Businesses must register and acknowledge under GST in order to be GST-registered.
Businesses with an annual aggregated turnover exceeding Rs. 40 lakhs must register themselves as taxable persons under GST by obtaining a GSTIN, filing their GST returns regularly & paying their tax liabilities on time.
Depending on the type of business that you are trying to register, businesses have to submit a specific set of documents for GST online registration.
If you are wondering how to register for GST, you must know that the process includes 11 steps and takes a considerable amount of time.
In the following sections, we’ve outlined all the documents you’ll need to register different types of businesses.
Non-registration under GST may have severe consequences for your business and may result in a lawsuit.
What are the steps to registering for GST?
For the reader’s convenience, we have broken down GST Registration into four simple steps –
Form generation for GST applications
The GST Application Form must be filled out
Obtaining the Digital Signature certificate
Verifying and submitting the GST application form with all required documents for GST registration
GST registration is required for the following people:
Businesses and organizations do not have to register for GST just because they start up.
An entity must register if either of the following applies to it:
- In the past 12 months, you carried out a taxable activity and your turnover was at least $60,000, or it is expected to be at least $60,000 in the future
- GST is added to the price of goods or services you sell when you engage in a taxable activity.
An overview of the steps involved in registering for GST online
Here are the steps you need to take to complete GST registration on the GST portal.
- The first step is to go to the GST portal and select the ‘Services’ tab.
- There are four options under Services: ‘Registration’, ‘Payments’, ‘User Services’, and ‘Refunds’.
- Click ‘Registration’ and select ‘New Registration’.
- On the next page, click ‘New Registration’ and enter your details in the empty fields (Part A).
- Then click ‘Proceed’ once you’re finished
- The OTP will be sent to your email address and mobile number. Enter it and click ‘Continue’.
- Take note of the Temporary Reference Number (TRN).
- Once again, visit the GST portal and click ‘Register Now.
- Enter the information for the Temporary Reference Number (TRN) and click ‘Proceed’.
- Select ‘Proceed’ after entering the OTP sent to your email address and mobile number.
- Click on the edit icon to view the status of the application, which will show as a draft.
- The next step is to complete Part B, which consists of 10 sections. You will be required to provide the required information and documents in each section.
- You can submit the application via any of the following methods – DSC, e-Sign, or EVC – if you have made the declaration.
- On the GST Portal, you can track the status of your registration using the ARN that you will receive on your registered mobile number and email ID.
Not registering for GST can result in a penalty
In the event of nonpayment of tax or failure to make full payment (genuine errors), a 10% penalty will be imposed. The minimum penalty is Rs. 10,000 if 10% amounts to a lesser figure. A penalty of 100% of the tax amount due will be imposed if the offender has deliberately evaded payment of taxes.