In this article you will learn GST registration limit and turnover, various types of registrations available in GST for regular, composition dealer etc. If you are new to GST then you must know the meaning and process of all type of registration available under GST in India. Also, You will to come know the procedure to apply GST Registration for your business.
This article includes:
- Introduction
- Registration Types>> Limit for Registration >> Time Limit
- Voluntary Registration >> By Department
- ISD Registration Limit >> Casual Taxable person >> NRI Registration
- UID Registration UIN >> Govt. Organization >> Job Worker Registration
GST Registration Types
How many types of GST registration exist ?
There are 8 different types of registration available under GST. In other words there are 8 categories in GST Registration. These are as below:
- Mandatory GST Registration
- Voluntary GST Registration
- GST Registration by Department
- Unique Identity Number (UID) registration under GST
- Casual Dealers
- Non-Resident
- Input Service Distributor(ISD)
- Job-Worker registration under GST
GST Registration Limit
Every person must take GST Registration as soon as he crosses below the turnover limit. Thus, it becomes mandatory to get register under GST and pay the normal taxes as soon the person meets the below turnover requirements. Therefore, If the person does not cross the below the threshold limit, then he is said to be exempted from the GST Registration. Please see below the different turnover limits set for t
Supplier of Services
The threshold Turnover limit for GST Registration is Rs. 20 lakh for a supplier of services. However, this limit is Rs. 10 lakh for the states of Manipur, Mizoram, Nagaland, and Tripura. Thus, as soon the supplier of services crosses this limit he needs to take GST registration and pay the tax. Also, he needs to file all GST returns as per the existing law.
Further, E-commerce operators need to take mandatory GST Registration who collects tax at source. On the other hand, they are exempted from taking GST registration, if they are supplying services through e-commerce platforms, for turnover of up to Rs. 20 lakh.
Supplier of Goods
The threshold Turnover limit for GST Registration is Rs. 40 lakh for a supplier of Goods. However, this limit is Rs. 20 lakh for the states of Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Puducherry, Sikkim, Telangana, Tripura, and Uttarakhand. Thus, as soon the supplier of goods crosses the above limit he needs to take GST registration and pay the regular tax. Also, he needs to file all GST returns as per the current law.
What is the time limit?
Every person who becomes liable for gst registration shall apply within 30 days from the date of his liability starts.
However, a casual taxable person and non resident taxable person shall apply for gst registration prior to 5 days before his commencement of business.
Who is not liable to take Registration?
The person is not liable for gst registration if he meets below situations:
- If he is exclusively into business of supplying goods and services or both which are either not liable to tax or are wholly exempt from tax under GST Act.
- If he is an agriculturist, providing goods or services for the purpose of agriculture as per section 2(7) of revised GST Law.
Read > Other notified Exempted persons
Whether trader of country liquor is required to migrate to GST from VAT as liquor is out of GST law?
If the person is involved in 100% supply of goods which are not liable for GST, then no registration is required.
Can we use or start using provisional GSTIN till new one is issued?
Provisional GSTIN (PID) should be converted into final GSTIN within 90 days. Yes, provisional GSTIN can be used till final GSTIN is issued. PID & final GSTIN would be same.
Voluntary Registration
Meaning
Voluntary GST Registration is a type registration where a person is not liable to register as per the law. But he can himself register under GST to obtain various benefits available in the current system.
- As per schedule V the person who is not liable to take registration compulsory, may register voluntarily. All provision will be applicable to him after gst registration as per section 23(3).
- If a person applies for voluntary gst registration and does not commence business after 6 months of registration, than a proper officer may cancel his registration.
- The person who applies for voluntary registration cannot apply for cancellation of gst registration within 1 year of its registration.
GST registration by department
Department can issue registration to the person in below cases. This is one type of suo-moto registration under GST.
Can a Department register a person under GST?
- If a person is liable to be registered under GST, and does not register himself within 30 days of his liability then department reserves the right to register such person.
- The proper may issue an order in form GST REG-13 and issue a temporary registration to the person subject to following condition. During any survey, search, inspection or enquiry a proper officer finds that a person is liable for registration and he failed to apply for registration.
- This type of registration is effective from the date of order of registration.
- Every such person who has been granted temporary registration, shall file an application for mandatory registration within 30 days of such registration. If the said person has filed an appeal against the grant of temporary registration, than he need not have to apply for mandatory registration after issue of temporary registration by the department.
- If the appeal has been filed against temporary registration issued by the department, than an application for registration shall be filed within 30 days after the date of issuance of order upholding the liability to register by the appellate authority.
GST Registration of Input service Distributor (ISD)
Who is input service Distributor under GST ?
Input service distributor is a person who distributes input tax credit available in his ledger. He distributes the credit of cgst or sgst and igst paid on the services. such credit he gets from the taxes paid by his other offices having same PAN in the country.
- There is no threshold limit is specified for GST registration by the ISD.
- Input service distributor shall obtain separate registration which is different from the normal registration.
- A taxable person can have multiple number of ISD registrations across the country.
Casual Taxable person Registration
Who is casual taxable person under GST?
- Casual taxable person is person who has no fixed place of business. In General, he occasionally undertakes contract as a principal, agent or as other capacity in a taxable territory.
- Needs to take registration in that particular state for such period.
- At the same time, he needs to apply for gst registration atleast 5 days prior to commencement of such business.
- On one hand, he can apply for registration for maximum number of days is 90. He can further extend such period for additional 90 days.
- On the other hand, he shall make taxable supplies only after receipt of GST Registration certificate.
- Secondly, he shall deposit advance tax at the time of making application for input service distributors registration. He shall deposit such tax on the basis of estimation of liability. Advance tax shall be payable for period of such registration is sought.
- Also, he needs to deposit advance tax, if he extends the registration for further period.
- Can claim input tax credit on purchase or inward supplies.
- Has different type of registration format and even returns under this rule.
- Period or validity of such business is written in registration certificate.
GST Registration of Non-Resident person
Who is non-resident taxable person?
- Non Resident taxable person is person who has no fixed place of business. Secondly, he occasionally undertakes agreement as a principal, agent or as other capacity in a taxable territory.
- On the other hand, he needs to apply for gst registration at least 5 days prior to commencement of such business.
- Also, he needs to apply registration under gst on the basis of any other document rather then PAN card as per section 23[5]
- Further, he shall make taxable supplies only after issue of GST Registration certificate.
- Thereafter, he shall deposit advance tax at the time of making application for input service distributors registration. At the same time, he shall deposit such tax on an estimated liability for the period for such registration is sought.
- Also, he needs to deposit advance tax, if he extends the registration for further period.
- He shall deposit additional advance tax for further extension if sought.
Unique Identity Number (UID) for United Nation (UN) bodies
Who requires UID and what is the procedure to register?
Below bodies requires Unique ID to claim Refunds under GST.
- Any specialized agency of the united nations organizations
- Any multilateral financial institution and organization notified under the united nations act 1947.
- The consulate or embassy of foreign countries.
- Any other person notified by the board or commissioner
- Supplier must mention UID on all invoices for making supplies to these bodies.
- All such supplies comes under B2B suppliers.
- Supplier shall upload the invoices.
- He needs to submit an application in form GST REG 09 through GST portal.
- Thereafter, a proper officer may assign a UID to the said person and issue a certificate.
Unique Identity Number for Government Organization
Do Government organizations require Registration?
- According to the sec 2(170 read with section 3(3) of revised mode of GST law, the central government, a state government or any local authority shall be regarded as taxable person with regards to the activities other then those mentioned in schedule IV.
- The schedule IV specifies the activities or transactions by the central and state government or any other local authority which do not comer under goods nor service category.
- The government department shall apply for PAN if they are need to obtain GST registration.
- A unique ID will be given to these type of authorities by the respective tax authorities through GST portal.
Job Worker and GST Registration
A job worker does not require compulsory registration under GST. As per section 55 there is no such condition. However, he needs to apply for GST registration once he cross his aggregate turnover limit.
At the same , the principal supplier is allowable to supply goods from the place of job worker to the end customer. But the job worker shall get register under GST.
Also, it is possible to supply goods from job workers premises, if the principal supplier declare the place of business of the job worker as his additional place of business.
Can I apply for multiple GST Registrations on
Yes, now taxpayers can opt for multiple GST registration under Single PAN number in same state/union terr
Whether aggregate turnover includes turnover of supplies on which tax is payable by the recipient under reverse charge?
Yes, the outward supplies on which tax is paid on reverse charge basis by the recipient will be included in the aggregate turnover of the supplier.
Read > Notified GST Exempted persons
Frequently Asked Questions
Question 1: Is gst registration mandatory?
Answer 1: yes, once you crosses the exemption limit.
Question 2: What is GST registration number?
Answer 2: It is a 15 digit unique number provided by the GST portal to the registrant.
Question 3: Who needs gst registration?
Answer 3: The service provider and supplier of goods need GST registration in India.
Question 4: Is GST registration free?
Answer 4: Yes
Question 5: In how many days GST registration is approved?
Answer 5: Within three days of submission of application.
Question 6: What if GST registration is cancelled?
Answer 6: You can revoke the cancellation.
Question 7. can gst registration be cancelled?
Answer 7: yes.
Question 8: how many gst registrations on one pan can be taken?
Answer 8: One Registration. However, for multiple business verticals, more registration can be taken.
Question 9. Is GST registration required for different states?
Answer 9 : Yes
Question 10: who are exempted from gst registration?
Answer 10: The supplier of goods or services whose previous year turnover is less than Rs. 20 lakh.
Question 11: At the time of registration will the Job worker have to declare all his places of business?
Answer 11: Yes. The principal place of business and place of business have been separately defined under section 2(89) & 2(85) of the CGST/SGST Act respectively. The taxpayer will have to declare the principal place of business as well as the details of additional places of business in the registration form.
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