The Goods and Services Tax (GST) is a tax on the supply of goods and services in India. It came into effect on 1 July 2017 and is administered by the Central Board of Excise and Customs (CBEC). You can file your GST returns online if registered under the GST regime. This article will show you the online GST registration process and what documents you need.
Who needs to register for GST?
If you are a business with an annual turnover of more than Rs 20 lakh, you must register for GST. This applies to all businesses except those in the special category states of Arunachal Pradesh, Himachal Pradesh, Uttarakhand, Tripura, Sikkim, Nagaland, Mizoram, Meghalaya, Manipur, Jammu and Kashmir, Assam and Arunachal Pradesh. Businesses in these states must have more than Rs 10 lakh annual turnover for the GST registration process.
What are the benefits of registering for GST?
As a business owner, you must register for GST if your annual turnover exceeds Rs 20 lakhs. If you are registered for GST, you will be able to avail of certain benefits:
1. You can claim input tax credit:
If you are registered for GST, you can claim an input tax credit for the taxes you have paid on your inputs (raw materials, office supplies etc.). This credit can be offset against your output tax liability (the tax that you need to pay on your sales). Input tax credit helps to reduce your overall tax burden and improves your cash flow.
2. You can file GST returns online:
Filing GST returns can be done easily online if registered for GST. You need to log in to the GST portal using your user ID and password and then fill in the required details. This is much more convenient than filing paper returns every month.
3. You can get a refund of excess credits:
If you have paid more taxes than what you actually owe (due to errors in calculation etc.), you can claim a refund of the excess amount from the government. This is only possible if you are registered for GST.
4. You will be eligible for certain tax exemptions:
Certain businesses (such as small businesses, export-oriented units etc.) are eligible for certain tax exemptions under the GST regime. You will only be able to avail of these exemptions if you are registered for GST.
How to register for GST online
The process of Online GST registration is as follows:
- Go to the official Goods and Services Tax (GST) website at gst.gov.in.
- Click on the ‘Register Now button on the homepage.
- A new page will open where you will have to select the appropriate registration form. If you register as a business, you must select Form GST REG-01.
- Fill in all the details required in the form and upload the necessary documents.
- After filling in all the details, click the ‘Submit’ button.
- You will receive an Application Reference Number (ARN) on your registered mobile number and email address. This ARN can be used to track the status of your application.
To sum up, these are the documents you’d need to register for GST
- Your business registration certificate (BR)
- An application form for GST registration (Form 031)
- A copy of your latest bank statement or passbook
- A copy of your latest income tax return
- A copy of your latest property tax assessment