Today, GST or Goods and Services Tax registration is one of the most complex tasks to do as the Government Departments are strict in approving the applications for GST. This article will give you a detailed guide on how to get your GST registration done.
After 1 July 2017, GST registration was made compulsory for every business in India. Now the GST rules are applicable to all the invoicing, receipts, delivery challans and various other transactions.
Registration of any business under the GST Law requires obtaining a unique number for the purpose of tax-collection. This includes a 15-digit GSTIN i.e. GST identification number and a certificate of registration by the GST department.
The GSTIN registration process is simple and hardly takes between two to six days to be completed but before applying for GST registration, there are some things that should be kept in mind. If you are wondering How to file GST
then keep these points in mind.
1.GST is of various types, based on the kind of transactions it involves. So, being a proprietor you should know about them to determine your liability for GST registration in India which also varies from state to state. Similarly, you can register with GST as a normal taxpayer/Composition/Casual Taxable Person, Input Service Distributor/ SEZ Developer/ SEZ Unit/Tax Deducted at Source or Tax Collector at Source depending on the kind of business you own and its scale. So you need to be careful when choosing an option.
2. While filling the GST registration form, please remember to fill in all your individual and company details very carefully.
3. The procedure for obtaining GST registration is completely online and needs no amount of physical presence of the proprietor. It is done through an online portal created by the Central Government of India. However, you need to be careful and ready with the documents that you need to submit on the portal for the registration process. Here is a list of these documents:
- PAN Card
- Aadhar Card
- Passport size photo of the applicant
- Bank passbook and Bank statement First page
- Latest electricity bill in the name of the proprietor
Along with these common documents, there are certain specific documents required to register for GST on the basis of business classes like:
- The list of goods and services
- Proof of Appointment for Authorized Signatories
- Digital Signatures
- Incorporation Certificate
- VISA and Passport Details
- Clearance Certificates and Trade Licenses
- Pension Certificate
- Memorandum of Association
4. HSN/SAC Code is to be compulsorily mentioned while filling the GST registration form. HSN Code implies a Harmonized System of Nomenclature which is assigned to different types of goods.
SAC Code stands for Services Accounting Code which is assigned to various kinds of services.
5. FSSAI registration from the Food Safety and Standard Authority of India in the proprietor’s name is a prerequisite if he deals in the sale or handling of food products.
6. There are some key registrations for Proprietorship in India like GST registration, MSME registration, TAN registration, FSSAI registration etc.
or Udyog Aadhar can be acquired if the proprietorship is filed under the Ministry of Micro, small and medium enterprises. MSME registration just like GST registration is completely paperless. It is free of cost and based on self-declaration. Aadhar Card is the only thing required for registering an MSME. For this registration, PAN and GST linked details on investment and turnover of enterprises are taken automatically from the databases of the Government. This makes the whole process very easy.
In developing countries like India, MSME industries are the backbone of the nation’s economy.
7. If a business entity operates in more than one state, it needs to have individual GST registrations for each of these states. There is no option of a centralized GST. This is not applicable for proprietors who have multiple businesses in the same state.
We hope that this GST registration guide has been helpful to you and that you have a hassle-free GST registration process. Happy Taxing!! And yes, remember that once you have a GST registration number, filing GST returns is not something you can run away from.