GST Registration is not a puzzle that can be solved overnight. You may find the concept a bit new or you may come across some loop-holes in this newly introduced tax reform. But as time progresses you will slowly get acquainted with the GST Registration in Bangalore. The below article gives you an insight into GST registration and how to get GST registration online.
It was a historic day for the nation in July 2017, when the Goods and Service Tax (GST) came into effect. Our Honourable Prime Minister Sri. Narendra Modi approved the bill in the Parliament House in front of many members who were present in both the houses. The main reason to introduce the GST was to bring an end to many indirect taxes and to bring transparency and accountability. From here onwards it is mandatory to convert the existing Value Added Tax (VAT) and Central Sales Tax (CST) and other Service Taxes to the new tax reform what we know as GST Registration.
GST is turning out to be one of the biggest tax reforms in India. It has helped in improving the business and also at the same time has increased the taxpayer base by bringing in lakhs of small businesses in India. GST has helped eliminate multiple taxes into a single tax regime. GST has increased the business to grow substantially and has also helped to bring down tax complexities. As per the new rule, all business entities who are involved in the selling of goods and services are required to register for GST. Any business entity operating without GST registration would not be allowed to collect GST from the customer or could also be penalized.
GST is divided into five tax slabs for the purpose of tax collection. They are 0%, 5%, 12%, 18% and 28%. Different goods fall under different tax slabs. However, certain products like petroleum, alcoholic drinks, and electricity are exempted from GST. They are taxed separately by the respective State Governments. The tax rates, rules, and the regulations are governed by the GST Council which consists of the finance minister of center and all states.
Get Your GST Registration Online
We are in the world of digitalization. Everything is becoming online nowadays. Aavana Corporate Solutions is one of the leading financial service platform located at Bangalore. We offer our services in IT Tax filing, Company Registration, Online GST filing and much more. We can assist you to obtain the online GST Registration in Bangalore. Our expert team at Aavana helps you to get your new GST Registration Number through the GST Portal. Get your doubts clear about GST Registration, GST Registration Online by consulting an Aavana advisor at Bangalore. For more details about GST Registration in Bangalore, kindly speak to our experts.
You may be under the impression that the GST portal is easy and user-friendly. Yes, though the portal is easy and user-friendly you still require the help of the professionals to fill the necessary forms and submit the same online in the portal. There are some complex fields in the form where data has to be entered with respect to jurisdiction area, range and so on. With the help of our experts, we help you to get done your GST Registration Online in Bangalore in a most friendly and hassle-free manner.
Know About GST Registration Number?
Many of us will be wondering what a GST Registration Number is all about. In simple terms, a GST Registration Number is a 15 digit identification number allotted to an individual applicant. It is totally based on the PAN Number and the State Code. The first two digits represent the State Code and the remaining 10 digits represent the PAN number of the applicant.
How to Get Your GST Number Step by Step?
Filling the GST application form is not a rocket science. By following a proper format, your task becomes easier.
- The first and the foremost task are to log in to the GST portal.
- With the help of a professional fill up the Part A of the GST Registration Form-1.
- You will get a reference number via e-mail or from your mobile.
- Fill up the latter half of the registration form and upload the same with the important documents as per the business entity.
- Finally, once your application is approved you will get a Certificate of Registration issued by the Government of India.
If you are planning to get your GST Registration or facing any issues with respect to GST Registration Online, we at Aavana are always here to assist you with the entire process. We offer the lowest pricing and Fee to get GST Registration Online. Our package includes;
- GST Certificate with ARN and GSTIN Number.
- GST HSN Codes with Rates.
- GST Invoice Formats
When Do You Need GST Registration?
Once the GST has come into full effect by replacing other indirect taxes like Value Added Tax (VAT), Central Sales Tax (CST) and so on, it has led to the confusion in the minds of many people like should one go for GST registration or it is mandatory to file for GST registration etc.
Yes, it is mandatory to get your GST registration number as per the Government rules. The following are the conditions applicable where GST registration is a must.
- If your expected turnover is more than 20 lakh in a year and if you are selling the goods and the services within a state, then GST number is very much required.
- If your turnover is less than 20 lakh in a year and you are selling the goods outside your state, then also you need to have a GST Registration Number.
- A GST Registration Number is also required if you are doing an e-commerce business online.
- If you are a Trader or a Manufacturer and your supplier are registered under the GSTIN, then they may charge the GST on your purchase of goods. Therefore, if you need the refund credited to your account then one must have the GST Registration Number.
What Documents Do You Need for GST Registration?
It does not make any sense if you wonder that no documentation is required for Online GST registration. Submitting documents in a prescribed format is very much required for the purpose of GST registration. By no way, you can run the show without proper documentation?
Primary documents like PAN Card, passport, driving license, Aadhaar Card, Voter ID, Certificate of Incorporation, copy of sale deed, rental agreement, tax paid receipt, statement of bank account showing few transactions and the address of the business and digital signatures from the directors are some of the important documents needed for GST registration.
If you are not registered under the GST then you may end up paying 10% of the tax amount as penalty. The penalty will be 100% of the tax amount when the offender has intentionally evaded paying the tax.
How Can One Migrate from Existing VAT/CST Number to GST number?
Many of us were under the assumption that it could be a tedious process to migrate from existing VAT/CST number to GST number. One may consider it to be a long and delayed process. But that is not the case. If you want to convert your existing VAT/CST number into the GST number then you have to follow the following steps for GST Registration Online.
- Login to your State VAT or CST Portal
- Get the Provisional ID and the Password
- Generate a new user ID and password on the GST Portal
- Enter the details of your business with the promoter details, business address, bank details and upload with required documents.
- Finally, verify with the digital signature or Aadhaar Card.
Though GST has brought in ‘One Nation One Tax’ regime, its effects can be felt in different industries. The first stage of differentiation depends whether an industry is a manufacturing, distributing, retail or a service oriented.
India’s manufacturing sector has witnessed a huge boost after the GST has come in effect. Spending on high infrastructure and declining exports are some of the concerns of this sector. Multiple indirect taxes like CST, VAT, and others had outshot the administrative costs. This led to an adverse impact on manufacturers and distributors. But with GST in place, the compliance burden has eased and this sector has seen a steady growth in recent times.
What Is the Impact of the GST on Various Sectors?
The introduction of the GST tax regime in India has a telling impact on various sectors which are explained as under:
- Logistics
For a country like India, logistics sector forms the backbone of the economy. GST had a large cascading effect on this industry. Hence we can assume that a well organized and mature industry like a logistic has the potential to surge in the coming years.
- E-Commerce
The E-Commerce industry is seeing a robust growth in recent times. In many ways, this industry will get benefitted by the implication of the GST. But most of the e-commerce firms are not happy with the induction of the GST because the Tax Collection at Source (TCS) rate is at 1%.
- Pharma
The pharma industry is one of the biggest and fast growing sectors. GST will boost medical tourism and further lead to simplify tax structure. The sector is keeping its fingers crossed for a tax respite as it will make healthcare more affordable and accessible to one and all. On the whole, the pharma and the healthcare industry have been hugely benefitted by GST.
- Telecom
The telecom sector has seen the major change since the GST has come into effect. Prices of the handsets have come down drastically. Manufacturers will save on cost through efficient management of inventory and stock. Mobile producers will find it easier to sell their products. They will also save up on logistics costs too.
- Textiles
The textile industry in India provides employment opportunities to a large number of skilled and unskilled workers. Most of the families are dependent on this sector because this industry is the bread and the butter. This industry contributes about 10% of the total export. The value is likely to go up under the GST as it would affect the cotton value chain of the textile industry.
- Real Estate
The Indian real estate market is growing by leaps and bounds. It is known to be one of the crucial sectors of the Indian economy. Though the impact of the GST on the real estate market cannot be fully ascertained as it largely depends on the tax rates. However, the sector has seen substantial benefits from GST implementation, as it has brought much transparency and accountability. The future looks good and bright for the real estate segment after the implementation of the GST.
- Agriculture
The agriculture industry is known to be one of the largest contributing sectors that highly determine the Indian GDP. It covers about 16% of the Indian GDP. One of the major crisis faced by this sector is the transportation of agri-products across different states.
- FMCG
The FMCG sector is highly benefitted by the introduction of the GST. As the GST has phased out the need for multiple sales depots, the industry is experiencing significant savings in logistics and distribution. GST has become a huge success in the FMCG sector.
- Automobiles
The Indian automobile industry is experiencing a boom in present times. The sector is witnessing a positive growth post-GST regime. Under the previous tax regime, several taxes like VAT, Excise, road tax, sales tax, and vehicle registration duty charges were applicable. But now all these have come under a single tax policy what is termed as GST.
- Start-ups
The Indian start-up scene has seen a substantial growth in recent times. With an increase in the registration limit, a DIY compliance model, tax credit on purchases and an easy flow of goods and the services has turned many start-ups profitable ventures. Previously, it was very confusing for many Indian companies having a pan-India presence because many Indian states have different VAT laws. All this has changed under the GST.
Hope this article on Online GST Registration would have provided you a fair knowledge and understanding of the new GST concept. But I am sure many of us are still trying to figure out how it works, any loopholes around and many other things running in our mind. Not to worry! As you get to know more about the concept slowly and gradually, all your doubts will get cleared in due course of time.
