Free Consultation by Expert
<
Many thanks to Setbharatbiz. We had an excellent experience working with its expert. They have a strong sense of professionalism when dealing with clients.
Mudassir CEO, Twinfinty DigiTech SolutionsWe would recommend Setbharatbiz incorporation services to any founder without a second doubt. The process was beyond efficient and shows Setbharatbiz founder's vision
Nagasrinivas Director,Prakash Nagasrinivas & Saradhy AssociatesI was searching for a company for assistance in the incorporation services. Then one of my friend tell me about Setbharatbiz and definitely the Setbharatbiz is the best.
Prakash Kakani Director, PNS EV HubOverview
GST (Goods and Services Tax) Registration in India
The Goods and Services Tax (GST) is a comprehensive, multi-stage, destination-based tax that is applied on the supply of goods and services across India. Launched in July 2017, GST replaced a multitude of indirect taxes and unified India’s tax structure, making it simpler for businesses to comply. GST is mandatory for businesses exceeding specified turnover thresholds and for certain categories such as e-commerce operators and interstate suppliers. The GST registration process is managed by the GST Network (GSTN) and can be done entirely online via the GST portal.
Why Registration is Important
1. Legal Compliance: Mandates businesses to collect and remit GST, ensuring adherence to Indian tax regulations
2. Input Tax Credit (ITC): Registered businesses can claim ITC on purchases, reducing their overall tax liability.
3. Market Expansion: Enables businesses to conduct interstate trade without additional tax barriers.
4. Enhanced Credibility: GST registration builds trust among customers, suppliers, and financial institutions.
5. Access to Government Tenders: GST registration is often required for participationin government contracts and tenders.
Documents Required
For Proprietorship
For Partnership Firm/LLP
For Private Limited Company/Public Limited Company
Features
GST (Goods and Services Tax) Registration in India
Input Tax Credit
Mandatory Filing
Threshold-Based Requirement
Composition Scheme
GST
Interstate Supply
Multiple Business Verticals
Reverse Charge Mechanism
E-Way Bill Generation
Digital Filing System
Comparison of Regular GST vs. Composition Scheme
| Feature | Regular GST | Composition Scheme |
|---|---|---|
| Eligibility | Separate Legal EntityMandatory for interstate and large businesseseparate Legal Entity | Optional for businesses with turnover up to ₹1.5 crore |
| Input Tax Credit | Available | Not Available |
| Returns Filing | Monthly and annual returns | Quarterly and annual returns |
| Interstate Trade | Permitted | Not Permitted |
| Invoice Type | Tax Invoice | Bill of Supply |
| E-Way Bill Requirement | Yes | Yes |
| Best for | Larger businesses, interstate traders | Small businesses operating within a state |
Frequently Asked Questions
Who is required to register for GST?
Businesses with an annual turnover exceeding ₹20 lakh (services) or ₹40 lakh (goods) in most states must register. Registration is mandatory for interstate suppliers, e-commerce operators, and certain categories of businesses.
Can I voluntarily register for GST?
Yes, businesses below the turnover threshold can voluntarily register to avail of input tax credit and enhance credibility with clients.
What is a GSTIN?
A GSTIN is a unique 15-digit number assigned to each GST-registered business, used for tax filings and invoicing
Can I register for GST in multiple states?
Yes, businesses operating in multiple states must register separately in each state where they have a place of business.
What is the Composition Scheme?
YThe Composition Scheme allows small businesses with turnover up to ₹1.5 crore to pay a flat GST rate with simplified compliance, though they cannot claim input tax credit or engage in interstate sales.
Is there a penalty for not registering under GST?
Yes, failure to register for GST when required can lead to penalties and interest on unpaid taxes. Unregistered businesses cannot collect GST from customers or claim input tax credit.
GST Registration in India
Overview
GST (Goods and Services Tax) Registration in India
The Goods and Services Tax (GST) is a comprehensive, multi-stage, destination-based tax that is applied on the supply of goods and services across India. Launched in July 2017, GST replaced a multitude of indirect taxes and unified India’s tax structure, making it simpler for businesses to comply. GST is mandatory for businesses exceeding specified turnover thresholds and for certain categories such as e-commerce operators and interstate suppliers. The GST registration process is managed by the GST Network (GSTN) and can be done entirely online via the GST portal.
Why Registration is Important
1. Legal Compliance: Mandates businesses to collect and remit GST, ensuring adherence to Indian tax regulations
2. Input Tax Credit (ITC): Registered businesses can claim ITC on purchases, reducing their overall tax liability.
3. Market Expansion: Enables businesses to conduct interstate trade without additional tax barriers.
4. Enhanced Credibility: GST registration builds trust among customers, suppliers, and financial institutions.
5. Access to Government Tenders: GST registration is often required for participationin government contracts and tenders.
Documents Required
For Proprietorship
For Partnership Firm/LLP
For Private Limited Company/Public Limited Company
Timeline
- TRN Generation: Immediate
- Completion of Application: 1-2 days if documents are ready
- GSTIN Issuance: Typically 3-7 days after application, subject to verification
Features
GST (Goods and Services Tax) Registration in India
Each registered business receives a unique GSTIN, which is required for GST compliance, filings, and invoices.
Registered businesses can claim ITC on inputs, allowing them to offset tax paid on purchases.
Registered businesses must file periodic returns (monthly, quarterly, and annually) to report sales, purchases, and taxes.
GST is mandatory for businesses with annual turnover exceeding ₹20 lakh (services) or ₹40 lakh (goods) in most states, with lower thresholds for special-category states.
Small businesses with turnover below ₹1.5 crore can opt for the Composition Scheme, paying a flat tax rate and filing quarterly.
Registered businesses can engage in interstate trade without additional tax barriers.
Businesses can obtain multiple GST registrations for different verticals within a single state.
Registered recipients are responsible for paying tax on supplies from unregistered vendors under the reverse charge mechanism.
GST-registered businesses involved in transportation of goods above a certain value must generate an e-way bill.
The GST portal offers an integrated platform for registration, filing, and compliance, simplifying the process for businesses.
Comparison of Regular GST vs. Composition Scheme
| Feature | Regular GST | Composition Scheme |
|---|---|---|
| Eligibility | Mandatory for interstate and large businesses | Optional for businesses with turnover up to ₹1.5 crore |
| Input Tax Credit | Available | Not Available |
| Returns Filing | Monthly and annual returns | Quarterly and annual returns |
| Interstate Trade | Permitted | Not Permitted |
| Invoice Type | Tax Invoice | Bill of Supply |
| E-Way Bill Requirement | Yes | Yes |
| Best for | Larger businesses, interstate traders | Small businesses operating within a state |
Frequently Asked Questions
Who is required to register for GST?
Businesses with an annual turnover exceeding ₹20 lakh (services) or ₹40 lakh (goods) in most states must register. Registration is mandatory for interstate suppliers, e-commerce operators, and certain categories of businesses.
Can I voluntarily register for GST?
Yes, businesses below the turnover threshold can voluntarily register to avail of input tax credit and enhance credibility with clients.
What is a GSTIN?
A GSTIN is a unique 15-digit number assigned to each GST-registered business, used for tax filings and invoicing
Can I register for GST in multiple states?
Yes, businesses operating in multiple states must register separately in each state where they have a place of business.
What is the Composition Scheme?
YThe Composition Scheme allows small businesses with turnover up to ₹1.5 crore to pay a flat GST rate with simplified compliance, though they cannot claim input tax credit or engage in interstate sales.
Is there a penalty for not registering under GST?
Yes, failure to register for GST when required can lead to penalties and interest on unpaid taxes. Unregistered businesses cannot collect GST from customers or claim input tax credit.