Goods and Services Tax (GST) is a comprehensive indirect tax levied on the supply of goods and services in India. Getting a GST registration not only legitimizes your business but also allows you to claim Input Tax Credit (ITC) on all business purchases, reducing your overall tax burden.
Who is Mandatorily Required to Register for GST?
While voluntary registration is open to all, GST registration is compulsory under the following conditions:
- Turnover Threshold: Annual aggregate turnover exceeds Rs. 40 Lakhs for businesses selling goods (Rs. 20 Lakhs for North-Eastern and hill states) or Rs. 20 Lakhs for service providers.
- Inter-State Supply: Any business supplying goods or services across state borders, regardless of turnover.
- E-Commerce Suppliers: Merchants selling products through online portals like Amazon, Flipkart, or custom e-commerce stores.
- Casual Taxable Persons: Individuals who supply goods/services occasionally in a territory where they don't have a fixed business location.
Checklist of Documents Required for GST Registration
Having your documentation prepared beforehand minimizes the risk of application rejection or clarification queries:
- For Sole Proprietorships:
- PAN and Aadhaar of the Proprietor.
- Cancelled cheque or latest bank statement showing account number and IFSC.
- Proof of Business Address: Electricity Bill, Municipal Tax Receipt, or Land Registry documents.
- If premises are rented: Rent Agreement and a No Objection Certificate (NOC) signed by the property owner.
- For Companies and LLPs:
- Company PAN card.
- Certificate of Incorporation (COI) and Board Resolution authorizing the signatory.
- PAN and Aadhaar of all Directors / Partners.
- Office address proofs (rent agreement + electricity bill + NOC).
Step-by-Step Online GST Application Process
The entire GST registration is conducted online via the official GST portal:
Phase 1: TRN (Temporary Reference Number) Generation
- Visit the GST Portal and click on Register Now under Services.
- Select New Registration and input your PAN, Email, and Mobile number.
- Verify the OTPs sent to both your email and phone to generate your 15-digit Temporary Reference Number (TRN).
Phase 2: Application Submission (Form GST REG-01)
- Log in to the portal using your TRN.
- Complete the multi-tab form detailing:
- Business Details: Trade name, constitution, and state jurisdiction.
- Promoter / Partner info: Add details and photographs of directors/proprietor.
- Authorized Signatory: Designate the primary person responsible for filings.
- Principal Place of Business: Enter address details and upload proof documents (NOC/utility bills).
- Goods / Services: Specify the top 5 HSN/SAC codes representing your business trade.
- Electronically sign the form using Aadhaar OTP authentication or Digital Signature Certificate (DSC).
Phase 3: Review and Verification
Once submitted, an Application Reference Number (ARN) is generated. The GST department officer reviews the application:
- If everything is clear, the GST Registration Certificate (Form GST REG-06) is issued within 3-7 working days.
- If the officer requires clarifications, a query notice is sent, and you must respond within 7 working days.
Common Pitfalls to Avoid
- Unclear Address Proof: Uploaded utility bills must clearly show the name of the owner matching the NOC. Hand-written receipts are usually rejected.
- Aadhaar Authentication Failure: Ensure your Aadhaar is linked to your active mobile number to complete OTP validations.
*Need hassle-free GST registration? Let the CAs at Drisu Services manage the entire filing and query reply on your behalf. Contact us at +91 97985 31086.*