turnover is less than the prescribed limit.
Difference between CGST and SGST
|CGST is Central Goods and Service Tax.
|SGST stands for State Goods and Service Tax.
|What are the taxes that are subscribed to?
|Various indirect taxes of Central Excise Duty, Central Sales Tax (CST), Service Tax, Additional Duty of Excise, Excise Duty, CVD (Additional Customs Duty – Countervailing Duty), SAD (Special Additional Duty of Customs) Surcharge and Cess combined with CGST Has been given.
|In SGST, taxes such as state sales tax, VAT, luxury tax, entertainment tax (unless it is levied by local bodies), tax on lotteries, betting and gambling, entry tax, state cess, and surcharge are related. The supply of goods and services etc. has been reduced.
|Share of tax revenue
|The share of tax revenue under CGST is for the central government.
|The share of tax revenue under SGST is for the state government.
|Utilization of credit
|A dealer can avail input tax credit of CGST against CGST or IGST. The credit of CGST cannot be used against SGST
|A dealer can avail input tax credit of SGST against SGST or IGST. The credit of SGST cannot be used against CGST.
Impact of GST on Indian Economy and Benefits
GST provides many benefits for our economy. Here are some of the Impact of GST on the Indian Economy and Benefits
- Create a unified common national market for India, which will encourage foreign investment and “Make in India” campaign
- Promote export and manufacturing activity and lead to real economic growth
- Help eradicate poverty by creating more jobs
- Uniform SGST and IGST rates to reduce the incentive for tax evasion
- Impact of GST on Consumers
GST is also beneficial for consumers. Here’s how it affects Indian consumers:
How To Register For GST Number online | GST Registration Kaise Kare
- simple tax system
- Reduction in the prices of goods and services due to the elimination of cascading
- Uniform prices across the country
- transparency in the taxation system
- increase in employment opportunities
- Impact of GST on Traders
GST also has some positive effects on traders. Let’s see how this affects traders:
- reduction in the abundance of taxes
- Reduction of Cascading/Double Taxation through Input Tax Credit
- More efficient neutralization of taxes especially for exports
- development of common national market
- simple tax regime
- low rates and discounts
- Distinction between goods and services is no longer necessary
Penalty for not registering under gst
If you are eligible for registration in GST and do not get the registration done, then you may also face a penalty. This penalty will be charged in this way. Penalty for not registering under GST.
If you have not deposited GST or have deposited room amount from the amount of GST generated on yourself, then you will have to pay a 10 percent additional amount as a Penalty from the tax generated on yourself.
How To Register For GST Number online | GST Registration Kaise Kare
This Penalty also cannot be less than 10 thousand rupees. That means 10 percent of the tax and 10 thousand rupees, whichever amount is more, you will have to deposit it.
If you are found guilty of knowingly not depositing the tax, then this penalty will be up to 100% of the tax on you. That is, the tax will have to be paid twice.
However, on other genuine errors, this penalty will be only 10% of the tax payable to you.
Why GST registration is necessary?
You will get legal recognition as a supplier of goods and services only after getting registered under GST. You will get the convenience of collecting tax under GST from the buyers of your goods or services and then later adjusting the same with the GST paid on your own purchases.
In this way, if you are not the final consumer, then whatever level you have paid GST, you will get it back from the government by way of adjustment. If you come under the purview of GST registration, then it will be mandatory for you to mention the GST number on the board and bill of your company or establishment.
Who has to do GST registration
Businessmen whose business was registered under the existing tax laws before GST, such as Central Excise Act, Service Tax Act, Central Sales Tax, or State VAT Act, were given registration numbers by migrating directly to GST on the basis of PAN number.
Those who were not registered under these rules, and their business is within the scope of GST registration (annual turnover of 20 lakhs), have to apply for GST registration. Also, registration will be mandatory for new businessmen who start a business with these capabilities. As per the rules, as soon as your business comes under the purview of GST, it is necessary to apply for registration within 30 days.
It is mandatory for the businessmen whose annual turnover is more than Rs 20 lakhs to get them registered under GST. For the businessmen of Northeast states, the annual turnover limit has been kept at Rs 10 lakh only. If you fall within this limit, then whatever goods or services you supply, you will have to pay GST to the government.
In these situations also registration in GST will have to be done.
If your annual turnover is less than Rs 20 lakh and your income comes in taxable income, even then in some situations it is mandatory for you to get GST registration done. What are these situations, let us know.
If you supply goods and services from one state to another. Also, even if your income comes in the taxable income limit, you will still be required to get GST registration done. Even if your annual turnover is less than 20 lakh rupees.
There are people in this category who do business by moving from one state to another, but there is no fixed place to supply their goods or services. He does his business according to favorable opportunities. For example, temporarily trading firecrackers around Deepawali, Rakhi business around Rakshabandhan, or those doing business of colors and during Holi. If their income is also taxable, then it is mandatory for them to get GST registration done.
Non-resident taxable person
A non-Resident Taxable Person is considered to be one who resides in any country outside India. Here he neither has a permanent residence nor a permanent business place i.e. Office. He sometimes comes to India and does transactions. He is also in the category of taxpayers. It is mandatory for such businessmen to get GST registration done.
Supplies on behalf of taxable person.
If you do goods and supplies as an agent of another business. If his business comes under the eligibility of GST Registration, then it is mandatory for you to take GST Registration. Agents, Brokers, Dealers, etc. come in this category.
Input Service Distributor
In GST, Input Service Distributor is defined as the office of the supplier of any goods or services. These can be of the main office, administrative office, corporate office, regional office, depot, and other types. This happens in a situation when the goods are made in many places, but their billing is happening in one place only. They also have the right of Input Tax Credit under the cover of Tax Challan. If it is related to Taxable Person then it is mandatory to get GST registration done.
Note: Once the registration certificate is generated, it will be permanent. Your certificate will be valid until it is surrendered on your behalf or canceled or suspended or withdrawn for serious violation of the rules.
Note1: Here Turn Over means the whole business is done in the whole country. If the business is being done in two different places or two different states under the ownership of the same person, even then this business will be considered under the same unit.
Note2: The North-East states whose businessmen fall in the turnover limit of 10 lakhs are Assam, Arunachal Pradesh, Nagaland, Manipur, Meghalaya, Mizoram, Tripura, Sikkim, Jammu & Kashmir, Himachal Pradesh, and Uttarakhand.
How To Register For GST Number online | GST Registration Kaise Kare
Now, let’s know how to register for GST Number
Documents for GST Registration
Important documents for GST registration:- The GST registration process is quite easy. For this, the following documents are required for GST registration. GST Number Registration
- your PAN card
- Incorporation certificate of business
- Business owner’s ID with address proof and photograph
- Registered Address Proof of Business
- your bank account statement
- Scanned copy and bank statement of first page of Bank Passbook
- Any document showing the ownership of the premises such as the latest property tax receipt, Municipal Khata copy or copy of the electricity bill.
- Copy of Landlord’s documents like latest Property Tax Receipt or Nagar Khata Dak or Electricity Bill along with rent/lease agreement.
- Class 2 digital signature (if you run a company or a limited liability partnership)
- All documents must be in PDF or JPEG format.
- The size of the document should not be more than 1 MB. The size of the photo key should not exceed 100 KB.
How To Register For GST Number online
Getting registered in GST is as easy as filling out an online form for admission to a college university. You must have an internet facility. You can complete your online registration sitting at home or from the office itself. Just keep the necessary documents with you, open the computer or smartphone, click on the web address of the GST portal www.gst.gov.in. Your GST Registration will be completed in a few easy steps. As your pre-preparation, we are also giving here stepwise information about the complete process of GST Registration. So let’s know, how will be the registration in GST…
As soon as you click on https://www.gst.gov.in/, or https://reg.gst.gov.in/registration/ the page that opens in front of you, check whether the process of GST New Registration is on or not. If the process will not start, then the date of its further start will be written. If the process is started then select Form GST REG-01.
Part-A will be filled first in Form GST REG-01, in which some information related to your personal identity will be asked to be filled. Such as PAN, mobile number, E-mail ID, etc. Fill them out and submit.
As soon as Part-A of GST REG-01 is submitted, your PAN number will be verified by the GST Portal first. For this, an OTP number (one-time password) will be sent to the mobile number and e-mail ID given. Confirm your identity by filling it in the specified place in the portal.
Note: While verifying your mobile number and email address from the GST portal, OTP numbers will be sent separately for both items. Note that do not enter the OTP of anyone in the other or else the verification will fail.
As soon as the confirmation is done, and Apply Reference Number (ARN) will be sent to you by the portal on your mobile number and email ID. Note down this number. This number is to be filled in the next part of the form i.e. Part-B.
The photograph of STEP-5 is also to be attached.
Now the Part-B of GST REG-01 comes in front of you. In this, you will be asked to submit a copy of the necessary documents related to your identity and your business. Copies of all documents have to be submitted online only. After filling all the documents, enter your ARN number and submit Part-B of the form.
Note: While filling the Part-B, the documents you will submit online, while collecting them, keep in mind their format and size as well.
In addition to the information you have given, if any additional information is required, Form GST REG-03 will be issued to you on the portal to demand the same.
Within 7 working days from the date of receipt of Form GST REG-03, you have to fill and submit additional information in Form GST REG-04.
Issue of registration certificate in Form GST REG-06 within 3 days from the date of receipt of Form GST REG-01 or Form GST REG-04 if you have given all the required information in Form GST REG-01 or Form GST REG-04 Will be done.
If the given details are not satisfactory, the registration application through Form GST REG-05 will be rejected.
GST Registration Fees
There is no registration fee in GST. You can complete the online registration process by visiting the GST Portal yourself. Yes, if you register with a professional, then it can have its own fee. Apart from this, for registration, you need OTP or Class 2 Digital Signature associated with the Aodhaar card. If you take Digital Signature, then it costs 1000 rupees.
Who is exempted from GST registration?
Businessmen with an annual turnover of less than Rs 20 lakh will not come under the purview of GST. If you are involved in the business of any such goods or services which are exempted from tax under the GST Act, then you do not need to register in GST.