GST Registration

GST is the product of the biggest tax reform in India which has tremendously improved ease of doing business and increasing the taxpayer base in India by including millions of small businesses. Tax complexities would be reduced due to the abolishing and subsuming of multiple taxes into a single, simple system.

The new GST regime mandates that all entities involved in buying or selling goods or providing services or both are required to register and obtain GSTIN. Registration is mandatory once the entity crosses a minimum threshold turnover or when an individual starts a new business that is expected to cross the prescribed turnover.

Businesses are required to register for GST if they fall into one of the following criteria.

Any institution which is a factories involved in any industry as defined in Schedule 1 and in which 20 or more individuals are working. Every other institution hiring 20 or more individuals, that may be informed by the central administration, shall designate in that form. Any establishment employing even less than 20 persons can be covered voluntarily under section 1 (4) of the Employees Provident Fund and Miscellaneous Provisions Act, 1952.

The aim of the program is to set up provident funds for workers protected by the Employees ‘ Provident Funds Act, 1952. As such, the scheme is applicable to the employees of all factories and other establishments covered by the said Act except those exempted under section 17 thereof.

All employers having 20 or more employees are required to be registered with Employees Provident Fund (EPF) Corporation. Those entities having EPF Registration must then file EPF returns. EPF returns are due half-yearly. Muhamamd& Associates can help file EPF returns for your business. Our EPF experts can also help you compute EPF payments and maintain EPF regulation compliance for your business.

Any service provider who provides a service value of more than Rs. 20 Lakhs aggregate in a year is required to obtain GST registration. In the special category states, this limit is Rs. 10 lakhs. Any entity engaged in the exclusive supply of goods whose aggregate turnover crosses Rs.40 lakhs is required to obtain GST registration.

An entity shall register for GST if they supply goods inter state, i.e., from one state to another irrespective of their aggregate turnover. Inter state service providers need to obtain GST registration only if their annual turnover exceeds Rs. 20 lakhs. (In special category states, this limit is Rs. 10 lakhs).

Any individual supplying goods or services through an e-commerce platform shall apply for GST registration. The individual shall register irrespective of the turnover. Hence, sellers on Flipkart, Amazon and other e-commerce platforms must obtain registration to commence activity.

Any individual undertaking supply of goods, services seasonally or intermittently through a temporary stall or shop must apply for GST. The individual shall apply irrespective of the annual aggregate turnover.