Often known as TIN Number, it is mandatory for any manufacturing or trading business with a turnover of over Rs. 5 lakh.
We do a thorough check of the files you send in
We will appoint an affiliate to process your application
The TIN will be issued within 15 days of the application
Value-added Tax (VAT) Registration, also erroneously known as TIN and CST Registration, is mandatory for any business entity engaged in the sale of goods in India and a turnover of over Rs. 5 lakh (although it may be higher in some states). It is a multi-stage state tax that accumulates at various stages of production and supply. At every stage, the purchaser pays the tax and is allowed to offset the same on subsequent sale.
Consumers, therefore, ultimately bear this tax. VAT is collected by the state government and it is essential to know what the VAT rate is for the type of good or service you provide in each state you provide it in. Returns need to be filed on the 20th of each month (partnerships, LLPs and proprietorships can do so quarterly).
Whether or not you need VAT registration right now depends on the state in which your business is operating. In most states, registration is not required at all until your turnover crosses a certain threshold. This is usually Rs. 5 lakh in annual revenues. It also matters what it is you’re selling, as some items may be exempt. Salt, for example, is exempt from VAT.
If you are planning to sell via any of the large online marketplaces, such as Amazon, Flipkart or Snapdeal, you will need a VAT Registration no matter what your turnover is. A TIN or Taxpayer Identification Number is mandatory before you get on their platform.
This depends on two things: your promptness with the documents required and the work load of the government. Do ensure that you have all the documents in order or it will end up being delayed or need a reapplication. Once the documents are submitted, it depends on how soon the inspector visits your premises (yes, you must have a commercial space to be eligible for VAT). If you live in a metropolitan city, the visit is likely to be sooner than if you live in a Tier I or II city.
VAT is collected at every stage of production, so some of the amount you collect from your customers will be retained by you, while the remainder will be paid to government via designated banks on a monthly basis. Returns must also be filed. The date and frequency differs with every state.
Businesses with a turnover of between Rs. 10 lakh and Rs. 50 lakh can simplify VAT compliance by applying for the VAT Composition Scheme. By joining this scheme, they will pay a lower rate of tax, that is fixed, and file only quarterly, or, for some businesses, annual returns.
Yes, all Indian states have websites (although some don't work very well) that allow payment of the VAT collected and return filing.
VAT is to be paid only when a commodity is produced or imported and sold for the first time. Subsequent sales are exempt, as are all exports. Local and inter-state rates differ on all goods, so there's no fixed rate for sales tax.
VAT is the tax you pay while purchasing raw materials and what the end-consumer ultimately pays. The number you are registered under is called Tax-payer Identification Number (TIN). VAT registration and TIN registration are, therefore, the same.
A government official is likely to inspect the premises, so this should not be taken lightly. The space should be in good condition or the inspector could delay the grant of the registration.
You need to send in PAN cards, identity, address proofs and four passport-sized photographs of the proprietor/partners/directors. Private limited companies must also submit the Memorandum and Articles of Association, Form 32, Form 18 and Certificate of Incorporation, while Partnerships must submit the Partnership Agreement. Finally, the rental agreement for the office address, if it is rented, along with the electricity bill.
The application will be prepared by our representatives in two working days. It will then be filed and submitted to the authorities via our affiliates. We will be sent a basic acknowledgement within seven working days.
Your application will be processed by the department and may involve a physical inspection. Once approved, the Taxpayer Identitification Number (TIN), an 11-digit number, will be issued. A certificate will also be issued. We will courier it to you when it is received from the government department.
|VAT Registration||Service Tax Registration||Importer-Exporter Code||Shops & Establishments Act||Profession Tax Registration|
Who It's For
|Sellers of goods||Service providers||Importers & exporters||All businesses||All employers|
When You Need It
|When sales cross Rs. 5 lakh||When sales cross Rs. 9 lakh||For any imports or exports||Within 30 days of operations||Within 30 days of operations|
Returns to be Filed
|State Government||Central Government||Directorate General of Foreign Trade||Municipal Corporation||State Government|
|Know More »||Know More »||Know More »||Know More »|
We've tied-up with some of the best vendors in major cities of the country to get you your VAT Registration. We've completed 500+ registrations in the past 12 months.
We make your interaction with government as smooth as is possible by doing all the paperwork for you. We will also give you absolute clarity on the process to set realistic expectations.
Our team of experienced business advisors are a phone call away, should you have any queries about the process. But we'll try to ensure that your doubts are cleared before they even arise.