Complete guide to new registration under GST Act

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A) Person liable to be registered under the GST Act

The section 22 specifies that the registration is required to be obtained by the person when the aggregate turnover in a financial year of taxable supply of goods or services exceeds Rs.20 Lakhs.

However, the said limit of Rs. 20 Lakhs is reduced to Rs.10 Lakhs if the person is located in Special Category States i.e. North Eastern States (Manipur, Arunachal Pradesh, Nagaland, Meghalaya, Assam, Tripura & Mizoram), Sikkim, Jammu & Kashmir, Himachal Pradesh & Uttarakhand.

B) Exclusion from Taxable Person The Section 23 of the GST Act specifies that the following persons shall not be considered as a taxable person.

(a) Agriculturist for the purpose of agriculture

(b) Persons engaged in business of exclusively supplying goods and services not liable to tax.

The meaning of these are discussed below:

C) Compulsory registration : The section 24 of the GST Act requires the person to obtain registration on compulsory basis under the following instances:

(i) persons making any inter-State taxable supply;

(ii) casual taxable persons making taxable supply;

(iii) persons who are required to pay tax under reverse charge;

(iv) person who are required to pay tax under sub-section (5) of section 9;

(v) non-resident taxable persons making taxable supply;

(vi) persons who are required to deduct tax under section 51, whether or not separately registered under this Act;

(vii) persons who make taxable supply of goods or services or both on behalf of other taxable persons whether as an agent or otherwise;

(viii) Input Service Distributor, whether or not separately registered under this Act;

(ix) persons who supply goods or services or both, other than supplies specified under sub-section (5) of section 9, through such electronic commerce operator who is required to collect tax at source under section 52;

(x) every electronic commerce operator;

(xi) every person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered person; and

(xii) such other person or class of persons as may be notified by the Government on the recommendations of the Council.
D) Procedure for registration Application for person other than non-resident, deductor of tax, collector of tax and supplier of OIDAR services.

As per the Registration Rules, the person who is not a non-resident taxable person, deductor of tax and collector of tax shall apply in Form GST REG-01 on the common portal.

The form is divided into two parts namely Part ‘A’ and Part ‘B’.

The non-resident has to apply in form GST REG -09,decutor or collector of tax has to apply in form GST REG-07, supplier of OIDAR services in form GST-REG-10 and special agency like united nation organization etc in form GST-REG-13.

Verification of the Application :

As per the Registration Rules, the application will be forwarded to the Proper Officer of the respective State or the Central Government, who shall examine the application and the accompanied documents.

If these documents are found to be in order, he shall approve the registration within 3 common working days from the date of submission. Where the application is found to be deficient for any reason or the Proper Officer requires any further clarification, he shall intimate to the applicant and the applicant shall submit the reply with clarification within 7 working days from the date of receipt of such information.

The explanation provides that the clarification includes modification or correction of particulars declared in the application for registration. Where no reply is made by the proper officer within 3 working days of receipt of application or within 7 working days from receipt of clarification then application under this Act shall be deemed to have been approved.

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