In the landscape of businesses, understanding the Goods and Services Tax (GST) registration process and its timeline is essential for entrepreneurs and businesses. This blog tells what GST registration entails, and its timeline, and addresses the most frequently asked questions about the process.
What is GST Registration?
The Goods and Services Tax (GST) registration serves as a critical gateway for businesses and individuals aiming to align with the tax infrastructure of their country. Initiated either online or offline, the process involves the submission of pertinent details and documents related to the applicant’s business operations, such as the nature, location, and turnover. The chief outcome of this registration is the issuance of the GST Identification Number (GSTIN). This unique 15-digit code not only becomes an entity’s identity within the GST framework but also facilitates their tax-related activities, from filing returns to claiming Input Tax Credits. The GSTIN, thus, acts as a linchpin ensuring seamless tax operations and compliance for registered taxpayers.
Why Provide Aadhaar number While Applying for GST Number
Businesses that give an Aadhaar number while registering for the Goods and Services Tax will receive clearance in three working days. The Central Board of Indirect Taxes and Customs (CBIC) announced that Aadhaar identification will be required for GST registration beginning August 21, 2020.
The announcement further states that if a firm does not give an Aadhaar number, GST registration will be issued only after physical verification of the business location. According to Finance Ministry sources, the GST Council authorized the implementation of Aadhaar identification for new taxpayers during its 39th meeting on March 14, 2020.
If no notification is issued, a person opting for Aadhaar authentication for new GST registration would receive it within three working days and will not have to wait for physical verification. Applicants who do not choose Aadhaar authentication for GST registration would be allowed it only after physical verification of their location of business or documentary verification, which might take up to 21 working days or more if a notice is issued, according to sources.
What is an Aadhaar Number and How to Obtain it
Aadhaar number is a 12-digit random number provided by the UIDAI (“Authority”) to residents of India who have completed the verification procedure. Anyone who is a resident of India, regardless of age or gender, can freely enroll to receive an Aadhaar number. Those interested in enrolling must share minimum demographic and biometric information throughout the free signup procedure. Because the uniqueness is obtained through the process of demographic and biometric de-duplication, a person only has to enroll for Aadhaar once, and only one Aadhaar will be created for one person.
The Aadhaar enrolmentprocedure involves going to an Enrolment Center, filling out an enrolment form, getting demographic and biometric data collected, giving proof of identity and address papers, and then receiving an acknowledgement slip with an Enrolment ID. Any correction in the enrolment data can be done within 96 hours of enrolment by visiting the enrolment center with the acknowledgement slip. Once your Aadhaar is generated you may download an electronic version of your Aadhaar by giving your Aadhaar number or Enrolment ID. Do note that the downloaded Aadhaar is as valid as the original Aadhaar letter
Timeline for GST Registration Process:
The Goods and Services Tax (GST) registration is a process designed to ensure a swift and efficient system for businesses and individuals to obtain their unique tax identity. Here’s a detailed breakdown of what happens over the timeline:
Online Application and Document Submission
On the first day, the applicant initiates the process by submitting the online application for GST registration. This step involves filling out necessary details and uploading relevant documents. These documents can range from identity proofs, business location proofs, bank details, to photographs, depending on the nature of the business or the individual applying.
Find out how much GST you need to pay before registering for GST without a GST calculator Online.
Document Review and Verification
During these days, the submitted application is thoroughly scrutinized by GST officials. This stage is vital to ensure the legitimacy of the information and documentation provided. Any missing, incorrect, or unclear information may lead to the need for further verification or additional details.
Discrepancy Resolution
Should there be any discrepancies, misalignments, or clarifications required in the application or documents, these two days are allocated to address them. The applicant might be contacted for additional information or to provide clarifications on the existing data. Prompt responses can expedite the process.
GSTIN Grant or Issue Communication
By the seventh day, if everything is in order, the applicant is granted their unique 15-digit GST Identification Number (GSTIN). However, if there are still unresolved issues, the applicant is informed about the same, which might extend the registration process.
FAQs on GST registration:
Can we get GST registration in one day?
While it's possible in rare cases where everything is in perfect order, the usual process takes up to 7 working days.
How long does it take to activate GST?
Once you receive your GSTIN, it's activated immediately for tax-related operations.
Is getting a GST number free?
No, there is a nominal government fee involved, though it varies based on the type and size of the business.
How do I get my GST number after registration?
After successful registration, the GST number or GSTIN is typically sent to the registered email ID or can be checked online on the GST portal.
What is the cost of GST number?
The cost can vary, but for most small to medium-sized businesses, it's a nominal fee. It's best to check the current rates on the official GST website.
How can I get GST in 2 days?
Expedited services might be available through some agents, but it's crucial to ensure all documents are accurate to avoid delays.
How much turnover is required for GST?
The threshold limit for GST registration varies based on the type of service or goods supplied and the state in which the business operates. Regularly checking the GST website is recommended for updated thresholds.
Who is eligible for a GST number?
Any business or individual supplying goods or services and crossing the turnover threshold is generally eligible
Can a salaried person apply for GST?
Yes, if the person is involved in any freelance or business activities beyond their salaried job and crosses the threshold limit.
How can I get GST fast?
Ensure all documents are in order, use professional services, and monitor the application status regularly. Talk to lawyers
