Types of GST Registrations

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Published Date:  19-05-2023   Author:   ca-abishek-goli
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GST Registration is mandatory for some businesses and voluntary for others based on the threshold. There are different types of GST registrations based on the nature of the business, place of residence and ownership.

Before obtaining GST Registration, one should be clear in which category they fall and apply for registration. GST Registration form differs based on the type of GST Registration.

Now let’s discuss the different types of GST Registration categories.

  • Regular GST Registration: This type of GST registration is required for businesses with an annual turnover of more than ₹ 40 lakhs ( ₹20 lakhs in case of special category states)in case of goods and ₹ 20 lakhs in case of services/both goods and services. Businesses that supply goods to customers in other states must also have regular GST registration even if their turnover is less than ₹ 20 lacs.
  • Casual taxable person registration: This type of GST registration is required for businesses; if they want to participate in any trade fair or exhibition in a state where he is not registered, they must obtain a temporary registration and sell goods in that state.
  • Composition scheme registration: This type of GST registration is available for small businesses with an annual turnover of up to Rs. 1.5 crore. The scheme allows small businesses to be echo system and at the same time not burdened with the complex return filing. They cannot collect from their customer, and at the same time, they cannot avail the input tax credit.
  • Input service distributor registration: This type of GST registration is required for multi-state businesses. GST is a destination-based taxation, so the input tax must be distributed to all the states where the services are consumed.
  • Non-resident Taxable Person Registration: This type of GST registration is required for businesses that are not based in India but supply goods or services in the country regularly.
  • Tax Deducted at Source (TDS) Registration: TDS Registration in GST is required for all departments or establishments of Centre / State Government, Local Authority, Government Agencies & Persons or categories of persons notified by the Central / State Government. These agencies may not be supplying taxable goods or services, but they must deduct GST-TDS when paying vendors if the transaction value is above ₹ 2.5 lacs apart from the TDS under income tax.
  • Tax Collected at Source (TCS) Registration: TCS Registration must be obtained by businesses operating and maintaining e-commerce platforms, i.e., where they allow the third party to sell goods on their website. While making payments to the suppliers, the e-commerce operator has to deduct TCS from the payments received from the customers.
  • Unique Identification Number (UIN): This is a special category of GST Registration applicable for embassies, foreign diplomatic missions and UN bodies. These organizations do not provide any taxable supplies, and taxes paid on their inputs will be refunded to them.

These are the different types of GST Registration available, and the entities have to know under which category they need to take GST Registration. Any entity can have multiple categories of GST Registrations, like a business entity operating from 10 different states, in such case they need to obtain GST Registration as a regular taxpayer in all the states and at the same time obtain registration as Input Service Distributor also as they have to distribute the input tax credit to all the ten states.

You can calculate different types of GST using online GST calculators. This will help you to give accurate GST amount chargeable for particular bill.

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Also Read: Role of GST Registration Services in GST Compliances

When to apply for GST registration in different cases as specified above

  • In case of regular GST Registration, If the business turnover is more than ₹ 40 lakhs ( ₹ 20 lakhs in case of special category states) per annum or engaged in the inter-state of supply of goods or services, then it is required to obtain registration under GST. If the turnover crosses the specified limit, the person is required to obtain GST registration within 30 days of crossing the threshold limit.
  • In the case of Casual Taxable Person Registration, You should apply for GST registration at least 5 days prior to the commencement of business.
  • In the case of Composition scheme registration, You should apply for composition scheme registration before the beginning of the financial year for which you wish to opt for the scheme.
  • In the case of Input service distributor registration, you should apply for GST registration before you can distribute input tax credits to your branches or units.

Also Read: Beginners Guide to GST Registration

  • In case of Non-resident taxable person registration, You should apply for GST registration at least 5 days prior to commencement of business in India.
  • In the case of TDS registration, you should apply for GST registration before you can deduct TDS from the payment made to the supplier.
  • In the case of TCS Registration, the same should be obtained before the commencement of the business.
  • In the case of UIN holders, they should obtain it before making any purchases, as it will enable them to claim the refund of the taxes only if their UIN is mentioned by the supplier on the tax invoice.

Expect in the case of UIN holders; all other taxpayers need accounting software; for that, they can explore using CaptainBiz, a mobile and online cloud-based billing software.

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CA Abishek Goli

CA Abishek Goli, Fellow Chartered Accountant, Partner at Manohar Chowdhry & Associates. He is having a post qualification experience of more than 12 years. He is specialized in doing Statutory Audits, Internal Audits, Tax Audits, Assessment of Internal Financial Controls and Goods and Services Tax.

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