GST Number (GSTIN) is a unique 15 digit number which is allotted to the Applicant at the time of filing an Application for Registration for Goods & Service Tax It is an identification number which is assigned to each Firm or Company or Individual. Its a like a PAN Number for the same. Its a 15 digit unique tax identification number. The first two digit show the state code & another next 10 digit show the pan number of the entity or person. Apart from this next 1 number show the state Code & another 2 number are random. 

As per the GST law, every person (including company, LLP etc.) has to register under GST if the total turnover crosses Rs.40 lakh (Rs.20 lakh in case of north eastern states). Hence, if your turnover is more than Rs 40 lakh or is going to be more than Rs 20 lakh, then it is advised that you should go for GST registration.

When GST Registration Is Mandatory ?

In below all cases registration is mandatory .

• Export sales or services.
• Selling on E-commerce sites.
• Reverse Charge.
• Casual Taxable Person.
• Non resident taxable person.
• Input Service Distributor.
• Crossing the Threshold Limit(Rs 40 lacs or Rs 20 lacs).

Benefits of GST Registration

GST registration helps entrepreneurs for starting a new firm and the opening of the current account.
GST registration helps in operating and managing better accounting of firm and company.
GST helps businesses to sell and purchase B2B & b2c business.
GST is a very easy process and it takes less time to register as a proprietorship firm.
GST helps Less tax liability
GST helps Limited compliances imposed
GST helps Interstate sales without restriction
GST helps Inter-state supply without restriction
GST helps Easy Registration on e-commerce websites
GST helps Competitive Advantages compared to other businesses
GST helps Higher threshold limit for registration
GST helps Facility of Composition Scheme
GST helps Simple and easy online procedure
Less number of compliance

Documents Required For Gst Registration.

In below all the documents is required:-

• Photo scan copy.
• PAN card.
• Aadhaar card with registered mobile number .
• Trade license.
• Professional tax registration (for few states only).
• PAN card , memorandum of association , articles of association in content of company.
• PAN card and deed in content of partnership.
• Digital signature(class-3)in case of companies.
• Electricity bill(not older than 3 months) with Rental agreement of Business premises, provided business premises is rented.
• Mutation certificate/Land porcha of landlord with corporation tax receipt/panchayat tax receipt(for few states only).
• Letter of authorization for signatory .
• NOC from premises owner/Land lord.

WHO CANNOT REGISTER FOR COMPOSITION SCHEME.

• If Annual turnover exceeds INR 1.5 Crores.
• If you involved in Inter-State supplies.
• All Service Sector Business except restaurant.
• Importer of goods & services.
• E-commerce sellers.
• Supplier of non-taxable goods.
• Manufacturer of Notified Goods.

Physical verification for GST registration.

As per provisions of rule 9 of the Central Goods and Services Tax Rules, 2017, physical verification of the business premises of the applicant is mandatory under any of the following circumstances-

• The applicant has not opted for the Aadhaar authentication; or
• The applicant has opted for the Aadhaar authentication, however, the same is failed.
• In recent provisions opted by many state Governments ,it has become mandatory to get physical premises verified by police and Gst Officers before allotting a New GSTIN.

Based on the above provisions, it can be concluded that under any of the above circumstance, the GST registration will be granted post completion of physical verification by the proper office

What is the Composition scheme under GST?

1. Composition dealers require paying nominal tax rates depend on the kind of business. (A maximum of 2% for manufacturers, 5% for the restaurant service sector, and 1% for other suppliers.)
2. Composition dealers need to file just a single quarterly return (rather than the monthly returns filed by normal taxpayers).
3. They can’t give tax invoices. That is, they cannot gather tax from clients and they have to pay the tax out of their own pocket.
4. Elements that have settled on the Composition Scheme can’t guarantee any Input Tax Credit.

Who can opt for the Composition scheme?

• All SMEs searching for lower compliance and lower assessments of taxes under GST.
• A GST citizen, whose turnover is underneath Rs 1.5 crore, can settle on the Composition Scheme. (On account of Special Category States, as far as possible is Rs 75 lakh.)
• The Aggregate Turnover of all organizations enlisted under a similar PAN would be taken into the application to calculate turnover.
• Will pay tax at typical rates in case he is subject under the opposite charge mechanism.
• Sellers of intra-state supply of goods (or service of only the restaurant sector).

​Which businesses are not eligible to apply for the Composition Scheme?

Composition scheme doesn’t apply to:

• Service providers,
• Inter-state sellers,
• E-commerce sellers,
• Supplier of non-taxable goods,
• Manufacturer of Notified Goods,
• All the suppliers of services except those providing restaurant services (not serving alcohol),
• Suppliers of – ice cream, pan masala or tobacco (and its substitutes),
• Casual Taxable Person,
• Non-resident Taxable Person,
• Supplier of exempted goods or services.

How to apply for the Composition Scheme?

1. In the event of new enlistment, you can pick the plan at the time of GST Registration.
2. On the off chance that you are already enrolled, you can file for it by submitting GST CMP-02 online.

PENALTIES INVOLVED UNDER GST ACT.

• Not having GST Registration : 100% tax Due or Rs10,000. Whichever is higher.
• Not giving GST invoice : 100% tax due or Rs10,000. Whichever is higher.
• Incorrect Invoicing : Rs 25,000.
• Not filing GST Tax Returns : For Nil Return its Rs 20 Per Day, Regular Returns Rs 50 Per Day.
• Choosing Composition Scheme even if not eligible : 100% tax due or Rs10,000. Whichever is higher.
• Not displaying Name board with GSTIN in place of business premises.-Rs 25,000.
• Apart from above there are several other penalties for GST.