GST Registration Services in Coimbatore

What is GST?

Goods and Services Tax (GST) is a comprehensive, destination-based indirect tax levied on the supply of goods and services across India. It replaced various other indirect taxes such as VAT, service tax, excise duty, and others. GST is levied at each stage of the supply chain, and it is credited back through the input tax credit (ITC) mechanism, making it a tax on the value addition at each stage.

Who Needs to Register for GST?

Under GST law, any business or individual engaged in the supply of goods or services is required to register for GST if they meet any of the following criteria:

• Turnover Threshold: Businesses with an annual turnover exceeding ₹40 lakhs (₹20 lakhs for special category states) for goods, and ₹20 lakhs for services.
• Interstate Supply: Any business engaged in inter-state supply of goods or services.
• E-Commerce Operators: Entities involved in e-commerce activities.
• Casual Taxable Persons and Non-Resident Taxable Persons.
• Agents or representatives of a supplier.

Types of GST Returns and Filing Due Dates

Businesses registered under GST are required to file periodic returns. The type of return to be filed depends on the nature of the business and the applicable due dates are as follows:

• GSTR-1: For reporting outward supplies (sales). Applicable to regular taxpayers. Due Date: 11th of the following month (monthly); 13th of the following month (for taxpayers opting for the QRMP scheme).
• GSTR-3B: Summary return for reporting total sales, purchases, and tax liability. Due Date: 20th of the following month (monthly); 22nd/24th of the following month (quarterly, for QRMP taxpayers).
• GSTR-4: For taxpayers opting for the composition scheme (turnover up to ₹1.5 crore). Due Date: April 30th of the following financial year.
• GSTR-5: For non-resident taxable persons. Due Date: 20th of the following month.
• GSTR-6: For input service distributors. Due Date: 13th of the following month.
• GSTR-7: For persons required to deduct TDS under GST. Due Date: 10th of the following month.
• GSTR-8: For e-commerce operators required to collect TCS. Due Date: 10th of the following month.
• GSTR-9: Annual return to be filed by regular taxpayers. Due Date: December 31st of the following financial year.
• GSTR-9C: Reconciliation statement, applicable for taxpayers with an aggregate turnover exceeding ₹5 crores. Due Date: December 31st of the following financial year.

What is TDS and TCS in GST?

TDS (Tax Deducted at Source) under GST

TDS is applicable when a government department or agency makes payments to a supplier for goods or services. The department must deduct 2% GST at the time of making the payment (1% CGST and 1% SGST/UTGST). Filing of TDS Return (Form GSTR-7): Due Date: 10th of the following month.

TCS (Tax Collected at Source) under GST

TCS is applicable to e-commerce operators collecting payments on behalf of sellers for goods or services sold through their platform. E-commerce operators must collect 1% GST on the net value of taxable supplies made through the platform. Filing of TCS Return (Form GSTR-8): Due Date: 10th of the following month.

Documents Required for GST Filing

The documents required for filing GST returns vary based on the type of business entity:

1. For Proprietorship:

• GST registration certificate.
• Bank account details.
• Sales and purchase invoices.
• Expense details.
• Input tax credit (ITC) details.

2. For Partnership Firms:

• GST registration certificate.
• Partnership deed.
• Bank account details.
• Sales and purchase invoices.
• Expense details.
• Input tax credit (ITC) details.

3. For Private Limited Companies:

• GST registration certificate.
• Incorporation certificate and MOA/AOA.
• Bank account details.
• Sales and purchase invoices.
• Expense details.
• Input tax credit (ITC) details.

Why Choose Our GST Services?

• Complete GST Solutions: From registration to filing and compliance, we handle all GST-related requirements.
• Expert Compliance: We ensure timely and accurate GST return filing to avoid interest and penalties.
• Real-Time Invoicing Assistance: We provide real-time invoicing support to ensure your compliance remains up to date.
• Cost-Effective Reporting: Leverage our advanced software and tools like Tally ERP 9, Zoho Books, Xero, and Power BI for efficient cost management.
• Personalized Advice: Tailored GST solutions for your business needs, helping you optimize tax savings.

Key Components of GST Registration

The Goods and Services Tax (GST) in India is structured around three primary components:

• Central Goods and Services Tax (CGST): This tax is levied by the Central Government on the supply of goods and services within a particular state. CGST applies to transactions carried out entirely within the boundaries of one state.
• State Goods and Services Tax (SGST): SGST is charged by the State Government on the supply of goods and services within its jurisdiction. Similar to CGST, SGST is also limited to transactions happening within a specific state.
• Integrated Goods and Services Tax (IGST): This tax is imposed by the Central Government on the supply of goods and services that occur between different states or between a state and a Union Territory. IGST is relevant for transactions where goods or services cross state or Union Territory boundaries.

GST Certificate

The GST Certificate stands as an authoritative document provided by the Indian government to entities that are registered under the Goods and Services Tax (GST) framework. This certificate confirms a business's legitimate Registration under GST and prominently displays key details such as the GST identification number, the business name, and official address.

GSTIN

GSTIN, which stands for Goods and Services Tax Identification Number, is a distinctive 15-digit alphanumeric code allocated to every taxpayer who is registered under the GST framework in India. This number acts as the primary identifier for both businesses and individuals in the context of GST-related transactions and compliance. You will receive GSTIN after successfully submitting the application through the GST Apply online portal.

Who is Exempted from obtaining GST Registration ?

In India, some entities are exempted from obtaining GST registration. The following entities are exempted from GST registration:

• Businesses with less than Rs. 20 lakhs annual turnover and (Rs. 10 lakhs for North-Eastern states) are not mandated to register for GST.
• Agriculture and allied activities such as cultivation, farming, and harvesting are exempt from GST registration.
• Small-scale industries and cottage industries with an annual turnover of less than Rs. 20 lakhs (Rs. 10 lakhs for North-Eastern states) are exempt from GST registration .
• Services provided by a person as an employee to his employer are exempt from GST registration.
• Charitable trusts and religious institutions are exempt from GST registration for the services they provide.
• Individual advocates and law firms providing legal services are exempt from GST registration if their annual turnover is less than Rs. 20 lakhs (Rs. 10 lakhs for North-Eastern states).
• Healthcare business like clinical establishments, paramedics and medical practitioners, are exempted from GST registration .

Penalty for Not Obtaining GST Registration

• For Non-Payment or Underpayments: If a taxpayer either neglects to pay the requisite tax or mistakenly underpays, an acceptable equivalent of 10% of the outstanding tax amount is levied. It's important to note that while there are no GST registration fees, penalties for non-compliance can be significant.
• Intentional Tax Evasion: If an individual or business willfully avoids paying the due taxes, the penalty equals 100% of the evaded tax amount.

Advantages of GST Registration for Businesses

Registering for GST offers a range of benefits to businesses:

• Legal Compliance: Ensures that businesses remain compliant with tax regulations, thus avoiding any potential penalties.
• Input Tax Credit: Businesses can claim credits for the GST they've paid on purchases, which can then be set off against the GST charged on sales, leading to a reduction in tax liability.
• Inter-State Trade Ease: Encourages businesses to transact across state boundaries without facing tax-related challenges.
• Elimination of Cascading Effect: By removing the effect of tax being levied on an already taxed amount, the overall cost of products or services is reduced.
• Competitive Edge: Being GST compliant can instil trust in potential customers, opening up more business opportunities.
• Access to Larger Markets: Major corporations often prefer collaborating with GST-registered vendors.
• Optimized Cash Flow: Efficient management and lower tax liability can enhance the cash flow within a business.
• Enhanced Credit Rating: Maintaining a consistent and positive GST compliance record can boost a business's credit profile. Legal Safeguard: A GST registration protects businesses and ensures their rights are upheld.
• Simplified Compliance: The GST process is streamlined, enabling businesses to file returns and make payments online easily. Transparent Operations: Ensures businesses maintain accurate records, promoting a sense of trustworthiness and professionalism.

Let us manage your GST compliances while you focus on growing your business!

GST Services Related Links

☛GST Registration for New Business ☛Documents Required for GST Registration ☛GST Registration Online ☛GST Registration Online Consultant