Any person doing business or providing services with a taxable turnover of over Rs.20 lakhs is required to mandatory register for GST in India. Besides this, concept of Casual Registration, Voluntary registrations also been introduced. Further registrations by Non Residents, Registration by agent supplying goods, Input Service Distributor, E-Commerce operators & those selling through E-commerce operators and those providing online information and database access or retrieval services from a place outside India to a person in India have also been made mandatory.
Whether you are doing business as Proprietorship, Partnership, LLPs, Hindu Undivided Family, Company, Society, Trust and any other legal entity, the GST will be applicable and GST registration must be obtained within 30 days from the date of applicability.
Following Few have been exempted and shall not be required to obtain registration and will be allotted a UIN (Unique Identification Number) instead. Those notified can receive refund of taxes on notified supplies of goods/services received by them:
* Any specialized agency of UNO (United Nations Organization) or any multilateral financial institution and organization notified under the United Nations Act, 1947
* Any other person notified by the Board/Commissioner
* The central government or state government may be based on the recommendation of the GST council, notify exemption from registration to specific persons.
It is important to under stand concept of Casual Registration, Registration by Non Residents, Registration by Importers.
Casual registration has to be obtained by Casual Taxable Person (CTP) irrespective of turnover prescribed as threshold limit. CTPs are defined as those who occasionally undertakes transactions involving supply of goods or services or both in the course of business, whether as principal, agent or in any capacity, in a state or a union territory where he has no fixed place of business.
Registration by Non Residents
Under GST, a Non-Resident Taxable Person(NRTP) is one who occasionally does business transactions involving the supply of goods or services, or both, whether as principal or agent or in any other capacity, but who has no fixed place of business or residence in India. All NRTPs also need to apply for GST registration without any benefit of threshold limit.
High Sea Sales (HSS)
Anyone supplying from territorial waters of India shall also obtain registration under GST. High Sea Sale (HSS) is a sale to another person while the goods are still being transported, or after their dispatch from the port/airport of origin and before their arrival at the port/airport of destination. These sales will attract IGST.
GST registration by Importers
Importers of Goods and services should be aware of following GST provisions:
* Import as Inter-State Supply – Import into India will be considered as Inter-State supply under GST Law and hence will attract Integrated Goods and Services Tax (IGST) along with Basic Custom Duty. IGST will be charged on transaction value whereas under existing regulations CVD is charged on MRP based value.
* Import of Services – Service receiver will meet the liability of payment of tax on import of services and hence requirement of registration under GST. This in a way is similar to the existing regulations of reverse charge.