How to Get GST Number for an Individual?

GST registration is an essential obligation for businesses engaged in the provision of goods and services in India. The introduction of GST aimed at creating a unified tax framework, which simplifies the taxation process and improves the overall business environment. Businesses whose turnover has crossed a certain limit, and some other categories like suppliers within states, e-commerce operators and supply eligible for reverse charge shall be registered under the GST. After registration, every registered business is given a unique identification number known as Goods and Services Tax Identification Number (GSTIN), due to which they are capable of collecting the tax from the customers and thereby claiming input tax credit on their purchases. Adhering to GST registration cultivates the integrity of being truthful, less vulnerable to tax evasions and increases businesses’ credibility within a marketplace. However, with a GST number, one can acquire some benefits as all input taxes are credited in advance; it gains a more formal legal existence as the goods and service supplying entity. also, non-registration on GST invites punishments and further cases in a legal court of the country. An effortless online procedure via GST portals also exists. In summary, getting GST registration is an essential step for companies to operate as per the laid laws and help India’s formalised tax regime in making an economy more ordered and controlled.

What is a GSTIN?

GST registration forms the core procedure for complying with the requirements of a business in order to operate under the Indian Goods and Services Tax framework. It involves obtaining a unique GST Identification Number or GSTIN, besides complying with specific responsibilities relating to the collection, remittance and reporting of tax.

GSTIN is the unique 15-digit alphanumeric number assigned to every entity that is registered under the Goods and Services Tax (GST) framework of India. The GSTIN works as a legal identifier for a business, where it allows the collection of GST from the customers of a business entity, claims of input tax credit, and overall tax compliance. It is mandatory for all businesses whose revenue exceeds the specified threshold, as well as for certain categories such as interstate suppliers, e-commerce operators, and those involved in the reverse charge mechanism. The GSTIN is standardised in structure: the first two digits represent the state code according to the Indian Census, the next ten digits represent the Permanent Account Number (PAN) of the business entity, the thirteenth digit represents the number of registrations under the same PAN in a particular state, the fourteenth digit is generally ‘Z’ as a default, and the fifteenth digit is a checksum for validation. This unique identification links businesses with their tax record; thus, it increases transparency. It helps facilitate effective tax monitoring and reduces cases of tax evasion. GSTIN is essential for issuing tax invoices, filing GST returns, and completing transactions between states. Defaulting on such regulations can cost one penalty or even lead to legal action against them.

GST Registration For Individuals

It is also not exclusively meant for business registration, as a person selling his or her product or services would be registered with GST. In other words, anyone engaging in freelance work, consultancy, trading, e-commerce or other taxable activities is supposed to be registered. Thereby, GST registration benefits would include the recognition of being in business legally, and there will be a lot of savings with input tax credits. Any businessman or service provider offering taxable services in India has to get GST registration. Registration through the website is simple and straightforward, as it ensures one is in tax compliance and legal while claiming input tax credits. A clear procedure will guide a person to receive their GSTIN without facing a non-compliance penalty. Regular filing of GST returns, along with maintaining proper records, is also essential for effective tax management and business development.

Individuals are liable to get registered under GST in the following situations:

1. The annual turnover threshold has been kept at ₹20 lakhs for service providers and ₹40 lakhs for the suppliers of goods (₹10 lakhs for North-Eastern and other special categories).
2. All businesses dealing with sales of goods and services across states have to mandatorily register for GST irrespective of their turnover.
3. E-commerce Operators & Sellers: Every seller on an e-commerce website, such as Amazon, Flipkart, or Swiggy, needs to register for GST.
4. Casual Taxable Person: Every person who deals in temporary business activities or exhibitions in a state without a fixed place of business needs to get registered for GST.
5. Reverse Charge Mechanism (RCM): In case a person is liable to pay GST under RCM (for example, services from foreign platforms such as Google Ads), he needs to register for GST.
6. Voluntary Registration: Persons can also register for GST on their own for claiming ITC, for building business goodwill, and for interstate trade.

Before starting the process of GST registration, the following documents are to be prepared:

1. A PAN Card, i.e., the Permanent Account Number of the individual, is required.
2. Aadhaar Card for the individual’s identity and residence proof.
3. Proof of business address by electricity bill, leasing agreement, or property ownership document.
4. Bank statement or canceled cheque for verification of the bank account of the individual applicant.
5. Recent passport-size photo of the individual applicant.
6. DSC for the purpose of digital signature certificates is necessary in case of LLP and Companies only but not individuals.

The procedure of registering as an individual on the GST portal through the following step-wise process:

Step 1. Visit the official GST portal – www.gst.gov.in.

Step 2. From the top right side services then select click on “Registration”, new registration In ‘I am a’ option “Taxpayer”

Step 3. Fill in basic information in part A of form GST REG-01. The candidate has to furnish the following details:

(i) Legal Name as per PAN.

(ii) Select the appropriate state and district for the business location.

(iii) A valid PAN Number is a must for GST registration.

(iv) Email and mobile number verification with OTP is a must.

After the details are filled, an OTP is sent to the registered mobile and email IDs for verification.

Step 4. When the OTP has been successfully authenticated, a Temporary Reference Number (TRN) will appear on the system, and this must be used when the next applications are submitted to continue the process.

Step 5. Business Details Part B GST REG-01. Use any further details, such as a trade name if applicable. Enter the structure of the business (for individuals, choose either “Proprietorship” or “Individual”). Add the business’s primary address. Enter the type of business activity (retail, consulting, e-commerce, freelancing).

Step 6. Upload the necessary documents, which include PAN, Aadhaar, bank account details, proof of address and passport-sized photographs.

Step 7. Choose the Type of Registration. Decide whether to register as a normal taxpayer or under the Composition Scheme, which is available for businesses with revenue below ₹1.5 crore, excluding service providers, except in specific circumstances.

Step 8. Now is the time for verification and submission. Confirm your application by sending an Electronic Verification Code (EVC) to your mobile or email address after filling in all required fields. If required, upload a Digital Signature Certificate (DSC). On successful verification, submit the application by clicking on the ‘Submit’ button.

Step 9. Creation of an Application Reference Number (ARN). After submitting, an Application Reference Number (ARN) is created. Use the ARN to track the status of GST registration applications.

Step 10. Scrutiny by a GST officer is conducted and allotment of GSTIN is granted. The application will be screened by the GST department. If all the documents and details are correct, then the GST Identification Number (GSTIN) shall be allotted in 7 working days. Officers may further seek clarification for which response should be received within 7 working days.

Benefits of GST Registration for an Individual

GST registration offers several benefits to individuals engaged in business, freelancing, consultancy, or e-commerce. Amongst many advantages, some include corporate employment, freelancing, consulting or e-commerce entrepreneurs can gain by getting GST registration. The most important is the legal recognition to operate as a registered taxpayer and issue GST-compliant invoices, which gives added credibility in the marketplace. A significant advantage is the Input Tax Credit, which allows people to reclaim the GST paid on their purchases and thereby reduces the overall tax liability. Besides, GST registration removes barriers to the sale of goods or services across state lines, thus allowing for smooth interstate commerce. For e-commerce vendors, this is a very important registration since platforms like Amazon and Flipkart require GST registration from their suppliers. Additionally, individuals can expand their business opportunities by tendering to the government and winning contracts with large corporations that require GST compliance. Even for small businesses, voluntary GST registration, though below the threshold, can present a professional image and attract new clients. Under the Composition Scheme, qualifying taxpayers are relieved of many compliance burdens because they can pay taxes at a reduced fixed rate with fewer filing requirements. In summary, GST registration encourages business growth, promotes tax transparency, and helps individuals avoid penalties, making it a step toward long-term financial and professional success.

Conclusion

Obtaining GST registration is a very important step for business people, freelancers, consultants, and those doing e-commerce. It keeps them in the right book of tax laws and creates trust among the stakeholders. It helps the individual to easily carry out interstate trade, maximises input tax credit benefits, and allows expansion of the business by taking larger clients and e-commerce sites on board. It is a very simple process that can be completed online, thereby making it easy and efficient. The taxpayer has the choice to opt for the Composition Scheme, which facilitates compliance by offering lower tax rates and less documentation. Failure to register when owing to do so will bring about penalties and legal implications. Online GST registration is important not only for law reasons but also for potential financial benefits, improved market position and new business avenues. Whether compulsory or voluntary, the GST registration enables individuals to operate professionally and contribute to the formal economy. Ultimately, it forms a critical step toward sustainable business success and growth within India’s evolving tax framework.