Information

GST is the biggest tax reform in India which was launched on 1st April 2017 and was effective from 1st July 2017 which was formed by subsuming variety of state (VAT, Entertainment Tax, Luxury Tax, Octroi) and central taxes (CST, Service Tax, Excise Duty) which resulted in significantly improving ease of doing business. Under the new regime, GST is to be charged at every step of the supply chain and all entities involved in buying or selling goods or providing services or both are required to obtain GST registration. In a nutshell, only value addition will be taxed and burden of tax is to be borne by the final consumer. GST is a destination based tax on consumption of goods and services. CoKaCo can help you obtain GST registration in India and maintain GST compliance.

Who needs to apply for GST Registration?

  • Entities already registered under previous laws (such as Central Excise duty, Service Tax, State VAT, Central Sales Tax, Entry Tax (all forms), Luxury Tax, Entertainment and Amusement Tax (except when levied by the local bodies), Purchase Tax, State Surcharges and Cesses so far as they relate to supply of goods and services, Taxes on lotteries, betting and gambling)
  • Service Provider Entities whose annual turnover exceeds Rs. 20 Lakhs and If your business operates in North Eastern State / Hilly States annual Turnover exceeds 10 Lakhs
  • Entities who is engaged in the exclusive supply of goods whose aggregate turnover crosses Rs.40 lakhs in a year.
  • Entities who provide Inter State Supply of Goods or Services (irrespective of the annual turnover)
  • Casual taxable person / Non-Resident taxable person
  • Agents of a supplier & Input service distributor
  • Persons who are required to pay tax under reverse charge
  • Supply of goods or services through electronic commerce operator, other than branded services
  • Every electronic commerce operator
  • Person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered taxable person
  • Persons who are required to deduct tax under section 37 (TDS)

What are different types of Registration?

  • Regular / Normal Tax Payer Registration
  • Registration under Composition Scheme
  • Registration as Casual Taxable Person
  • Registration as Input Service Distributor (ISD)
  • Registration as a Non Resident Taxable Person
  • Registration as Non-Resident Online Services Provider
  • Registration as SEZ developer or SEZ unit
  • Registration under Tax Deductor at Source (TDS)/ Tax Collector at Source (TCS)
  • Registration as a UN Body

Key Features :-

  • Eliminating cascading effect of taxes.
  • Tax rates will be comparatively lower as the tax base will widen.
  • Seamless flow of Input tax credit.
  • Legally recognized as supplier of goods or services.
  • Legally authorized to collect tax from his purchasers and pass on the credit of the taxes paid on the goods or services supplied to purchasers or recipients
  • Prices of the goods and services will fall.
  • Efficient supply change management.
  • Promote shift from unorganized sector to organized sector.

Documents / Information :-

Documents For Pvt. Ltd. / Public Ltd. / OPC For Partnership Firm & LLP For Proprietorship Firm
Proof of Identity Company PAN Card , PAN of all Directors Firm PAN Card , PAN of authorized signatories / applicant (Partner) Proprietor’s PAN card
Proof of Principal Place of business (Any One) Electricity Bill, Legal ownership document, Municipal Khata Copy, Property Tax Receipt, Rent / Lease agreement, Rent receipt with NOC (In case of no / expired agreement)
Identity proof and address proof documents authorized signatories / applicant PAN, passport, driving license, aadhaar card or voters identity card must be submitted for all the promoters, Directors PAN, passport, driving license, aadhaar card or voters identity card must be submitted for all the Partners, Designated Partners Passport, driving license, aadhaar card or voters identity card must be submitted for applicant
Proof of Constitution of Business Company Address Proof, MOA, AOA & Incorporation Certificate LLP Agreement / Partnership deed Shop Act / Ghumasta License
Photo of Stakeholder (Promoter / Partner) Passport Size Photo Passport Size Photo N. A
Photo of the Authorized Signatory Passport Size Photo Passport Size Photo Passport Size Photo
Proof of Appointment of Authorized Signatory Letter of Authorization / Copy of Resolution passed by BoD / Managing Committee Letter of Authorization N. A
Proof of Details of Bank Accounts (Any One) First page of Pass Book, Bank Statement, Cancelled Cheque
Valid mobile number and an Email address of the Primary Authorized Signatory Required Required Required
Digital signature (class 2 digital signature) of the person who is authorized to sign the GST application Required Required N. A
Other regulatory registration details such as Professional Tax, State Excise License details (If applicable) Required Required N. A

FAQ :-

What is advantage of taking registration in GST?

Registration under Goods and Service Tax (GST) regime will confer following advantages to the business:

  • Legally recognized as supplier of goods or services.
  • Proper accounting of taxes paid on the input goods or services which can be utilized for payment of GST due on supply of goods or services or both by the business.
  • Legally authorized to collect tax from his purchasers and pass on the credit of the taxes paid on the goods or services supplied to purchasers or recipients.
  • Getting eligible to avail various other benefits and privileges rendered under the GST laws.
Can a person without GST registration claim ITC and collect tax?

No, a person without GST registration can neither collect GST from his customers nor can claim any input tax credit of GST paid by him.

What will be the effective date of registration?

Where the application for registration has been submitted within thirty days from the date on which the person becomes liable to registration, the effective date of registration shall be the date on which he became liable for registration.

Where an application for registration has been submitted by the applicant after thirty days from the date of his becoming liable to registration, the effective date of registration shall be the date of grant of registration.

In case of a person taking registration voluntarily while being within the threshold exemption limit for paying tax, the effective date of registration shall be the date of order of registration.

Who are the persons liable to take a Registration under the Model GST Law?

As per Section 22 of the CGST/SGST Act 2017, every supplier (including his agent) who makes a taxable supply i.e. supply of goods and / or services which are leviable to tax under GST law, and his aggregate turn over in a financial year exceeds the threshold limit of twenty lakh rupees shall be liable to register himself in the State or the Union territory of Delhi or Pondicherry from where he makes the taxable supply.

In case of eleven special category states (as mentioned in Art.279A (4) (g) of the Constitution of India), this threshold limit for registration liability is ten lakh rupees.

Besides, Section 24 of the Act mentions certain categories of suppliers, who shall be liable to take registration even if their aggregate turnover is below the said threshold limit of 20 lakh rupees.

On the other hand, as per Section 23 of the Act, an agriculturist in respect of supply of his agricultural produce; as also any person exclusively making supply of non-taxable or wholly exempted goods and/or services under GST law will not be liable for registration.

Which are the cases in which registration is compulsory?

As per Section 24 of the CGST/SGST Act, the following categories of persons shall be required to be registered compulsorily irrespective of the threshold limit:

  1. persons making any inter-State taxable supply;
  2. casual taxable persons;
  3. persons who are required to pay tax under reverse charge;
  4. electronic commerce operators required to pay tax under sub-section (5) of section 9;
  5. non-resident taxable persons;
  6. persons who are required to deduct tax under section 51;
  7. persons who supply goods and/or services on behalf of other registered taxable persons whether as an agent or otherwise;
  8. Input service distributor (whether or not separately registered under the Act)
  9. persons who are required to collect tax under section 52;
  10. every electronic commerce operator
  11. every person supplying online information and data base retrieval services from a place outside India to a person in India, other than a registered person; and,
  12. such other person or class of persons as may be notified by the Central Government or a State Government on the recommendations of the Council.
What is aggregate turnover?

As per section 2(6) of the CGST/SGST Act “aggregate turnover” includes the aggregate value of:

  1. all taxable supplies,
  2. all exempt supplies,
  3. exports of goods and/or service, and,
  4. all inter-state supplies

of a person having the same PAN.

The above shall be computed on all India basis and excludes taxes charged under the CGST Act, SGST Act, UTGST Act, and the IGST Act. Aggregate turnover shall include all supplies made by the Taxable person, whether on his own account or made on behalf of all his principals.

Aggregate turnover does not include value of supplies on which tax is levied on reverse charge basis, and value of inward supplies.

The value of goods after completion of job work is not includible in the turnover of the job-worker. It will be treated as supply of goods by the principal and will accordingly be includible in the turnover of the Principal.

What is the time limit for taking a Registration under GST?

A person should take a Registration, within thirty days from the date on which he becomes liable to registration, in such manner and subject to such conditions as is prescribed under the Registration Rules. A Casual Taxable person and a non-resident taxable person should however apply for registration at least 5 days prior to commencement of business.

If a person is operating in different states, with the same PAN number, whether he can operate with a single Registration?

No. Every person who is liable to take a Registration will have to get registered separately for each of the States where he has a business operation and is liable to pay GST in terms of Sub-section (1) of Section 22 of the CGST/SGST Act.

Whether a person having multiple business verticals in a state can obtain for different registrations?

Yes. In terms of the proviso to Sub-Section (2) of Section 25, a person having multiple business verticals in a State may obtain a separate registration for each business vertical, subject to such conditions as may be prescribed.

Is there a provision for a person to get himself voluntarily registered though he may not be liable to pay GST?

Yes. In terms of Sub-section (3) of Section 25, a person, though not liable to be registered under Section 22 may get himself registered voluntarily, and all provisions of this Act, as are applicable to a registered taxable person, shall apply to such person.

Is possession of a Permanent Account Number (PAN) mandatory for obtaining a Registration?

Yes. As per Section 25(6) of the CGST/SGST Act every person shall have a Permanent Account Number issued under the Income Tax Act,1961(43 of 1961) in order to be eligible for grant of registration.

However as per the proviso to the aforesaid section 25(6), a person required to deduct tax under Section 51, may have, in lieu of a PAN, a Tax Deduction and Collection Account Number issued under the said Income Tax Act, in order to be eligible for grant of registration.

Also, as per Section 25(7) PAN is not mandatory for a non-resident taxable person who may be granted registration on the basis of any other document as maybe prescribed.

Whether the Department through the proper officer, can suo-moto proceed to register of a Person under this Act?

Yes. In terms of sub-section (8) of Section 25, where a person who is liable to be registered under this Act fails to obtain registration, the proper officer may, without prejudice to any action which may be taken under this Act, or under any other law for the time being in force, proceed to register such person in the manner as is prescribed in the Registration rules.

Whether Amendments to the Registration Certificate is permissible?

Yes. In terms of Section 28, the proper officer may, on the basis of such information furnished either by the registrant or as ascertained by him, approve or reject amendments in the registration particulars within a period of 15 common working days from the date of receipt of application for amendment.

It is to be noted that permission of the proper officer for making amendments will be required for only certain core fields of information, whereas for the other fields, the certificate of registration shall stand amended upon submission of application in the GST common portal.

Whether Cancellation of Registration Certificate is permissible?

Yes. Any Registration granted under this Act may be cancelled by the Proper Officer, in circumstances mentioned in Section 29 of the CGST/SGST Act. The proper officer may, either on his own motion or on an application filed, in the prescribed manner, by the registered taxable person or by his legal heirs, in case of death of such person, cancel the registration, in such manner and within such period as may be prescribed. As per the Registration Rules, an order for cancellation is to be issued within 30 days from the date of receipt of reply to SCN (in cases where the cancellation is proposed to be carried out suo moto by the proper officer) or from the date of receipt of application for cancellation (in case where the taxable person/legal heir applies for such cancellation)

Whether cancellation of Registration under CGST Act means cancellation under SGST Act also?

Yes, the cancellation of registration under one Act (say CGST Act) shall be deemed to be a cancellation of registration under the other Act (i.e. SGST Act). (Section 29 (4))

What happens when the registration is obtained by means of willful misstatement, fraud or suppression of facts?

In such cases, the registration may be cancelled with retrospective effect by the proper officer. (Section 29(2) (e))

Is there an option to take centralized registration for services under GST Law?

No, the tax paper has to take separate registration in every state from where he makes taxable supplies.

Who is an ISD?

ISD stands for Input Service Distributor and has been defined under Section 2(61) of the CGST/SGST Act. It is basically an office meant to receive tax invoices towards receipt of input services and further distribute the credit to supplier units (having the same PAN) proportionately.

If the taxpayer has different business verticals in one state, will he have to obtain separate registration for each such vertical in the state?

No, however the taxpayer has the option to register such separate business verticals independently in terms of the proviso to Section 25(2) of the CGTST Act, 2017.

Will ISD be required to be separately registered other than the existing tax payer registration?

Yes, the ISD registration is for one office of the taxpayer which will be different from the normal registration.

Can a tax payer have multiple ISDs?

Yes. Different offices of a tax payer can apply for ISD registration.

What could be the liabilities (in so far as registration is concerned) on transfer of a business?

The transferee or the successor shall be liable to be registered with effect from such transfer or succession and he will have to obtain a fresh registration with effect from the date of such transfer or succession. (Section 22 (3)).

Whether all assesses / dealers who are already registered under existing central excise/service tax/ vat laws will have to obtain fresh registration?

No, GSTN shall migrate all such assessees/dealers to the GSTN network and shall issue a provisional registration certificate with GSTIN number on the appointed day, which after due verification by the departmental officers within six months, will be converted into final registration certificate. For converting the provisional registration to final registration the registrants will be asked to submit all requisite documents and information required for registration in a prescribed period of time. Failure to do so will result in cancellation of the provisional GSTIN number.

The service tax assesses having centralized registration will have to apply afresh in the respective states wherever they have their businesses.

Whether the job worker will have to be compulsorily registered?

No, a Job worker is a supplier of services and will be obliged to take registration only when his turnover crosses the prescribed threshold of 20/10 Lakhs.

Whether the goods will be permitted to be supplied from the place of business of a job worker?

Yes. But only in cases where the job worker is registered, or if not, the principal declares the place of business of the job worker as his additional place of business.

At the time of registration will the assessee have to declare all his places of business?

Yes. The principal place of business and place of business have been separately defined under section 2(89) & 2(85) of the CGST/SGST Act respectively. The taxpayer will have to declare the principal place of business as well as the details of additional places of business in the registration form.

Is there any system to facilitate smaller dealers or dealers having no IT infrastructure?

In order to cater to the needs of tax payers who are not IT savvy, following facilities shall be made available: -

  • Tax Return Preparer (TRP): A taxable person may prepare his registration application /returns himself or can approach the TRP for assistance. TRP will prepare the said registration document / return in prescribed format on the basis of the information furnished to him by the taxable person. The legal responsibility of the correctness of information contained in the forms prepared by the TRP will rest with the taxable person only and the TRP shall not be liable for any errors or incorrect information.
  • Facilitation Centre (FC): shall be responsible for the digitization and/or uploading of the forms and documents including summary sheet duly signed by the Authorized Signatory and given to it by the taxable person. After uploading the data on common portal using the ID and Password of FC, a print-out of acknowledgement will be taken and signed by the FC and handed over to the taxable person for his records. The FC will scan and upload the summary sheet duly signed by the Authorized Signatory.
Is there any facility for digital signature in the GSTN registration?

Tax payers would have the option to sign the submitted application using valid digital signatures. There will be two options for electronically signing the application or other submissions- by e-signing through Aadhar number, or through DSC i.e. by registering the tax payer’s digital signature certificate with GST portal. However, companies or limited liability partnership entities will have to sign mandatorily through DSC only. Only level 2 and level 3 DSC certificates will be acceptable for signature purpose.

What will be the time limit for the decision of the on line registration application?

If the information and the uploaded documents are found in order, the State and the Central authorities shall have to respond to the application within three common working days. If they communicate any deficiency or discrepancy in the application within such time, then the applicant will have to remove the discrepancy / deficiency within 7 days of such communication. Thereafter, for either approving the application or rejecting it, the State and the Central authorities will have 7 days from the date when the taxable person communicates removal of deficiencies. In case no response is given by the departmental authorities within the said time line, the portal shall automatically generate the registration.

What is the process of refusal of registration?

In case registration is refused, the applicant will be informed about the reasons for such refusal through a speaking order. The applicant shall have the right to appeal against the decision of the Authority. As per sub-section (2) of section 26 of the CGST Act, any rejection of application for registration by one authority (i.e. under the CGST Act / SGST Act) shall be deemed to be a rejection of application for registration by the other tax authority (i.e. under the SGST Act / UTGST Act/ CGST Act).

Will there be any communication related to the application disposal?

The applicant shall be informed of the fact of grant or rejection of his registration application through an e-mail and SMS by the GST common portal. Jurisdictional details would be intimated to the applicant at this stage.

Can the registration certificate be downloaded from the GSTN portal?

In case registration is granted; applicant can download the Registration Certificate from the GST common portal.

Can cancellation of registration order be revoked?

Yes, but only in cases where the initial cancellation has been done by the proper officer suo moto, and not on the request of the taxable person or his legal heirs. A person whose registration has been cancelled suo moto can apply to the proper officer for revocation of cancellation of registration within 30 days from the date of communication of the cancellation order. The proper officer may within a period of 30 days from the date of receipt of application for revocation of cancellation or receipt of information/clarification, either revoke the cancellation or reject the application for revocation of cancellation of registration.

Does cancellation of registration impose any tax obligations on the person whose registration is so cancelled?

Yes, as per Section 29(5) of the CGST/SGST Act, every registered taxable person whose registration is cancelled shall pay an amount, by way of debit in the electronic cash ledger, equivalent to the credit of input tax in respect of inputs held in stock and inputs contained in semi-finished or finished goods held in stock or capital goods or plant and machinery on the day immediately preceding the date of such cancellation or the output tax payable on such goods, whichever is higher.

Information

GST is the biggest tax reform in India which was launched on 1st April 2017 and was effective from 1st July 2017 which was formed by subsuming variety of state (VAT, Entertainment Tax, Luxury Tax, Octroi) and central taxes (CST, Service Tax, Excise Duty) which resulted in significantly improving ease of doing business. Under the new regime, GST is to be charged at every step of the supply chain and all entities involved in buying or selling goods or providing services or both are required to obtain GST registration. In a nutshell, only value addition will be taxed and burden of tax is to be borne by the final consumer. GST is a destination based tax on consumption of goods and services. CoKaCo can help you obtain GST registration in India and maintain GST compliance.

  • Entities already registered under previous laws (such as Central Excise duty, Service Tax, State VAT, Central Sales Tax, Entry Tax (all forms), Luxury Tax, Entertainment and Amusement Tax (except when levied by the local bodies), Purchase Tax, State Surcharges and Cesses so far as they relate to supply of goods and services, Taxes on lotteries, betting and gambling)
  • Service Provider Entities whose annual turnover exceeds Rs. 20 Lakhs and If your business operates in North Eastern State / Hilly States annual Turnover exceeds 10 Lakhs
  • Entities who is engaged in the exclusive supply of goods whose aggregate turnover crosses Rs.40 lakhs in a year.
  • Entities who provide Inter State Supply of Goods or Services (irrespective of the annual turnover)
  • Casual taxable person / Non-Resident taxable person
  • Agents of a supplier & Input service distributor
  • Persons who are required to pay tax under reverse charge
  • Supply of goods or services through electronic commerce operator, other than branded services
  • Every electronic commerce operator
  • Person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered taxable person
  • Persons who are required to deduct tax under section 37 (TDS)
  • Regular / Normal Tax Payer Registration
  • Registration under Composition Scheme
  • Registration as Casual Taxable Person
  • Registration as Input Service Distributor (ISD)
  • Registration as a Non Resident Taxable Person
  • Registration as Non-Resident Online Services Provider
  • Registration as SEZ developer or SEZ unit
  • Registration under Tax Deductor at Source (TDS)/ Tax Collector at Source (TCS)
  • Registration as a UN Body
  • Eliminating cascading effect of taxes.
  • Tax rates will be comparatively lower as the tax base will widen.
  • Seamless flow of Input tax credit.
  • Legally recognized as supplier of goods or services.
  • Legally authorized to collect tax from his purchasers and pass on the credit of the taxes paid on the goods or services supplied to purchasers or recipients
  • Prices of the goods and services will fall.
  • Efficient supply change management.
  • Promote shift from unorganized sector to organized sector.
Documents For Pvt. Ltd. / Public Ltd. / OPC For Partnership Firm & LLP For Proprietorship Firm
Proof of Identity Company PAN Card , PAN of all Directors Firm PAN Card , PAN of authorized signatories / applicant (Partner) Proprietor’s PAN card
Proof of Principal Place of business (Any One) Electricity Bill, Legal ownership document, Municipal Khata Copy, Property Tax Receipt, Rent / Lease agreement, Rent receipt with NOC (In case of no / expired agreement)
Identity proof and address proof documents authorized signatories / applicant PAN, passport, driving license, aadhaar card or voters identity card must be submitted for all the promoters, Directors PAN, passport, driving license, aadhaar card or voters identity card must be submitted for all the Partners, Designated Partners Passport, driving license, aadhaar card or voters identity card must be submitted for applicant
Proof of Constitution of Business Company Address Proof, MOA, AOA & Incorporation Certificate LLP Agreement / Partnership deed Shop Act / Ghumasta License
Photo of Stakeholder (Promoter / Partner) Passport Size Photo Passport Size Photo N. A
Photo of the Authorized Signatory Passport Size Photo Passport Size Photo Passport Size Photo
Proof of Appointment of Authorized Signatory Letter of Authorization / Copy of Resolution passed by BoD / Managing Committee Letter of Authorization N. A
Proof of Details of Bank Accounts (Any One) First page of Pass Book, Bank Statement, Cancelled Cheque
Valid mobile number and an Email address of the Primary Authorized Signatory Required Required Required
Digital signature (class 2 digital signature) of the person who is authorized to sign the GST application Required Required N. A
Other regulatory registration details such as Professional Tax, State Excise License details (If applicable) Required Required N. A
What is advantage of taking registration in GST?

Registration under Goods and Service Tax (GST) regime will confer following advantages to the business:

  • Legally recognized as supplier of goods or services.
  • Proper accounting of taxes paid on the input goods or services which can be utilized for payment of GST due on supply of goods or services or both by the business.
  • Legally authorized to collect tax from his purchasers and pass on the credit of the taxes paid on the goods or services supplied to purchasers or recipients.
  • Getting eligible to avail various other benefits and privileges rendered under the GST laws.
Can a person without GST registration claim ITC and collect tax?

No, a person without GST registration can neither collect GST from his customers nor can claim any input tax credit of GST paid by him.

What will be the effective date of registration?

Where the application for registration has been submitted within thirty days from the date on which the person becomes liable to registration, the effective date of registration shall be the date on which he became liable for registration.

Where an application for registration has been submitted by the applicant after thirty days from the date of his becoming liable to registration, the effective date of registration shall be the date of grant of registration.

In case of a person taking registration voluntarily while being within the threshold exemption limit for paying tax, the effective date of registration shall be the date of order of registration.

Who are the persons liable to take a Registration under the Model GST Law?

As per Section 22 of the CGST/SGST Act 2017, every supplier (including his agent) who makes a taxable supply i.e. supply of goods and / or services which are leviable to tax under GST law, and his aggregate turn over in a financial year exceeds the threshold limit of twenty lakh rupees shall be liable to register himself in the State or the Union territory of Delhi or Pondicherry from where he makes the taxable supply.

In case of eleven special category states (as mentioned in Art.279A (4) (g) of the Constitution of India), this threshold limit for registration liability is ten lakh rupees.

Besides, Section 24 of the Act mentions certain categories of suppliers, who shall be liable to take registration even if their aggregate turnover is below the said threshold limit of 20 lakh rupees.

On the other hand, as per Section 23 of the Act, an agriculturist in respect of supply of his agricultural produce; as also any person exclusively making supply of non-taxable or wholly exempted goods and/or services under GST law will not be liable for registration.

Which are the cases in which registration is compulsory?

As per Section 24 of the CGST/SGST Act, the following categories of persons shall be required to be registered compulsorily irrespective of the threshold limit:

  1. persons making any inter-State taxable supply;
  2. casual taxable persons;
  3. persons who are required to pay tax under reverse charge;
  4. electronic commerce operators required to pay tax under sub-section (5) of section 9;
  5. non-resident taxable persons;
  6. persons who are required to deduct tax under section 51;
  7. persons who supply goods and/or services on behalf of other registered taxable persons whether as an agent or otherwise;
  8. Input service distributor (whether or not separately registered under the Act)
  9. persons who are required to collect tax under section 52;
  10. every electronic commerce operator
  11. every person supplying online information and data base retrieval services from a place outside India to a person in India, other than a registered person; and,
  12. such other person or class of persons as may be notified by the Central Government or a State Government on the recommendations of the Council.
What is aggregate turnover?

As per section 2(6) of the CGST/SGST Act “aggregate turnover” includes the aggregate value of:

  1. all taxable supplies,
  2. all exempt supplies,
  3. exports of goods and/or service, and,
  4. all inter-state supplies

of a person having the same PAN.

The above shall be computed on all India basis and excludes taxes charged under the CGST Act, SGST Act, UTGST Act, and the IGST Act. Aggregate turnover shall include all supplies made by the Taxable person, whether on his own account or made on behalf of all his principals.

Aggregate turnover does not include value of supplies on which tax is levied on reverse charge basis, and value of inward supplies.

The value of goods after completion of job work is not includible in the turnover of the job-worker. It will be treated as supply of goods by the principal and will accordingly be includible in the turnover of the Principal.

What is the time limit for taking a Registration under GST?

A person should take a Registration, within thirty days from the date on which he becomes liable to registration, in such manner and subject to such conditions as is prescribed under the Registration Rules. A Casual Taxable person and a non-resident taxable person should however apply for registration at least 5 days prior to commencement of business.

If a person is operating in different states, with the same PAN number, whether he can operate with a single Registration?

No. Every person who is liable to take a Registration will have to get registered separately for each of the States where he has a business operation and is liable to pay GST in terms of Sub-section (1) of Section 22 of the CGST/SGST Act.

Whether a person having multiple business verticals in a state can obtain for different registrations?

Yes. In terms of the proviso to Sub-Section (2) of Section 25, a person having multiple business verticals in a State may obtain a separate registration for each business vertical, subject to such conditions as may be prescribed.

Is there a provision for a person to get himself voluntarily registered though he may not be liable to pay GST?

Yes. In terms of Sub-section (3) of Section 25, a person, though not liable to be registered under Section 22 may get himself registered voluntarily, and all provisions of this Act, as are applicable to a registered taxable person, shall apply to such person.

Is possession of a Permanent Account Number (PAN) mandatory for obtaining a Registration?

Yes. As per Section 25(6) of the CGST/SGST Act every person shall have a Permanent Account Number issued under the Income Tax Act,1961(43 of 1961) in order to be eligible for grant of registration.

However as per the proviso to the aforesaid section 25(6), a person required to deduct tax under Section 51, may have, in lieu of a PAN, a Tax Deduction and Collection Account Number issued under the said Income Tax Act, in order to be eligible for grant of registration.

Also, as per Section 25(7) PAN is not mandatory for a non-resident taxable person who may be granted registration on the basis of any other document as maybe prescribed.

Whether the Department through the proper officer, can suo-moto proceed to register of a Person under this Act?

Yes. In terms of sub-section (8) of Section 25, where a person who is liable to be registered under this Act fails to obtain registration, the proper officer may, without prejudice to any action which may be taken under this Act, or under any other law for the time being in force, proceed to register such person in the manner as is prescribed in the Registration rules.

Whether Amendments to the Registration Certificate is permissible?

Yes. In terms of Section 28, the proper officer may, on the basis of such information furnished either by the registrant or as ascertained by him, approve or reject amendments in the registration particulars within a period of 15 common working days from the date of receipt of application for amendment.

It is to be noted that permission of the proper officer for making amendments will be required for only certain core fields of information, whereas for the other fields, the certificate of registration shall stand amended upon submission of application in the GST common portal.

Whether Cancellation of Registration Certificate is permissible?

Yes. Any Registration granted under this Act may be cancelled by the Proper Officer, in circumstances mentioned in Section 29 of the CGST/SGST Act. The proper officer may, either on his own motion or on an application filed, in the prescribed manner, by the registered taxable person or by his legal heirs, in case of death of such person, cancel the registration, in such manner and within such period as may be prescribed. As per the Registration Rules, an order for cancellation is to be issued within 30 days from the date of receipt of reply to SCN (in cases where the cancellation is proposed to be carried out suo moto by the proper officer) or from the date of receipt of application for cancellation (in case where the taxable person/legal heir applies for such cancellation)

Whether cancellation of Registration under CGST Act means cancellation under SGST Act also?

Yes, the cancellation of registration under one Act (say CGST Act) shall be deemed to be a cancellation of registration under the other Act (i.e. SGST Act). (Section 29 (4))

What happens when the registration is obtained by means of willful misstatement, fraud or suppression of facts?

In such cases, the registration may be cancelled with retrospective effect by the proper officer. (Section 29(2) (e))

Is there an option to take centralized registration for services under GST Law?

No, the tax paper has to take separate registration in every state from where he makes taxable supplies.

Who is an ISD?

ISD stands for Input Service Distributor and has been defined under Section 2(61) of the CGST/SGST Act. It is basically an office meant to receive tax invoices towards receipt of input services and further distribute the credit to supplier units (having the same PAN) proportionately.

If the taxpayer has different business verticals in one state, will he have to obtain separate registration for each such vertical in the state?

No, however the taxpayer has the option to register such separate business verticals independently in terms of the proviso to Section 25(2) of the CGTST Act, 2017.

Will ISD be required to be separately registered other than the existing tax payer registration?

Yes, the ISD registration is for one office of the taxpayer which will be different from the normal registration.

Can a tax payer have multiple ISDs?

Yes. Different offices of a tax payer can apply for ISD registration.

What could be the liabilities (in so far as registration is concerned) on transfer of a business?

The transferee or the successor shall be liable to be registered with effect from such transfer or succession and he will have to obtain a fresh registration with effect from the date of such transfer or succession. (Section 22 (3)).

Whether all assesses / dealers who are already registered under existing central excise/service tax/ vat laws will have to obtain fresh registration?

No, GSTN shall migrate all such assessees/dealers to the GSTN network and shall issue a provisional registration certificate with GSTIN number on the appointed day, which after due verification by the departmental officers within six months, will be converted into final registration certificate. For converting the provisional registration to final registration the registrants will be asked to submit all requisite documents and information required for registration in a prescribed period of time. Failure to do so will result in cancellation of the provisional GSTIN number.

The service tax assesses having centralized registration will have to apply afresh in the respective states wherever they have their businesses.

Whether the job worker will have to be compulsorily registered?

No, a Job worker is a supplier of services and will be obliged to take registration only when his turnover crosses the prescribed threshold of 20/10 Lakhs.

Whether the goods will be permitted to be supplied from the place of business of a job worker?

Yes. But only in cases where the job worker is registered, or if not, the principal declares the place of business of the job worker as his additional place of business.

At the time of registration will the assessee have to declare all his places of business?

Yes. The principal place of business and place of business have been separately defined under section 2(89) & 2(85) of the CGST/SGST Act respectively. The taxpayer will have to declare the principal place of business as well as the details of additional places of business in the registration form.

Is there any system to facilitate smaller dealers or dealers having no IT infrastructure?

In order to cater to the needs of tax payers who are not IT savvy, following facilities shall be made available: -

  • Tax Return Preparer (TRP): A taxable person may prepare his registration application /returns himself or can approach the TRP for assistance. TRP will prepare the said registration document / return in prescribed format on the basis of the information furnished to him by the taxable person. The legal responsibility of the correctness of information contained in the forms prepared by the TRP will rest with the taxable person only and the TRP shall not be liable for any errors or incorrect information.
  • Facilitation Centre (FC): shall be responsible for the digitization and/or uploading of the forms and documents including summary sheet duly signed by the Authorized Signatory and given to it by the taxable person. After uploading the data on common portal using the ID and Password of FC, a print-out of acknowledgement will be taken and signed by the FC and handed over to the taxable person for his records. The FC will scan and upload the summary sheet duly signed by the Authorized Signatory.
Is there any facility for digital signature in the GSTN registration?

Tax payers would have the option to sign the submitted application using valid digital signatures. There will be two options for electronically signing the application or other submissions- by e-signing through Aadhar number, or through DSC i.e. by registering the tax payer’s digital signature certificate with GST portal. However, companies or limited liability partnership entities will have to sign mandatorily through DSC only. Only level 2 and level 3 DSC certificates will be acceptable for signature purpose.

What will be the time limit for the decision of the on line registration application?

If the information and the uploaded documents are found in order, the State and the Central authorities shall have to respond to the application within three common working days. If they communicate any deficiency or discrepancy in the application within such time, then the applicant will have to remove the discrepancy / deficiency within 7 days of such communication. Thereafter, for either approving the application or rejecting it, the State and the Central authorities will have 7 days from the date when the taxable person communicates removal of deficiencies. In case no response is given by the departmental authorities within the said time line, the portal shall automatically generate the registration.

What is the process of refusal of registration?

In case registration is refused, the applicant will be informed about the reasons for such refusal through a speaking order. The applicant shall have the right to appeal against the decision of the Authority. As per sub-section (2) of section 26 of the CGST Act, any rejection of application for registration by one authority (i.e. under the CGST Act / SGST Act) shall be deemed to be a rejection of application for registration by the other tax authority (i.e. under the SGST Act / UTGST Act/ CGST Act).

Will there be any communication related to the application disposal?

The applicant shall be informed of the fact of grant or rejection of his registration application through an e-mail and SMS by the GST common portal. Jurisdictional details would be intimated to the applicant at this stage.

Can the registration certificate be downloaded from the GSTN portal?

In case registration is granted; applicant can download the Registration Certificate from the GST common portal.

Can cancellation of registration order be revoked?

Yes, but only in cases where the initial cancellation has been done by the proper officer suo moto, and not on the request of the taxable person or his legal heirs. A person whose registration has been cancelled suo moto can apply to the proper officer for revocation of cancellation of registration within 30 days from the date of communication of the cancellation order. The proper officer may within a period of 30 days from the date of receipt of application for revocation of cancellation or receipt of information/clarification, either revoke the cancellation or reject the application for revocation of cancellation of registration.

Does cancellation of registration impose any tax obligations on the person whose registration is so cancelled?

Yes, as per Section 29(5) of the CGST/SGST Act, every registered taxable person whose registration is cancelled shall pay an amount, by way of debit in the electronic cash ledger, equivalent to the credit of input tax in respect of inputs held in stock and inputs contained in semi-finished or finished goods held in stock or capital goods or plant and machinery on the day immediately preceding the date of such cancellation or the output tax payable on such goods, whichever is higher.