WHAT IS GST REGISTRATION?

WHAT IS GST REGISTRATION?

01-02-2026

In the GST Regime, businesses whose aggregate turnover exceeds Rs. 40 lakhs (Rs. 10 lakhs for North Eastern and Hill States) are required to register as a normal taxable person. This process is known as GST registration.

For certain categories of businesses, GST registration is mandatory irrespective of turnover. Carrying on business without GST registration is considered an offence under GST law and may attract heavy penalties.

Note:
CBIC has notified the increase in threshold turnover from Rs. 20 lakhs to Rs. 40 lakhs with effect from 1st April 2019.

The following persons are required to take GST registration:

  1. Persons in Arunachal Pradesh, Assam, Jammu and Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh and Uttarakhand with aggregate turnover exceeding Rs. 10 lakhs.

  2. Persons in any other state with aggregate turnover exceeding Rs. 40 lakhs.

  3. Persons making inter-state taxable supplies.

  4. Casual taxable persons.

  5. Persons liable to pay tax under Reverse Charge Mechanism.

  6. Non-resident taxable persons.

  7. Persons required to deduct tax under Section 51 of the GST Act.

  8. Persons supplying goods or services on behalf of other registered taxable persons, whether as an agent or otherwise.

  9. Input Service Distributors.

  10. Persons supplying goods or services through an electronic commerce operator.

  11. Persons supplying online information and database access or retrieval services from outside India to a person in India (other than a registered person).

  12. Aggregators supplying services under their own brand name or trade name.

OTHER IMPORTANT POINTS

  • A farmer is not considered a taxable person and is not required to take GST registration.

  • A supplier dealing only in exempt or non-taxable goods or services is not liable for registration even if turnover exceeds the prescribed threshold.

  • Persons supplying goods or services on which tax is payable entirely under reverse charge are exempt from registration.
    Example: Ola or Uber drivers, where tax is paid by the aggregator and not the driver (Notification No. 5/2017).

  • A person carrying on more than one business in the same state may opt for separate GST registrations, but it is not mandatory.

  • Centralized registration is not available under GST. Registration must be taken separately for each state where business is carried on.

TIME LIMIT FOR GST REGISTRATION

A person must apply for GST registration within 30 days from the date on which he becomes liable to register.

Voluntary registration can be taken at any time, even if turnover is below the threshold limit.

EFFECTIVE DATE OF GST REGISTRATION

If the application for registration is submitted within 30 days from the date of liability, the effective date of registration will be the date on which the person became liable.

If the application is submitted after 30 days, the effective date will be the date of grant of registration.

In case of voluntary registration, the effective date will be the date on which registration is approved.

CAN A PERSON TAKE MORE THAN ONE GST REGISTRATION?

  • Separate GSTIN is required for every state or union territory in which a person carries on business.

  • A person may obtain more than one GSTIN in the same state for different business verticals, but this is optional.

  • More than one GSTIN cannot be obtained in the same state for the same business vertical.

Business Vertical means a distinguishable unit of an enterprise engaged in the supply of goods or services having different risks and returns compared to other business activities.

DOCUMENTS REQUIRED FOR GST REGISTRATION

FOR INDIVIDUAL / SOLE PROPRIETOR

  1. PAN card of the proprietor

  2. Address proof (Aadhar Card / Passport / Driving License)

  3. Passport size photograph

  4. Cancelled cheque with name and account number or bank passbook front page with recent transactions

  5. Proof of business address:

    • Rented property: Rent/Lease Agreement

    • Owned property: Electricity bill in applicant’s name

    • Other cases: No Objection Certificate (NOC) along with electricity bill of property owner

FOR BUSINESS ENTITIES (PARTNERSHIP / LLP / COMPANY / TRUST)

  1. PAN card of the business

  2. Identity and address proof of partners/directors/CEO

  3. Passport size photograph of partners/directors/CEO

  4. Cancelled cheque of business or bank statement with recent transactions

  5. Business registration document (Partnership Deed / Certificate of Incorporation / LLP Agreement / Trust Deed)

  6. Digital Signature Certificate (DSC) for Company and LLP

  7. Proof of registered business address (same conditions as above)

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