We help companies in achieving best performance by minimizing costs, controlling risk, strengthening collaboration and enriching transparency. We can help improve your company’s financial productivity and sustainability with the help our experienced audit team. We evaluate efficiency of your company’s internal and external compliance structure and ensure all statutory requirements are met.
WHAT IS GST REGISTRATION?
Goods & Services Tax (GST) was launched on April 2017 and applies to all Indian business service providers once their supply turnover crosses Rs. 20 lakh. The GST is an all-in-one tax that subsumes a variety of state (VAT, Entertainment Tax, Luxury Tax, Octroi) and central taxes (CST, Service Tax, Excise Duty). GST is to be charged at every step of the supply chain, with complete set-off benefits available. The procedure for GST is completely online and requires no manual intervention. There will also be a composition scheme under GST for businesses with a supply turnover of less than Rs. 1.5 crore. GST is a consolidated tax, this means that both central and state taxes have been merged together. A feature of the GST is that the whole country will have one uniform tax rate. Earlier, this was not the case.
In its current form, products and services have different rates of GST. For example the GST charged for eating at a restaurant is 5%, while the GST on services is capped at 18%. The law also states that for certain businesses, a GST registration is mandatory. Failing to comply with registering for a GST can attract huge penalties and fines under the GST.
WHO NEEDS A GST REGISTRATION?
Every business or corporation that are involved in the buying and selling and good of services have to register for GST. It is mandatory for businesses whose turnover is more than Rs. 20 lakhs annually to register for a GST. For the North East states, the prescribed amount is Rs.10 lakhs.
All persons who make interstate outward supplies of goods have to register for a GST too. The same applies to people making taxable supplies on behalf of other taxable persons, example Agents and Brokers.