What are the Documents Required For GST Registration?

Documents--Required-For GST-Registration

GST falls under the category of indirect taxes imposed for the supply of goods and services in India. In simple words, VAT is charged at every stage of selling goods and services for local consumption. Consumers are transferred to the government by businesses paying the Goods and Services Tax (GST), which ultimately generates revenue for the government.

According to a recent notice from the Central Council on Indirect and Customs Taxes, some suppliers of goods do not need to register with the GST if their annual sales are less than Rs.40 lakh. However, as an MSME owner, it’s always useful to know how to register for GST, as you may be in the service sector and laws may change at any time.

For successful registration, you must provide the necessary documents required for GST registration of individual, such as a PAN card, Aadhaar card, and address confirmation.

Why was GST implemented?

The Goods and Services Tax (GST) was adopted to improve tax collection at each access point and integrate the country through a single tax rate. By eliminating the long list of indirect taxes collected separately in states and centers, the Indian economy will also receive significant support.

The GST was put into effect after the government approved the four invoices: Compensation GST Bill, Integrated GST Bill, Goods and Services Tax Bill, and Union Territory GST Bill.

GST enhances the convenience of doing business and based on flexible tax standards established since July 2017.

GST will reduce your interaction with tax officials and increase your independence as a business owner. This will financially improve your way of doing business, as you will not be able to pay large amounts for unethical tax practices to conduct your business.

In addition, the previous financial obligations related to value-added tax, central state taxes, excise taxes, income tax, and other functions were demolished. Now this will allow you to save at least 32% of your income that you can lose as a producer by paying various taxes in the past.

Who needs to obtain GST registration?

According to the Central Goods and Services Tax Act, 2017, a supplier of goods and/or services who makes a taxable supply with a turnover of over Rs.20 lakhs in a financial year, has to obtain GST registration. In some special category states as mentioned in the act, the turnover criterion is set at Rs.10 lakhs for a financial year.

GST for E-Commerce Businesses:

GST-for-E-Commerce-Businesses

The Goods & Service Tax system in India is focused to simplify the entire taxation, especially for retail entrepreneurs and small businesses create a great impact on the e-commerce industry. With the implementation of GST, there is a reduction in taxes for small businesses as all online sellers must register and pay GST. In addition, all businesses need to file a monthly return and pay taxes. Hence, gst registration procedure is very easy for the online sellers and there are many advantages of gst for Online Businesses.

List of documents required for GST registration:

Registration under GST requires a series of documents depending on the nature of the business. This article will help you with the list of documents that are required for GST registration for various businesses like, Sole Proprietorship, Partnership, Private or Public limited, HUF, Society, etc.

1. In Case of Sole Proprietorship / Individual:

· Photo of sole proprietor
· PAN card and Identity Proof (Aadhaar card) of the Individual
· Cancelled Cheque or bank statement or first page of the passbook
· Address proof of office:
a. Own office: a print document of electricity bill/water bill/municipal khata copy/ landline bill/ property tax receipt
b. Rented office: Rent agreement and No objection certificate (NOC) from the owner.

2. In Case of a Partnership Firm or LLP:

· PAN card of partnership firm and designated partners
· Photograph and Identity Proof (Aadhaar card) of all the partners
· Partnership deed
· Bank statement or canceled cheque or first page of the passbook
· Address proof of Principal place of business and additional place of business:
a. Own office – a print document of electricity bill/water bill/municipal khata copy/ landline bill/ property tax receipt
b. Rented office – Rent agreement and No objection certificate (NOC) from the owner
· Board’s resolution
· Registration Certificate of the LLP
· Proof of appointment of authorized signatory- letter of authorization

3. In Case of a Private Limited or Public limited company:

· PAN card of company and directors
· Registration certificate of the company
· Photograph and Identity Proof (Aadhaar card) of all Directors
· Address proof of Principal place of business and additional place of business:
a. Own office – a print document of electricity bill/water bill/municipal khata copy/ landline bill/ property tax receipt
b. Rented office – Rent agreement and No objection certificate (NOC) from the owner
· Memorandum of Association (MOA) and Articles of Association (AOA)
· Bank statement or crossed cheque or first page of passbook
· Board’s Resolution
· Proof of appointment of authorized signatory- letter of authorization

4. In Case of a HUF:

· PAN card Document of HUF
· Photographs and Identity Proof like (Aadhaar card) of Karta
· Address proof of Principal place of business and (APOB) additional place of business:
a. Own office – a print document of electricity bill/water bill/municipal khata copy/ landline bill/ property tax receipt
b. Rented office – Rent agreement and No objection certificate (NOC) from the owner
· Bank statement or crossed cancelled cheque or first page of passbook
· Proof of appointment of authorized signatory- letter of authorization

5. In Case of a Society/Trust/ Club:

· PAN card document of society/trust/club and of promoters/partners
· Registration certificate document
· Photographs of promoters/partners
· Bank account details- a copy of the cancelled cheque or bank statement
· Address proof documents of registered office :
a. Own office – a print document of electricity bill/water bill/municipal khata copy/ landline bill/ property tax receipt
b. Rented office – Rent agreement document and No objection certificate (NOC) from the owner
· Proof of appointment of authorized signatory document
· letter of authorization document

Every application for GST registration process requires the Digital Signature of class 2. Authorized person to sign the GST registration application, need to make sure that they possess Digital Signature before starting the application process.

Who Should Apply To GST?

If you provide domestic services with annual sales of more than Rs.20 lakh intra-state good service providers with annual revenues of more than Rs.40 lakh, you must register for GST. In addition, domestic suppliers must register with the GST.

It is important that companies register to obtain legal authorization to provide goods and services.There are some other situations where registration is required. Here are some cases where the gst registration documents size is mandatory:

  • Interstate supplier
  • e-commerce
  • Taxable person
  • Companies that sell their products on e-commerce sites.
  • Who does not reside in the place of business
  • Companies that sell the services of other service providers who are also their partners.
  • Who delivers the goods on behalf of someone else.
  • You can stay abreast of government policies to stay in the game.

GST Application Process:

The central Government of India has facilitated the gst registration process through an online portal. Once all the documents are ready, the applicant can perform the process of registration through GST portal. As per the CGST act, below mentioned are the steps for registration:

Step 1:

Login to the GST portal (https://www.gst.gov.in) and click on the Services tab -> Registration > New Registration.

Step-1-gst-registration-process

Step 2:

Fill in the various user credentials such as email ID, address, PAN etc., after selecting the New Registration option. On successful completion of the required information, the OTP verification page will display. Complete the email and mobile verification by entering the one time password. Post OTP validation, the system will generate a Temporary Reference Number (TRN) that is used to access the registration application.

Step-2-gst-registration-procedure

Step 3:

In this step, the applicant needs to furnish all the required information along with specified documents under various tabs (Business Details, Promoters/Partners, Principal Place of Business, Details of Goods & Services) in Part B of FORM GST REG-01 application using the TRN.

Step-3-gst-registration-documents

Step 4:

Finally, verify all the details filled in the application and select the verification checkbox. Now, duly sign the application using E-Signature or Digital Signature Certificate.

Step-4-gst-registration-charges

Step 5:

On successful completion of the above mentioned steps, an Application Reference Number (ARN) is generated via email and mobile number to the applicant. ARN can be treated as an acknowledgment issued in FORM GST REG-02 and can be used to check the application status. The applicant would receive GSTIN and GST registration certificate within 7 days of ARN generation. One can easily check the gst registration status by logging into the GST Panel Dashboard.

Step-5-gst registration status

Impact of Goods & Service Tax in India:

Goods & Service Tax (GST) reform in India has not only harmonizing the tax base and administration procedures for small businesses, but it has also minimized the inter-state competition. When you use the old tax system it become more complicated to sell products across the state. Which simply meant low growth opportunities for small businesses.

With Goods & Service Tax (GST) enforcement, retail entrepreneurs have the option to sell in their own state as well as in other states, without worrying about multiple taxes. As a result, it is easier to start ecommerce business in india and around the world.

In addition to this, it allows for easier reporting and better tax credits for e-commerce businesses. Goods & Service Tax (GST) has definitely opened new markets for the e-commerce industry and created an overall positive impact.

Brief Overview of the Important Documents

  1. Applicant and business PAN card: the first in the list of GST registration documents is the company PAN (permanent account number) and accredited signatories/applicants(Directors / Partners / Proprietor)
  2. Contact details and valid e-mail address: a valid mobile phone number and signed e-mail address for the primary signature must be provided when registering with GST.
  3. Proof of business place: the main place of the business is the head office in the country where the taxpayer is active or where company books and documents are kept.
  4. Have the following documents to hand as supporting documents for GST registration:
    Any evidence that the ownership of the building gives, such as the last tax receipt for the building, a municipal Khata copy or a copy of the electricity bill.
    – A copy of the valid Rent / Consent letter / Lease Agreement
    – For each additional place of the business in the country, proof of such additional places of business.
  5. The bank account number is valid in India: you must specify the details of bank accounts used when doing business. You can enter details of up to 10 bank accounts. You must also enter an Indian Financial System Code (IFSC) for the same bank and branch.
  6. Other documents required to register GST:
    List of goods and services
    Proof of appointment authorized to sign (Letter of Authorization or a copy of the decision of the board)
    Photos of authorized signatories (soft copy)
    It is important to have a digital signature (Class 2 digital signature) in the case of companies and LLPs for the person authorized to sign the GST request
    Proof of registration – Incorporation certificate (for the company)
    Other details of registration of regulatory authorities, such as corporation tax, and any licensing information from the government
What happens if you don’t register and don’t pay GST?

You have to pay a fine of 10% of the amount of the tax but subject to a minimum of Rs.10,000 if you do not register and pay the GST. If you intentionally withhold GST payments, a tax of 100% penalty will be imposed on the amount of the tax.

Final Thoughts

When you have all the documents necessary to register for a GST, you can follow the process to comply with the law. As an MSME owner, keep in mind that you can get financing quickly with certain important documents. For example, you can get unsecured financing of up to Rs.30 lakh with a Bajaj Finance MSME loan by submitting documents such as company certification, KYC documents, financial statements, and a passport photo. With this loan, you can fill working capital gaps, Hire employees, Buy inventory and extend the delivery or supply cycle.

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