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What you need to know about the GST registration process

What you need to know about the GST registration process
Budget2 min read

Brought into effect by the biggest ever tax reform in India, GST has highly eased how businesses are done in the country. The essence of GST is creating a single system of tax collection across the nation to increase the taxpayer base and avoid the tax complexities. It has integrated multiple taxes into a single system.

Why go for GST registration?

Registering under GST is incumbent in India for individuals and entities supplying goods or services. GST becomes mandatory when the aggregate value of the supply can exceed over Rs. 20 lakhs per annum. In case of the entity doing business in a state classified under special category, GST registration is mandatory when the total value of the supplies might cross 10 lakhs per annum.

Irrespective of the turnover, a person or entity can also choose to go for GST registration. Initially the GST guidelines made it not possible to surrender a voluntary GST registration for a period of one year. Eventually this was modified and the new regulations permit the surrendering of voluntary GST registration by the applicant anytime.

Here we discuss the step by step procedure of registering under GST in India.

GST Registration Process

  • The Central Government of India maintains an online portal to facilitate GST registration online. Here are the steps to register under GST.
  • Either through a Facilitation Center or on the GSTN portal, the applicant will have to submit his PAN, mobile number and email id in Part A of Form GST REG–01.
  • The GST portal verifies the PAN and also sends a one-time password (OTP) for verifying the mobile number and email id. After verification, the portal sends a reference number for the application submitted on the registered mobile number and email id of the applicant. An electronic acknowledgement will be issued to the applicant in FORM GST REG-02.
  • The applicant has to fill in Part- B of Form GST REG-01 by inputting the application reference number. Following this, the form has to be submitted with the necessary documents attached.
  • In case the portal will need any additional information from the candidate, Form GST REG-03 will be issued. From the date of receipt of Form GST REG-03, the applicant must furnish the information asked by responding through Form GST REG-04 within 7 working days.
  • The registration certificate in Form GST REG –06 is issued to the applicant both for the principal place of business and also for every additional place of business. If an individual or entity operates multiple businesses within a state, separate application must be submitted for GST registration for each of the businesses.
Other useful information on GST registration

In case the GSTN registration portal is not satisfied with the details submitted by the candidate, the GST registration application will be rejected using Form GST REG-05.

The applicant who needs to deduct TDS or collect TCS is expected to register by submitting an application in Form GST REG – 07. If the authorities find that the entity or individual is no longer liable to deduct TDS or collect TCS, the applicant will be notified of it and the registration will be cancelled in such a case.