How Long Does It Take to Get a GST Number in India?

Find out the typical time it takes to get a GST number in India and the factors that can affect the processing time for GST registration.

A GST number is a unique 15 digit identification number assigned to businesses and service providers under the Goods and Services Tax (GST) system in India. This number is issued by the GST department after successful registration, allowing businesses to charge and collect GST on their products and services.

Importance of Having a GST Number for Businesses in India

Having a GST number is crucial for businesses in India as it allows them to legally collect and remit GST. It also enables businesses to claim input tax credits on goods and services purchased, reducing their overall tax burden. Additionally, a GST number makes businesses more credible and helps them maintain transparent financial records, which is essential for tax compliance and audits.

Purpose of GST Number

Businesses and service providers need a GST number to legally conduct operations that involve taxable goods and services. It facilitates tax compliance by ensuring businesses file GST returns and pay taxes on time. The GST number also enables businesses to engage in interstate trade, issue GST-compliant invoices, and avoid penalties for non-compliance.

How Long Does It Take to Get a GST Number?

On average, it takes about 3-6 business days to receive a GST number after submitting your application. The time frame depends on the completeness of your application and the verification process.

Common Delays in GST Registration

Several issues can delay the GST registration process. Common delays occur due to document errors, such as mismatched information or incomplete paperwork. If the application is not filled out properly, or if there are discrepancies in submitted documents, it can prolong the process. Additionally, delays in verifying the details provided by the applicant can also extend the registration timeline.

Factors Affecting Processing Time

Several factors influence how quickly you can receive your GST number. These include the accuracy and completeness of your application, the location of your business, and whether the documents are verified without complications. In some cases, if the application is flagged for further scrutiny, it can delay approval. Also, businesses in remote areas or with complex business models may face longer processing times due to additional checks.

Online GST Registration Process

The online GST registration process streamlines the way businesses register for the Goods and Services Tax in India. It involves:

• Access the GST Portal

Initiate the GST registration process by visiting the official GST portal, the centralized platform for all GST-related activities in India.

• New Registration Option

Choose “New Registration” on the GST portal, the starting point for businesses seeking Goods and Services Tax registration.

• Data Entry

Provide crucial business details, including structure and personnel information, as part of the new registration process.

• Provide Business Information

Enter comprehensive business information, including legal name, principal and additional places of business, and type of registration.

• Verification Through OTP

Confirm provided information through OTP sent to the registered mobile number for a secure verification process.

• Upload Documents

Submit necessary documents, such as business proof and address proof, to support the registration application.

• Application Submission

After completing data entry and document submission, formally apply for GST registration by applying.

• Application Reference Number (ARN)

Receive the Application Reference Number (ARN) upon successful submission, essential for tracking the application status.

• Approval Process

Await approval from the GST department, as the application undergoes scrutiny to ensure compliance with regulations.

• GSTIN Issuance

Upon approval, businesses are issued a GST Number (GSTIN), marking successful registration.

Benefits of GST Number in India

Obtaining a GST number offers numerous advantages to businesses in India:

• Legal Compliance: Ensures legal compliance with the Goods and Services Tax regulations, preventing legal consequences.
• Input Tax Credit: Enables businesses to claim input tax credit on GST paid for goods and services used in business operations.
• Nationwide Presence: Facilitates seamless interstate business by providing a unified tax system across the country.
• Business Recognition: Enhances business credibility and recognition as having a GST number signifies compliance with taxation norms.
• Market Expansion: Eases entry into the formal market, promoting trust among suppliers, customers, and other business entities.
• Access to Online Portal: Provides access to the GST portal for filing returns, tracking compliance, and managing other tax-related activities.
• Reduced Tax Cascading: Mitigates tax cascading by allowing businesses to offset taxes paid on inputs against taxes collected on outputs.
• Government Contracts: Enables businesses to participate in government tenders and contracts, often requiring a valid GST registration.
• E-commerce Transactions: Required for businesses engaged in e-commerce transactions, fostering inclusion in the digital economy.
• Input Tax Credit for Capital Goods: Businesses can claim input tax credits for capital goods, reducing the overall tax burden.
• Transparent Tax System: Contributes to a transparent and efficient tax system, streamlining tax administration and reducing corruption.
• GST Number Verification: Facilitates GSTIN verification, allowing parties to verify the authenticity of a registered business. Having a GST number in India is pivotal for businesses, offering a range of advantages that contribute to their growth, compliance, and overall efficiency in the taxation landscape.

How Can Vakilsearch Assist You?

Our knowledgeable legal team can walk you through the GST registration process and complete it on your behalf so you can get your GST Number as soon as possible. Our team will also handle any compliance issues that may arise during the process. We can also handle all of your GST return filings to ensure that you stay in compliance. 

Our experts can act as stewards in your GST registration process, ensuring that you receive your GSTIN quickly by handling all pre- and post-registration responsibilities on your behalf. Get in touch with Vakilsearch today to make stress-free GST registration a reality!

Still not convinced you require our assistance? Our legal representatives are always available to answer any questions you may have about the GST registration process or the new GST registration time frame.

FAQs:

How long does it take to get a GST number?

Typically, GST registration takes 3-6 business days, depending on the completeness of the application and verification process.

What is a GST Number?

A GST number is a 15 digit unique identification code for businesses and service providers under the GST system, enabling them to charge and collect GST while maintaining compliance with Indian tax laws.

Who needs to obtain a GST Number?

Businesses with an annual turnover above the prescribed threshold or those engaged in inter-state trade need to obtain a GST number. Small businesses and startups may also be required to register.

How do I apply for a GST number?

To apply for a GST number, submit an application online through the GST portal, providing necessary documents and forms. You can also seek assistance from a tax consultant.

Why do businesses need a GST Number?

A GST number is required for businesses to collect GST, file returns, and claim input tax credits. It ensures legal tax compliance and smooth business operations.

What documents are required for GST registration?

Documents required include PAN card, address proof, bank account details, business constitution documents, and photographs of the applicant.

What factors affect the processing time for GST registration?

Factors like location, business type, document completeness, and additional scrutiny can affect the processing time for GST registration.

Do small businesses need a GST number?

Yes, small businesses with turnover exceeding the prescribed threshold must obtain a GST number. However, businesses with turnover below the limit can opt for voluntary registration.