GST Registration Claimed

GST (Goods and Services Tax) registration is the process by which businesses in India obtain a unique identification number that allows them to collect taxes from customers and claim input tax credits. Implemented in 2017, GST has transformed India’s indirect tax structure by replacing multiple taxes with a unified system.

Who Needs GST Registration?

GST registration is mandatory for:

• Businesses with annual turnover exceeding ₹40 lakhs (₹20 lakhs for special category states)
• E-commerce operators and suppliers selling through e-commerce platforms
• Businesses making interstate supplies
• Casual taxable persons and non-resident taxable persons
• Persons required to pay tax under reverse charge mechanism
• Input service distributors
• Agents of registered taxable persons

Benefits of GST Registration

Registering for GST offers numerous advantages:

• Legal recognition as a certified supplier of goods or services
• Ability to collect GST from customers and claim input tax credits
• Seamless flow of input tax credit throughout the supply chain
• Expanded customer base including businesses that prefer GST-registered vendors
• Enhanced credibility and legitimacy in the market
• Compliance with legal requirements, avoiding penalties and legal issues

Documents Required for GST Registration

To register for GST, you’ll need:

• PAN of the business and promoters
• Aadhaar card of the promoters/directors
• Business registration documents (partnership deed, certificate of incorporation, etc.)
• Identity and address proof of promoters/directors
• Bank account details of the business
• Digital signature (for companies and LLPs)
• Property documents or rent agreement of business premises
• Recent utility bills (electricity, water, etc.)
• Photographs of promoters/directors

Post-Registration Compliance Requirements

After obtaining GST registration, businesses must:

• File regular GST returns (monthly, quarterly, or annually based on turnover)
• Maintain proper books of accounts and invoices
• Collect and remit GST to the government
• Conduct reconciliation of input tax credits
• Update registration details when changes occur
• Comply with e-invoicing requirements (for eligible businesses)

Penalties for Non-Registration

Failing to register for GST when required can result in:

• Penalty of 10% of the tax due or ₹10,000, whichever is higher
• Retrospective tax liability from the date registration was required
• Inability to collect tax from customers
• Loss of input tax credits
• Potential business disruption and legal complications