Individuals with inter-state, e-commerce and other businesses must mandatorily register under the new tax regime, GST. This unified taxation system replaces all the previous taxes and brings them under one umbrella for taxpayers’ convenience.
Therefore, it is vital to know everything about the GST registration process.
Step-by-step guide of goods and service tax registration procedure
To register under GST, one needs to visit its online portal and select “Registration” under the “Services” tab. By clicking on “New Registration”, applicants need to follow few steps as given below:
Step 1: From the dropdown menu of “I am a”, select the option “taxpayer”.
Step 2: Applicants need to fill GST REG-01 form precisely by entering details like business’s legal name, location, contact number, email ID and PAN.
Step 3: A one-time password will be sent to an applicant’s mobile number and email address. Enter this OTP for verification purposes.
Step 4: The system will generate a Temporary Reference Number after verification. Note it down for future reference.
This is the first half of the GST registration process. To proceed to the second half, one must follow the given below:
Step 1: One must use the TRN received for login purposes. On entering this number, captcha code and OTP, applicants will reach the registration page of GST.
Step 2: Provide business information like the company’s name, location state, date of business commencement, PAN, and details of other business registrations.
Step 3: Mention details of at least 10 partners or promoters. If an individual has a proprietorship firm, he or she needs to submit details of a proprietor like personal details, Director Identification Number (DIN), Aadhaar and PAN details, and designation.
Step 4: To complete the GST registration procedure in India, one needs to authorise a person for filing GST returns and provide his or her details.
Step 5: One also needs to add the principal place of business, its address, nature of premises possession, and official contact details.
Step 6: Applicants must also provide details of additional business places, the company’s bank account details, and supplying goods and services details.
Step 7: Depending on the business type, upload all the necessary documents for successful registration.
Step 8: Click on “Save and Continue”. Before submitting the form, sign it digitally.
Step 9: Finally, tap on “Submit” to save the details.
Step 10: As a sign of confirmation, applicants will receive an Application Reference Number through SMS or email.
Once the registration process is complete, one can obtain benefits under this taxation system.
However, before understanding how to register for GST online, individuals must gather the necessary documents that they will need to upload during the registration process.
Documents required for GST registration
Here is a list of documents one must present during registering for GST:
- Applicant’s PAN card.
- Certificate of incorporation or partnership deed.
- Promoter’s or partner’s ID proofs like Aadhaar, PAN and Voter ID.
- Address proof of business, such as electricity bill, lease or rent agreement.
- Company, firm or individual’s bank account statements.
Apart from this, candidates must consider a few pointers before registering under goods and service tax.
Facts about GST registration procedure
Given below are some facts about registration under GST one must know prior to application:
- Businessowners with an annual turnover of more than Rs.20 lakh must register for GST. However, to reduce the financial burden, they can procure a business loan from reputed lending institutions in India. These institutions provide a high-quantum loan amount along with pre-approved offers for a hassle-free transaction process. You can check your pre-approved offer by entering basic details like name and mobile number.
- Entities in the North-Eastern states with a business turnover above Rs.10 lakh need to pay GST.
- Individuals supplying goods in more than one state must register for GST for all the states that they supply goods in.
- If a businessowner has multiple branches of business across states, he or she can register for one branch as main and the rest as additional. Note that this is not applicable for business verticals listed under Section 2 (18) of the CGST Act, 2017.
- Applicants do not require to pay any fees for registering under the new tax regime.
- In case any entity fails to opt for GST, it may result in a penalty of a minimum of Rs.10,000 or 10% of the due amount. Moreover, if there’s deliberate tax evasion, one must pay 100% of the due amount as a penalty.
Therefore, it is crucial to understand the GST registration procedure and register under it if not already.