GST REGISTRATION & RETURN
About GST Registration
Introducing product and Services Tax (GST) has been a giant tax reform and then a lot of time has passed since its introduction that queries like “what is GST Registration” don’t make sense. thus here could be a temporary introduction
GST is that the solely tax that one has got to get his/her business registered underneath.
If your business isn’t GST registered, serious fines and penalties are often levied.
GST Registration permits you to gather GST from your customers.
So avoid going against the law, get your business registered for GST.
You can get your GST Registration through Binodini e-services. Here, we tend to surpass in to reduce the burden of a drawn-out registration method. Our skilled team can guide you on however you’ll be able to get GSTIN in an exceedingly hassle-free manner.
Who Must Get GST Registration
Previous Law Converted Taxpayer – All particulars or firms registered under the Pre-GST tax laws like Service Tax or Excise or VAT, etc.
Turnover for Goods Providers—If your annual sales or product turnover exceeds Rs. 40 lakh, you must register for GST. For the special class standing, the limit is Rs. 20 lakh in a year.
Turnover for Service Provider – If you’re a service supplier and your sales or turnover crosses Rs. 20 lakh in a year, then GST registration is necessary. For the special class standing, the limit is Rs. 10 lakh in a year.
Casual Taxpayer – If you sell merchandise or provide services at events or exhibitions but do not have a permanent location, GST is charged at a supported rate with a calculable turnover of ninety days. The validity of the registration is also ninety day.
Agents of Suppliers or Input Service Distributor (ISD) – To benefit from the Input Tax Credit, all provider agents and ISDs must be GST registered.
NRI Taxable Person – If you are an NRI or handling the business of NRI in India.
Reverse Charge Mechanism (RCM) –Businesses that have to pay taxes under the RCM additionally have to be compelled to be GST registered..
E-Commerce Portals & Sellers – Every e-commerce portal (such as Amazon or Flipkart) has multiple vendors that are promoting their merchandise. Or for all vendors. If you want to register for GST,
Outside India Online Portal – For suppliers of online information and database access or retrieval services from a place outside India to Indian Residents.
Transferee – When the business has been transferred.
Inter-State Operations – Persons making an inter-state supply. Whatever the turnover.
Brands – Aggregator who supplies service under his Brand or Trade Name.
Voluntary GST Registration – Any entity can obtain GST registration at any-time. Even when the above mandatory conditions don’t apply to them.
Inter-State Registration – If you are a supplier in more than one state you need GST Registration in all the states that you supply goods or services to.
Branches – If your business has multiple branches in multiple states, register one particular branch as the main office or head office and the remaining branches as additional. (Not applicable if the business has separate verticals as listed in Section 2 (18) of the CGST Act, 2017.)
GST Registration Process On Government Portal
To register for GST on the Government site, you need to follow the below steps. Cautiously & Accurately.
Procedure Of GST Registration
Penalties Of Non-Compliance
All GST returns should be filed by the 20th of the subsequent month. There are strict laws underneath the GST Act for non-compliance with the rules and regulations.
A penalty of 100% tax due or Rs. 10,000, whichever is higher, is also applicable to those who choose Composition Scheme despite not being eligible to it.
There is a penalty for failing to obtain GST Registration once a business has returned below the compass. The penalty is 100% of the tax quantity if the offender has not filed for GST registration and intends to purposefully avoid it. The number is the tax as applicable. or Rs. 10,000, whichever is higher.
An offender will be charged a fine of Rs. 25,000 for incorrect invoicing.
If someone has not filed for unpaid tax, there’s a penalty of Rs. 50 per day. He would pay Rs. 20 per day if he was to file for NIL returns. Therefore, the maximum quantity should not exceed Rs. 5,000.
There is also a provision of the penalty by a jail term for tax offenders to commit fraud.
Benefits Of GST Registration
- Elimination of Multiple Taxes
Ease of business
Cascading Effect Reduction
The higher the demand, the higher will be the production. This results in a higher Gross Domestic Product (GDP).
and has made the system efficient with fewer chances of corruption and Tax Evasion.
Under the GST regime, seventeen indirect taxes are replaced by one tax. The increase in product demand suggests higher revenue for state and central governments.
What Is A Voluntary GST Registration?
You can choose to register for GST voluntarily too.
Benefits of registering voluntarily under GST
- Take Input Tax Credit,
- Operate interstate without restrictions,
- Have the option to register on e-commerce websites,
- Have a competitive advantage compared to other rival businesses,
- Fewer hassles and better compliance with government licensing agencies,
- Focus on Your Business Growth.
Input Tax Credit Or ITC
Inputs are all those products that went into making the finished merchandise provided to the ultimate shopper. Businesses are charged GST on goods and services that are used as inputs. The ITC mechanism permits GST-registered businesses to receive refunds on the GST paid for purchasing all inputs. This helps stop cascading taxation, which was the first reason behind the introduction of the GST.
Who are eligible to claim Input Tax Credit?
Who cannot claim ITC?
An input tax credit will be claimed just for business functions. It’s not offered for products or services completely used for:
- Personal use,
- Exempt supplies,
- Supplies for which ITC is specifically not available.
Conditions for claiming Input Tax Credit
- GST invoice showing details of tax paid is necessary,
- The goods on which GST has been paid have been received by the consumer,
- The applicant has filed the relevant tax returns,
- The supplier had paid the due tax to the government,
- The ITC applicant is registered under GST,
- If goods were received in installments, ITC can be claimed only after the final lot has been received.
ITC cannot be claimed if:
- Composition tax registered entities paying GST on inputs,
- If depreciation has been claimed on the tax part of a capital good,
- On goods not used as inputs such as supplies for personal use,
- On goods on which ITC is not applicable under the GST Act (exempted goods).
Input tax credits can be used as:
- CGST input tax credits are allowed to be used to pay CGST and IGST,
- SGST input tax credits are allowed to be used to pay SGST and IGST,
- IGST input tax credits are allowed to be used to pay CGST, SGST, and IGST.
What Is The Composition Scheme Under GST?
Small businesses with an annual turnover of less than Rs. 1.5 crores (Rs. seventy-five lakhs for the Special Class States) will choose the composition theme.
- Composition dealers get to pay nominal tax rates to support their sort of business. 2% for manufacturers, 5% for the restaurant service industry, and I Chronicles for various suppliers.)
- Composition dealers need to file solely one quarterly return (instead of the monthly returns filed by traditional taxpayers).
- They cannot issue tax invoices. That is, they cannot collect tax from customers and they are to pay the tax out of their own pocket.
- Entities that have opted for the composition theme can not claim any input decrease.
Who can opt for the Composition scheme?
- All SMEs looking for lower compliance and lower rates of taxes under GST.
- A GST taxpayer, whose turnover is below Rs 1.5 crore, can opt for the Composition Scheme. (In the case of Special Category States, the present limit is Rs 75 lakh.)
- The Aggregate Turnover of all businesses registered under the same PAN would be taken into consideration to calculate turnover.
- Shall pay tax at normal rates in case he is liable under the reverse charge mechanism.
- Dealers of intra-state supply of goods (or service of only the restaurant sector).
Which businesses are not eligible to apply for the Composition Scheme?
Composition scheme does not apply to:
- Service providers,
- Inter-state sellers,
- E-commerce sellers,
- Supplier of non-taxable goods,
- Manufacturer of Notified Goods,
- All the suppliers of services except those providing restaurant services (not serving alcohol),
- Suppliers of – ice cream, pan masala or tobacco (and its substitutes),
- Casual Taxable Person,
- Non-resident Taxable Person,
- Supplier of exempted goods or services.
How to apply for the Composition Scheme?
- In case of new registration, you can opt for the scheme at the time of GST Registration.
- If you are already registered you can file for it by submitting GST CMP-02 online.
Documents Required For GST Registration
FAQ FOR GST REGISTRATION & RETURN
GST was rolled out nationwide on July 1, 2017.
It is a destination-based tax.
And follows a twin model within which each state and therefore the central government levy tax on products and services. All businesses are needed to get a GST number for each state that specific business has been registered in. the primary step below the GST regime is to grasp whether or not the business is susceptible to register and register consequently.
With Binodini e-Services, GST registration is as simple as saying 1-2-3.
1. You fill the application form given above.
2. Mail the documents as required.
3. Sit-back. All forms will be filed by us.
4. Receive your GST number on e-mail.
That depends on a few factors. Such as the type of business, package you have chosen,