gst faqs - GST Registration

GST REGISTRATION

Make your Growing Business GST compliant

FAQS (Frequently Asked Questions)

Q1. Can a person get voluntarily registered under GST even though he is not liable?

Ans : Yes, a person can get registered voluntarily under GST in terms of sub-section (3) of section 25. All the provisions will apply to him as they apply to a registered person.

Q2. Can a business operate across India with one GST number?

Ans : No. An entity operating in multiple states will have to get registered separately for each of the States from where taxable supply of goods or services is made.

Q3. Is PAN mandatory for registering under GST?

Ans : Yes. PAN is mandatory for normal taxpayers and casual taxable persons to be registered under GST. However, PAN is not mandatory for a non-resident taxable person for obtaining registration.

Q4. What is the validity of GST certificate?

Ans : Once GST certificate is granted, the registration is valid until its surrendered or cancelled or suspended. Only GST certificate issued to non-resident taxable person and casual taxable person have a validity period.

Q5. Can an unregistered business collect GST from customers?

Ans : No, an unregistered person without GSTIN cannot collect GST from customers or claim input tax credit of GST paid.

Q6. GST Registration Limits

Ans : There are various types of GST registration and some types of entities like casual taxable persons, non-resident taxable persons or persons supplying through eCommerce operators are required to mandatorily obtain GST registration irrespective of turnover limit. The GST turnover limit for regular GST registration for service providers and goods supplier is provided below.

Service Providers: Any person or entity who provides service of more than Rs.20 lakhs in aggregate turnover in a year is required to obtain GST registration. In special category states, the GST turnover limit for service providers has been fixed at Rs.10 lakhs.

Goods Suppliers: As per notification No.10/2019 any person who is engaged in the exclusive supply of goods whose aggregate turnover crosses Rs.40 lakhs in a year is required to obtain GST registration. To be eligible for the Rs.40 lakhs turnover limit, the supplier must satisfy the following conditions:

Should not be providing any services.
The supplier should not be engaged in making intra-state (supplying goods within the same state) supplies in the States of Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Puducherry, Sikkim, Telangana, Tripur and Uttarakhand.
Should not be involved in the supply of ice cream, pan masala or tobacco.

If the above conditions are not met, the supplier of goods would be required to obtain GST registration when the turnover crosses Rs.20 lakhs and Rs.10 lakhs in special category states.

Special Category States: Under GST, the following are listed as special category states – Arunachal Pradesh, Assam, Jammu and Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh and Uttarakhand.

Aggregate Turnover: Aggregate turnover = (Taxable supplies + Exempt Supplies + Exports + Inter-State Supplies) – (Taxes + Value of Inward Supplies + Value of Supplies Taxable under Reverse Charge + Value of Non-Taxable Supplies).

Aggregate turnover is calculated based on the PAN. Hence, even if one person has multiple places of business, it must be summed to arrive at the aggregate turnover.

Q7. Do the payer needs to take separate GST Registration for multiple branches with same state?

Ans : An entity will have a single registration in each state for each PAN. Therefore, it can list only one place as its principal place of business and show all the other branches as additional places of business in that state. However, an entity can obtain separate registrations if in case it has separate business verticals within the state.

Q8. What is composition scheme?

Ans : Any existing taxpayer whose annual turnover did not cross Rs 1.5 crore threshold or Rs.75 lakhs in the preceding financial year.

Q9. Who is an ISD? Will ISD require a separate registration?

Ans : ISD means Input Service Distributor. It is like a head office that receives the tax invoices of input services and then further distributes the credit of tax paid by it to its units proportionately.The ISD registration is different from the normal registration for the taxpayer.

Q10. Is cancellation of GST Registration possible?

Ans : Registration can be cancelled in 2 scenarios:

When the taxable person wishes to voluntarily cancel his GST registration.
When the proper officer, on default by the taxable person, moves to cancel the GST registration on his own motion. This may be when the person is not doing business from his declared registered place of business or if he issues tax invoice without making the supply of goods or services.

DISCLAIMER POLICY

eComHelp is a privately operated platform offering professional consultancy and facilitation services related to business compliance and registrations. We are not a Government website and are not affiliated with, endorsed by, or connected to any Government authority or department.

The forms available on this website are not official Government registration forms. They are used solely to collect information from clients to understand requirements and to facilitate the delivery of our services.

All fees paid on this website are charged for professional consultancy and platform services, not Government fees. Where required, services may be fulfilled with the assistance of third-party professionals or service providers.

eComHelp does not provide legal advice or legal representation. If you require legal assistance, you should consult a qualified lawyer or law firm.

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