The date of April 1, 2017, draws closer and businesses are eager to understand and follow the new regulations set up by the GST Council.
But where do businesses get started? In this post, we will share a guide to GST Registration with essential information that you need to know:
Understand the Registration Requirement:
Any personwith a taxable supply turnover of over Rs.25 lakhsis required to register for GST in India. There is also a mechanism available for voluntaryGSTregistration to help claim the input tax credit.
The term ‘person’ under GST law, who are required to pay it, includes proprietorship, partnership firms, Hindu Undivided Family, Company, LLP, Society, and any other legal entity.
GST registration must be obtained within 30 days of exceeding the Rs.25 lakh turnover limit.
In the case of individuals or entities with existing service tax or VAT registration, the procedure for migrating the VAT or Service Tax registration as a GST registration will be announced in due course.
Do you need a GST Registration Number?
It is expected that GST registration would be provided based on your PAN number. Another major advantage of GST implementation is that the same GST registration number can be used in all states across India.
Under the current VAT regimen governed by the State Governments, a VAT dealer must obtain VAT registration in each of the State, incurring additional cost and compliance formalities.
Online GST Registration Procedure:
Registrations for GST can be done online through a portal (https://www.gst.gov.in/) maintained by the Central Government or State Government.
The applicant will have to submit an online application for GST registration using Form GST-1 along with detail of the goods and services to be dealt with.
Online payment for the registration fee would be made available and a temporary GST registration number would be provided on submission of application.
On submission of the application, the applicant would have to print a copy of the application, attach the documents mentioned above and courier the same to the GST department.
On verification of the application, the final GST certificate will be issued by the concerned officer. GST registration procedure is expected to be a completely online process, similar to the service tax registration process.
It’s a simple, streamlined process to follow. Your taxes will be simplified to a large extent and your business will experience the easy flow of goods across state lines.
The GST is an important step towards good governance and you do not have to worry about being taxed multiple times. It’s time to get started with your GST registration.