Who Can Apply for GST Registration in India?

Goods and Services Tax (GST) is a comprehensive tax levied on the supply of goods and services in India. GST registration is a mandatory requirement for certain individuals and entities involved in taxable activities. Understanding who can apply for GST registration is crucial to ensure compliance with tax regulations and avoid penalties. In this article, we'll explore the eligibility criteria for GST registration in India.

Eligibility Criteria for GST Registration:

1. Businesses Exceeding Threshold Turnover:

Any individual, partnership firm, company, LLP (Limited Liability Partnership), or any other entity engaged in the supply of goods or services whose aggregate turnover exceeds the prescribed threshold limit is required to obtain GST registration. As of now, the threshold limit for GST registration is Rs. 40 lakhs for most states in India, except for special category states where it is Rs. 20 lakhs.

2. Inter-State Suppliers:

Businesses involved in the supply of goods or services across state borders are required to obtain GST registration, irrespective of their turnover. Interstate suppliers include those engaged in e-commerce activities, traders, manufacturers, and service providers conducting business transactions across state boundaries.

3. E-commerce Operators:

E-commerce operators facilitating the sale of goods or services through their online platforms are mandated to obtain GST registration, regardless of their turnover. This includes platforms that act as intermediaries connecting buyers and sellers, as well as those providing services such as logistics, warehousing, or delivery.

4. Casual Taxable Persons:

Casual taxable persons are individuals or entities that occasionally undertake transactions involving the supply of goods or services in a taxable territory where they do not have a fixed place of business. Such persons are required to obtain GST registration before commencing business activities in India.

5. Non-Resident Taxable Persons:

Non-resident taxable persons supplying taxable goods or services in India are required to obtain GST registration, irrespective of their turnover. This includes foreign companies, individuals, or entities conducting business transactions in India but not having a permanent establishment in the country.

6. Input Service Distributors (ISD):

Businesses having multiple business verticals and receiving services that are used by all verticals are categorized as Input Service Distributors. ISDs are required to obtain GST registration to facilitate the distribution of Input Tax Credit (ITC) of services received among different business verticals.

7. Specific Categories Mandated by Law:

Certain categories of businesses are mandated by law to obtain GST registration irrespective of their turnover. This includes entities engaged in the supply of goods or services such as restaurants, hotels, tour operators, and agents of lottery tickets.