Goods and Service Tax (GST) is the tax levied by the central government and state government together to subsume most of the taxes like Excise Duty, VAT, Service tax, entry tax and even the customs duty.
Hence, it is very important to understand the registration procedure under GST because even the existing dealer will also have to apply for the GST registration online.
Who all are liable to register under GST?
This is one of the most important questions, as once GST is implemented everybody will be asking this question, whether I am covered under GST or not ?
The very basic answer to this question is if you are supplying goods and services not more than 20 Lakh, then you don’t need to register under GST. In other words, if you supply goods or services for more than 20 Lakh, then you liable to register under GST.
GST Registration Process – Step by Step Guide
#Step 1- Verify prelim Details: This step deals with creating a login account on the GST website to initiate the registration process. A person has to submit the email, mobile number and PAN on the GSTN portal. The PAN shall be verified automatically online.
The mobile number and email shall be verified through a One Time password validation system. These details are to be filed in form PART 1 of GST REG-01.
#Step 2- Submit Application form: Once your basic details are verified, one has to fulfil the registration form and complete all the related formalities like uploading documents. Documents required for GST registration are as follows:
- Constitution of taxpayer (Partnership deed, COI, etc.)
- Proof of principle place of business (electricity bill, NOC, rent agreement)
- Bank Account details
The application if submitted online through FORM GST REG – 02.
#Step 3- Verification by GST officer: Once the application is filled and submitted, then it shall be forwarded to the proper officer who will then examine the application and the documents attached. If everything is found to be in order, then GST registration will be granted within 3 working days.
If any deficiency is found in the application, then it shall be communicated to the applicant within 3 working days in FORM GST REG-03.
After getting the deficiencies, applicant will have to respond within 7 working days through FORM GST REG-04.
#Step 4 – No action within 3 working days: If the officer does not respond to you either with deficiencies or approval then the application for grant of registration shall be deemed to have been approved.
#Step 5 – Registration Certificate: When the application is approved by the officer, then a certificate of registration in FORM GST REG-06 shall be issued through a common portal. The applicant can easily download the registration certificate from the common portal using their log in id passwords.
#Step 6 – Separate registration for each branch: If you have different branches in different states, then separate registration needs to be applied for each state.
A registered taxable person eligible to obtain a separate registration for business verticals may file separate application in FORM GST REG-1 in respect of each such vertical.
GST registration will be more complexed in the beginning, hence to avoid mistake it is recommended to fill it carefully.