GST or Goods and Service Tax has been considered as the biggest tax reform in the history of India. GST has merged Central and State taxes into one tax. GST has been implemented on the theme of One Nation One Tax and has tax slabs from minimum 0% to the Highest 28%.
Business entities whose turnover exceeds INR 40 Lacs (for Northeast and Hilly state 20 Lacs) are required to have a GST Registration. However, the limit for Service provider is still INR 20 Lacs. A certain category of Taxpayer u/s 24 of CGST Act 2017 needs to compulsorily register under GST irrespective of Turnover. It is in the best interest to determine upfront the registration requirements and eligibility criteria before opting to register for GST as it has ongoing compliances and further penalties for Non-compliance.
GST Registration is a seven-step process and further keeping track of the application upto approval. StartupSeven helps individuals and businesses in filing application for GST Registration.
The Central GST and the State GST are applicable to all transactions of goods and services made for a consideration, except for goods which are outside the purview of GST and exempted goods and services.
Exporters and Importers of both goods and services are compulsorily required to register under GST. A registered taxable person exporting goods or services shall be eligible to claim a refund of IGST paid or make Exports under bond or letter of undertaking without payment of IGST.
Under the Composition Scheme, a Business with a turnover of less than 1.5 Cr. can pay GST on concessional rates, and also have lesser compliances for fillings. However, a composition dealer can not collect tax and can not take credit of inward supplies.
One of the primary aims of a taxation system is to remove the cascading effect of tax i.e. No tax on tax already charged. Cascading effect of taxes is one of the major distortions of the Indian taxation regime. However, it has been completely removed in GST by seamless credit.
GST Registration Applicability and necessity needs to be checked.
Arrange to provide documents and information as per the list provided
Generation of TRN (Temporary Reference Number)
GST Registration certificate will be provided.
Every supplier shall be liable to be registered under GST in the state from where he makes taxable supply of goods and/or services if his aggregate turnover in a financial year exceeds INR 40 Lakh (for Northeast and Hilly state 20 Lakh)
Few category of taxpayers who need to take compulsory registration irrespective of their turn over
GST offers a whole bunch of Benefits to businesses
Small businesses having turnover less than *1.5 Crore can opt for Composition Scheme subject to conditions and restriction. A composition dealer cannot collect tax from the buyer and cannot claim input credit for inward supply.
Yes, if a person is having businesses in a different state, he needs to get separate registration for each state under the same PAN.
No, GST registration is valid for lifetime until canceled and no need to renew it every year.
Amendment in GST registration can be done online by login to the portal. There are two types of amendment in GST portal
No Taxpayers who registered themselves voluntary cannot apply for cancellation of GST. They can apply only after the expiry of one year.
GST has subsumed State VAT, Central Sales Tax , Luxury Tax, Entry Tax (all forms), Entertainment and Amusement Tax (except when levied by the local bodies), Taxes on advertisements, Purchase Tax, Taxes on lotteries, betting and gambling, State Surcharges, and Cesses so far as they relate to supply of goods and services. The main motive behind GST is to consolidate all indirect taxes into one.
In GST tax will be charged only on value addition and cascading effect will be removed by seamless credit.
Bhanu is a person to count upon, with his expertise in his domain and knowledge he brings on you can reach him with a problem any time. His appetite to listen and understand the issue makes him the man for the job. He is proactive, energetic and a resourceful guy. My best wishes to Bhanu and Startup seven for future endeavour.
Founder at Addensure Media LLP
Startup Seven is perfect to partner with in your startup or corporate journey. Seamless service and support provided by team is really helpful specially when you are trying to setup your venture. I would like recommend Startup Seven to every startup.
Founder Onmytap - NETWORK FOR PROFESSIONAL GROWTH
Bhanu is one of the most sincere and trustworthy person I have come across. He is extremely ethical and is completely customer focused. His hard work and dedication is commendable and with him handling the legal as well as taxation things are always in order and compliant. Keep up the good work Bhanu. Wishing you more and more success as you grow.
Co-founder, Executive - Brightsandz Clean Tech Pvt Ltd