Goods and Services Tax (GST) registration is essential for businesses operating under India’s unified indirect tax system, as it provides a legal tax identity, enables compliance, and allows access to input tax credit.
GST replaces multiple state and central taxes, simplifying taxation and improving transparency. Businesses must register for GST if their annual turnover exceeds ₹40 lakh for goods suppliers or ₹20 lakh for service providers, except in special category states where lower thresholds apply. Certain entities must register regardless of turnover, including inter-state traders, e-commerce sellers and operators, casual taxable persons, non-resident taxpayers, and those liable under the Reverse Charge Mechanism. Upon registration, taxpayers receive a 15-digit GST Identification Number (GSTIN), mandatory for issuing tax invoices, filing returns, and claiming input tax credit. While voluntary registration is allowed, compliance becomes compulsory once registered.
Farmers supplying only agricultural produce and businesses dealing exclusively in exempt goods or services are not required to register. Applicants must ensure proper documentation before applying online through the GST portal to ensure smooth verification and post-registration compliance.