How to Apply for GST Registration Online?

Ashish M. Shaji

16 Mar, 2023

One can apply for online GST registration, for that it is compulsory for a taxpayer to provide PAN details. For proper implementation of any tax regime, the fundamental requirement is the identification of taxpayers, which can be done through the online GST registration of taxpayers, as it ensures proper compliance and keeps proper track of transactions. In this article we described about How to Apply for GST Registration Online.

Along with these benefits to the government, the registered taxpayer also gets various benefits like:

• Legal recognition;
• He can collect tax from his customers;
• He can claim Input Tax Credit;
• Seamless flow of funds from the Central and State government, etc.

In the current scenario, every dealer is registered under State VAT laws and has a TIN (Tax Identification No.), and every service provider is assigned a Service Tax Registration Number by CBEC. Now with the introduction of GST, all taxpayers will be consolidated into one single platform and assigned with a unique 15-digit GSTIN (Goods and Service Tax Identification No.), and a certificate of registration is made available on the GST common portal.

Who Should Apply for GST?

In order to determine who should Apply for GST Laws, we can categorize the registration into the following categories:

• Automatic Registration under GST:

As per sub-section (2) of Section 22 of CGST Act, 2017^[1], all those taxpayers who are already registered or hold a license under any of the existing laws like VAT, CST, Service Tax etc. are to be automatically registered/ migrated to GST. They will have to fill the enrolment forms for such a migration process.

• Conditional Registration under GST:

Registrations of this nature are based on threshold limits which specify that the following suppliers are to be registered under GST:

1. If the aggregate turnover of any supplier of goods based in any state or union territory other than the Special Category States exceeds 40 lakh rupees, and
2. If the aggregate turnover of any supplier of goods based in any Special Category States exceeds 20 lakh rupees. Here special category states include states of north-east India, Himachal, Uttrakhand and Jammu & Kashmir.
3. If the aggregate turnover of any supplier of services based in any state or union territory other than the Special Category States exceeds 20 lakh rupees, and
4. If the aggregate turnover of any supplier of services based in any Special Category States exceeds 10 lakh rupees.

• Mandatory / Compulsory Registration under GST:

Irrespective of the above threshold limits, the Act also specified an additional list of suppliers in Section 24 who are required to be registered under GST. This list includes the following:

1. Any person required to pay tax on reverse charge.
2. Any person who is eligible to remit the tax or claim Input Tax Credit.
3. Any person making the inter-state supply.
4. Any casual taxable person making the taxable supply.
5. Any non-resident taxable person making the taxable supply.
6. Input Service Distributor
7. E-commerce Operator
8. Any person supplying on behalf of others, whether as an agent or not.
9. Every person supplying online information and database or retrieval service from a place outside India to a person in India, who is not a registered person.
10. E-commerce operator paying tax on certain specified categories of services, if such services are supplied through it.
11. A person supplying through e-commerce who collects tax at source u/s 52.

• Voluntary Registration under GST:

Any person who is not covered under any of the above-mentioned categories, i.e. who are not bound to be registered under GST as a result of automatic, conditional and mandatory registration requirements, has an option to register voluntarily. Voluntary registration has its share of banes and boons. On one hand, it provides legal recognition and ability to collect tax from the customer as well as claim Input Tax Credit, however, it also results in additional responsibility to follow all the provisions of law, like proper bookkeeping and regular filing of returns.

Read our article: Is Voluntary Registration Under GST Beneficial?

Where to Register under GST?

Registration is state-specific, i.e. one has to obtain registration in each state and union territory where he affects the supply from. From this perspective, we can segregate the taxpayers into two separate categories:

• If any taxpayer is operating his business from different branches located in different states, then he has to obtain separate state wise registrations.
• If any taxpayer is operating a business in a single state, then he has to obtain a single GSTIN. However, if he operates multiple businesses in separate business segments, then he has an option to apply for separate GSTIN for each such business segments.

Timeline for Registration under GST

Timeline for registration under GST is specified in subsection (1) of section 25 of the CGST Act, 2017. In order to determine the timeline for registration, taxpayers can be categorized into the following categories:

Existing Taxpayers:

• They are automatically registered based on PAN.
• Have to fill details in online GST enrolment website i.e., gst.gov.in.
• Start date differs for each category.

New Dealer:

All the new dealers who are covered under the ambit of GST as a result of the implementation of threshold limits, mandatory registration norms or are registering voluntarily have the following timeline:

• Who are already liable: Within 30 days of GST implementation
• Who are currently not liable: Within 30 days from the day on which the dealer becomes liable.
• Voluntary registration: No limit

Casual and Non-Resident Taxable Person under GST:

They are occasional traders, hence it becomes difficult to track them in real-time. Therefore, norms relating to Casual and Non-Resident Taxable Person under GST are a little different. They have to apply at least 5 days before starting any business. Sub-section (1) of Section 27 states that such registration is valid for 90 days only; however, they can opt for an GST extension. At the time of application, they have to deposit an advance deposit, which shall be equal to the estimated tax liability. They are also required to apply for online GST registration.

GST Registration process Online

The following process may be followed:

• Visit GST Portal;
• Click on register now and select new registration;
• Fill in the details;
• Once the details are filled in, enter proceed;
• A Temporary Reference Number will be displayed ;
•  Visit the GST portal once again and click on register;
• Select Temporary Reference Number and enter it;
• Thereafter you will receive an OTP, enter OTP and proceed;
• Visit the verification page and check declaration;
• Then submit the application either by electronic verification code, e-sign method or by using DSC;

Who is exempted from GST Registration?

Section 23 of the Act provides for the categories of suppliers who are exempted from the online GST registration formalities:

• Any supplier engaged in the supply of exempted goods and services;
• Agriculturist;
• Any other category of supplier specified by the government on the recommendation of the Council.

Other than these exempted categories, sub-section (9) of Section 25 also named the following who shall apply for a Unique Identity Number (UIN) in place of GSTIN:

• Any specialized agency of UNO/ any multilateral financial institution and Organization notified under the United Nations Act, 1947.
• Consulate or embassy of any foreign country.
• Any other person notified by Board/ Commissioner/ State or Central Government on the recommendation of GST Council.

Conclusion

 It may be noted that in case of not registering under GST, would invite penal actions therefore timely GST registration is highly recommended. For any query related to GST, contact Enterslice.

Read our article:Applicability and Impact of GST on Healthcare Services Sector in India