Importance Of Doing GST Registration For Paying The Tax

The word GST stands for Goods and Services Tax, It is the compulsion for all business whose transaction turnover is above 20 lakhs has to register the business to fill GST on the time it is a new form of tax. The registered person will be allotted with a unique identification number in which the first two numbers are the code of your state, third to twelfth number is your PAN number, the thirteenth number is your entity code, fourteenth one blank and the last one is your check digit.


Who should register for GST?

Any person who is doing business in any place of India whose transaction is above 20 lakhs in a financial year is liable to do GST Registration and pay tax.  In some of the states, the GST limit is reduced to 10 lakhs in a financial year.

Meaning of total turnover in GST?

This is also known as aggregate turnover where it includes all taxable supplies, exempt supplies, and the export of goods and import of goods.

What is the process of GST registration?

You can register your business for GST Registration online by following the process: -
·         Purchase a plan.

·         An expert will be assigned.
·         Upload all legal and required documents.
·         Submission on the portal.
·         Generation of ARN number.
·         GSTIN Number received.

Documents required for GST Registration.

It is required to provide all the documents which are important for doing registration these are as follows: -

1.      PAN of the applicant: - PAN card is required to know the permanent account number of the applicant who is applying for GST registration.
2.      Aadhaar Card: - Aadhaar card is compulsory to know the address of the applicant which is very important to know from where that person belongs.
3.      Proof of business registration: - you have to submit the incorporation certificate which shows that your business is registered.
4.      Address proof of business: - The applicant is requested to upload the proof of business location to know the exact place of that business.
5.      Statement of bank account: - To know the turnover of the business it is required to see the transaction history of that business.
6.      Digital signature: - You have to upload your scanned signature which is required in all types of documentation required doing the process of GST transitions.
7.      Letter of authorization: - to know the authorization of the business it is required to submit the letter of authorization.

Penalty for not doing GST Registration: -

If your business is registered for GST still you are not paying tax then you have to pay 10% of the taxable amount and if you continue to not pay the amount of tax then this penalty will be 100% of the taxable the amount for example if your tax amount is 50,000 then you have to pay 50,000 tax plus 50,000 penalties.

It is required to register for the GST if total turnover is lesser than the given limit?

Yes, GST Registration is compulsory if you are making an Inter-State taxable supply of any product, and the person who is doing supply of goods by being an agent on behalf of any other company.
Condition for the person who has multiple businesses in a State
You can use single registration for all businesses which are in a state but the law of GST provides the option of getting different GST numbers to the person having multiple authorized businesses.

Advantages of doing GST registration

The first and foremost advantage is your business will be recognized as a legally authorized business.
Hence, it is required to pay GST on time but remember that the business who is not registered for GST Registration cannot charge you any tax on the invoice.

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