GST Registration
Goods and Service Tax (GST) is a destination based tax on consumption of goods and services. It is levied at all stages right from manufacture up to final consumption with credit of taxes paid at previous stages available as setoff. In a nutshell, only value addition will be taxed and burden of tax is to be borne by the final consumer.
All entities which carry out function of selling and purchasing of goods and services have to get registered for GST after crossing of threshold limit as decided, GST registration is required primarily if turnover is more than ₹ 20 Lakh. It can also be taken voluntarily. In case an entity doesn’t have GST number it can’t take input of GST which they had paid while purchasing of goods/services, also it would also not be able to sale interstate thus causing hindrance in growth and expansion
What are the features of GST Registration in India?
-
Composition scheme: It is introduced for small tax payers to reduce the compliance burden on them, any entity whose turnover in a year is less than 1 crore than he can apply for composition
-
PAN Based: The registration in GST is PAN based and State specific. Supplier has to register in each such State or Union territory from where he effects supply
-
Tax Slabs: There are various tax slabs i.e. 0%, 5%, 12%, 18%, and 28%
-
Returns: Monthly 3 return for entities whose turnover is more than 1.5 crore, in case less than 1.5 crore and for composition dealer it is to be filed every quarter
-
Input Tax Credit It can be availed and can be carry forward in future if return are filed on time
-
GSTIN: All businesses that successfully register under GST are assigned a unique Goods and Services Tax Identification Number also known as GSTIN., It is unique 15 digit code which is connected with your PAN Number