If you’re starting a business in India, one of the first compliance steps you’ll face is GST registration. But is it mandatory for every business? The answer depends on several factors including turnover, location, and type of business.
As per GST law, any business whose aggregate turnover exceeds Rs. 40 lakhs (Rs. 20 lakhs for service providers) in a financial year must register under GST. For businesses operating in special category states, the threshold is lower. Additionally, businesses involved in inter-state supply, e-commerce, or import/export are required to register irrespective of turnover.
Voluntary registration is also allowed and often recommended for startups to claim input tax credit and enhance credibility with vendors and customers.
The registration process involves submitting an online application via the GST portal along with documents like PAN, business address proof, identity proof of promoters, and bank details. Once verified, a unique GSTIN (GST Identification Number) is issued.
Incorrect classification or delays can result in penalties. Hence, it is wise to take expert help to ensure your GST setup is smooth and future-proof. Contact us today to get registered seamlessly.
