How to Apply for a GST Number Online?

The concept of Goods and Services Tax (GST) has transformed the indirect tax structure in many countries, including India; it’s a very wide and major element under the tax regime. Introduced on July 1, 2017, GST is a unified tax regime that replaces multiple indirect taxes like VAT, service tax, and excise duty. For businesses, obtaining a GST number is mandatory if their annual turnover exceeds the prescribed limit or if they fall under specific categories as defined by the GST Act. Thankfully, the process to apply for a GST number has been made simple and fully online. This article will deal with the process of online application for a GST number and how you need to go through the step-by-step process of applying for a GST number online.

Why Do You Need a GST Number?

A GST number is essential for any business or individual that needs to comply with GST laws. Here are some reasons why obtaining a GST number is important:

1. Legal Requirement: Businesses with annual turnovers exceeding the threshold limit (currently ₹40 lakh for most states and ₹10 lakh for special category states) are required to register under GST.
2. Input Tax Credit (ITC): Registered businesses can claim input tax credit on the GST paid on purchases, reducing the overall tax burden.
3. Ease of Doing Business: A GST number enhances the credibility, transparency and accountability of your business and makes it easier to expand the operations across states and make your course of business smooth.
4. Compliance with Tax Laws: GST registration ensures your business adheres to the tax laws, avoiding penalties and fines.

Who Should Apply for a GST Number?

Before diving into the application process, it is crucial to understand who is required to register for GST. The following categories of taxpayers must obtain a GST number:

• Businesses with an annual turnover that exceeds the threshold limit as prescribed under the GST regulations.
• Individuals or entities involved in inter-state supply of goods or services.
• E-commerce operators and aggregators.
• Casual taxable persons and non-resident taxable persons.
• Input service distributors.
• Agents supplying goods on behalf of other taxable persons.
• Individuals supplying goods or services through e-commerce platforms.
• Businesses are required to deduct or collect tax at source.

Documents Required for GST Registration

1. PAN Card: A Permanent Account Number (PAN) is mandatory for GST registration.
2. Aadhaar Card: For identity verification and e-signature.
3. Business Registration Certificate: Proof of business registration or incorporation.
4. Address Proof: This can include property tax receipts, rent agreements, utility bills, or consent letters.
5. Bank Details: A copy of the cancelled cheque, bank statement, or passbook.
6. Photograph: Passport-size photograph of the proprietor or partners.
7. Digital Signature: It’s required for the authentication of the application.
8. Proof of Business Place: Documents like electricity bills, municipal tax receipts, lease agreements, gas connections, etc.

Step-by-Step Guide to Apply for a GST Number Online

Step 1: Visit the GST Portal

• Go to the official GST portal at https://www.gst.gov.in.
• Click on the “Services” option and select “Registration” under the “Services” menu.

Step 2: Start New Registration

• When the Registration page is open, click on the option of “New Registration.”
• Fill in the required details, including:

• • Type of taxpayer (e.g., individual, business, or partnership).

• • State and district.

• • Business name as per the PAN.

• • PAN number of the business.

• • Email ID and mobile number.

• Click on “Proceed” after entering the displayed captcha code.

Step 3: OTP Verification

• You will receive an OTP (One-Time Password) on your registered email ID and mobile number.
• Enter the One-time password to verify your contact details.
• Upon successful verification, you will receive a Temporary Reference Number (TRN).

Step 4: Log in with TRN

• Return to the GST portal and click on “Services > Registration > New Registration.”
• Select “Temporary Reference Number (TRN)” and log in using the TRN and captcha code.
• You will be redirected to a dashboard or home page where you can complete the application form.

Step 5: Fill Out the GST Application Form

The GST application form (Form GST REG-01) is divided into various sections. Fill out each section carefully:

1. Business Details: Enter the legal name, trade name, and constitution of the business.
2. Promoter/Partner Details: Provide details of the proprietor, partners, or directors, including their identity and address proof.
3. Authorized Signatory: Specify the authorized signatory who will manage GST-related activities for the business.
4. Principal Place of Business: Provide the address of your primary business location.
5. Additional Places of Business: If applicable, enter details of additional business locations.
6. Goods and Services: Specify the HSN (Harmonized System of Nomenclature) codes for goods or SAC (Service Accounting Codes) for services your business deals with.
7. Bank Account Details: Enter the details of your bank account details which may include the IFSC code and account number.
8. State-Specific Information: Enter additional details as required by your state-specific provisions.

Step 6: Upload Documents

• Upload all the necessary documents, such as PAN card, Aadhaar card, proof of business address, and bank details.
• Ensure the documents are clear and visible to avoid rejection.

Step 7: Submit the Application

• When all the details are filled in and documents are uploaded, review the application thoroughly to ensure that there are no mistakes or errors.
• Use a digital signature (DSC) or Aadhaar-based OTP to authenticate and submit the application.

Step 8: Application Acknowledgment

• After the submission of your form, you will get an Application Reference Number (ARN) through email or sms by authorized source.
• This number will help you to track your application status on the GST portal for future purposes.

Verification and Approval

The GST application undergoes a verification process by the tax authorities. If the application and documents are found to be in order, the GST number (GSTIN) will be issued within 7 working days. In case of any discrepancies, you will be notified to make corrections and resubmit the application.

Common Issues and How to Resolve Them

1. Mismatch in Details: Ensure that the details in your application match the supporting documents.
2. Technical Glitches: When you face any technical issues or errors, then clear your browser cache history or try using a different browser.
3. Document Rejection: Upload documents in the specified format and ensure they are clearly scanned.

Conclusion

Applying for a GST number online is a simple and smooth process. If you have all the required documents and information ready in clear and legible form, it becomes very easy to apply for the GST number. GST registration not only ensures compliance with tax laws but also opens doors to new business opportunities. Following the steps this article covers will guide you properly, and you can complete the GST registration process with ease. If you face any challenges, consider seeking help from a tax consultant or the GST helpdesk for further assistance.

FAQs on GST Registration

1. What is the fee for GST registration?

GST registration is free of cost. There are no government charges for applying for a GST number.

2. Can I apply for GST registration without a PAN card?

No, a PAN card is mandatory for GST registration.

3. How long does it take to get a GST number?

If all details and documents are in order, the GST number is issued within 7 working days.

4. Is GST registration mandatory for freelancers?

Freelancers with an annual turnover exceeding the threshold limit or providing inter-state services must register for GST.

5. Can I amend my GST registration details later?

Sure, you can make changes to your GST registration details by filing an amendment application on the GST portal.