GST registration will result in the generation of a unique code called a GSTIN which is a 15-digit number provided by the tax authorities to monitor tax payments and compliances of a GST registered person.
Important GST Update –
|AADHAAR authentication with the GSTIN is now required for claiming GST refunds (all types of refunds, regardless of the claim amount) and revocation applications. This new mandate will take effect from 1 January 2022 onwards.|
The Indian government enacted the Goods and Services Tax Act on 29 March 2017, and it came into force on 1 July 2017. The Goods and Services Tax (GST) is a multi-stage indirect tax law that applies throughout the country.
GST is levied on both goods and services. It is an indirect tax that has essentially superseded several other indirect taxes in India, such as VAT, service tax, and excise duty. Since its inception, it has allowed for more efficient tax collection and eliminated double taxation. There are also several other advantages to registering for GST, including fewer compliances, more efficiency, composition plan for small enterprises, and so on and so forth.
Important Documents Required for GST registration
- PAN Card of the Business
- Identity proof of the owner/directors/partners
- Passport size photographs of the owner/directors/partners
- Proof of address of the owner/directors/partners
- Proof of business address
- Copy of partnership deed/ incorporation certificate
- Bank account details
Key Benefits of GST registration for Start-Up’s
- Prior to 2017, start-up’s firms had to follow both service tax and VAT regulations. Start-ups that previously paid service tax and VAT separately can now file for both under the GST regime.
- With a single rate, GST registration makes invoicing easier.
- Start-ups will be able to spend less time on tax compliances once they have registered for GST.
- GST has resulted in fewer border inspections, which has significantly cut transit time, this means that the transfer of commodities across state lines is now more convenient, ultimately lowering transportation and logistical expenses.
- Another significant benefit of GST registration for start-ups is that new businesses would not have to comply with different tax regulations in different states when conducting business across state lines.
- GST registered tax-payers can legally collect tax from their customers and carry forward the credit of the paid taxes to their customers or suppliers.
GST registration online consists of tedious and extensive processes. Eligible candidates must first determine the type of GST registration followed by the number of states in which they must register. In fact, extensive documentation will also be necessary for GST registration.
Individuals must provide documents such as their PAN card, bank account statements, passport sized-photograph, AADHAR card, and proof of address. In addition to this basic documentation, certain additional documentation needs to be furnished as well depending on the kind of registration you wish to obtain.
To ensure that the GST registration process is handled smoothly and without any unnecessary delay, we recommend that you seek professional assistance from the experts at Vakilsearch. Get in touch with our experts today!