GST services - registration to returns, end to end

GST (Goods and Services Tax) is a unified indirect tax on the supply of goods and services introduced on 1 July 2017. Registration is required once aggregate turnover exceeds ₹20 lakh (₹10 lakh in Manipur, Mizoram, Nagaland and Tripura), or ₹40 lakh for goods-only suppliers in most States. Inter-State suppliers of goods, casual taxable persons, and e-commerce sellers not covered by the small-supplier exemptions must register regardless of turnover.

Under section 22 of the CGST Act, 2017, a supplier must register once its aggregate turnover in a financial year exceeds Rs. 20 lakh (Rs. 10 lakh in the special category States covered by the proviso: Manipur, Mizoram, Nagaland and Tripura). Suppliers dealing exclusively in goods are exempt up to Rs. 40 lakh under Notification No. 10/2019-Central Tax (from 1 April 2019), except for intra-State suppliers in the States listed in that notification and suppliers of the goods it excludes (such as ice cream, pan masala and tobacco). Persons listed in section 24, such as inter-State suppliers of goods, casual and non-resident taxable persons, and e-commerce operators required to collect tax at source, must register regardless of turnover.

GST registration typically takes 3-7 working days after submitting a complete application on the GST portal. An ARN (Application Reference Number) is generated within 15 minutes of filing. If the GST officer requires clarification, the process may take up to 15 working days.

GSTIN (Goods and Services Tax Identification Number) is a 15-digit alphanumeric unique identifier assigned to every GST-registered taxpayer. The format is: first two digits = state code, next ten = PAN number, thirteenth = entity number, fourteenth = default 'Z', fifteenth = check digit.

The main returns are: GSTR-1 (outward supplies - due 11th; 13th of the month after the quarter for quarterly filers), GSTR-3B (monthly summary with payment - due 20th), GSTR-9 (annual return - due 31 December), and GSTR-9C (self-certified annual reconciliation for turnover above ₹5 crore, from FY 2020-21). Under QRMP scheme, GSTR-1 is filed quarterly with a monthly IFF for B2B invoices.

Input Tax Credit (ITC) is the credit available to a registered person for the GST paid on inputs (purchases) used in the course of business. ITC reduces your tax liability by the amount of GST you paid on purchases. For example, if you paid ₹10,000 GST on purchases and collected ₹15,000 GST on sales, your net liability is ₹5,000 after claiming ITC.

GSTR-2A is a dynamic, auto-drafted statement of input tax credit available to a taxpayer based on supplies reported by their suppliers in GSTR-1. GSTR-2B is a static statement generated on the 14th of every month for monthly filers and on the GST portal. Both are critical for ITC reconciliation before filing GSTR-3B.

E-invoicing (Electronic Invoice) mandates that businesses above a specified turnover threshold generate B2B invoices through the Invoice Registration Portal (IRP). Each invoice gets a unique Invoice Reference Number (IRN) and QR code. The threshold is ₹5 lakh in most states and varies up to ₹10 crore in some states. It is mandatory for all B2B, export, and SEZ invoices.

E-way bill (Electronic Way Bill) is a document required for the movement of goods worth more than ₹50,000. It is generated on the e-way bill portal (ewaybillgst.gov.in) by the consignor or transporter. The bill contains details of the goods, consignor, consignee, and transporter. It is valid for a specific distance and time period.

The Composition Scheme (Section 10, CGST Act) is a simplified scheme for small businesses with turnover up to ₹1.5 crore (₹75 lakh for special states). Taxpayers pay a flat tax rate (1% for manufacturers, 2% for restaurants, 0.5% for others) instead of regular rates. They cannot collect GST from customers or claim input tax credit.

For GSTR-3B, the late fee is ₹25 per day under CGST and ₹25 per day under SGST (₹50 per day in total), or ₹10 + ₹10 (₹20 per day) where the central tax payable is nil (Notification No. 76/2018-Central Tax). GSTR-1 has the same rates, with nil meaning no outward supplies (Notification No. 4/2018-Central Tax). Section 47(1) caps the CGST late fee at ₹5,000 per return, and from the June 2021 tax period, Notifications No. 19/2021-Central Tax (GSTR-3B) and No. 20/2021-Central Tax (GSTR-1) cap the CGST late fee per return at ₹250 for a nil return, ₹1,000 where preceding-year aggregate turnover is up to ₹1.5 crore and ₹2,500 where it is above ₹1.5 crore and up to ₹5 crore; above ₹5 crore the section 47(1) maximum of ₹5,000 applies. An equal amount is charged under the SGST/UTGST Act.

QRMP (Quarterly Return Monthly Payment) is a scheme for GST taxpayers with turnover up to ₹5 crore. Under QRMP, GSTR-1 is filed quarterly (due 13th of the month after the quarter) while GSTR-3B is filed monthly (due 20th). Tax payments are made monthly even though the return is quarterly. An Invoice Furnishing Facility (IFF) allows monthly filing of B2B invoices in the quarterly period.

Yes, you can file GST returns yourself on the official GST portal (www.gstn.org) for free. However, GST return filing involves invoice data collection, GSTR-2A/2B reconciliation, ITC calculation, and e-way bill management. Most businesses find it time-consuming and prefer to use a GST practitioner to ensure accuracy and save time.

A GST notice is an official communication from the GST department seeking clarification, information, or response on a particular matter. Common types include GSTN scrutiny notices, Show Cause Notices (SCN), and demand orders. You must respond within the stipulated time (usually 15-30 days). Our GST practitioners analyse the notice, prepare a detailed reply with supporting documents, and file it on the GST portal.

GST deregistration is done by filing Form GST REG-16 on the GST portal. Common reasons for deregistration include turnover falling below the threshold, business closure, transfer of business as a going concern, or voluntary cancellation. The tax officer may issue an order within 30 days. We handle the deregistration process including final return (GSTR-10) and submission of all pending returns.

GSTR-9 is the annual GST return that every regular taxpayer must file for each financial year. It consolidates all monthly/quarterly returns filed during the year. The due date is 31 December of the following financial year. GSTR-9C is the annual reconciliation statement; from FY 2020-21 taxpayers with turnover above ₹5 crore self-certify it (a CA/CMA certification applied for FY 2017-18 to 2019-20).