GST is an essential requirement in the tax system to identify the taxpayer and this is possible through registration. In the new regime of tax payment, business whose turnover exceeds Rs.40lakhs in a financial year is required to register as a normal taxable person. But the threshold limit is INR 10 lakh if you have a business in the north-eastern states, J&K, Himachal Pradesh, and Uttarakhand.  It is also mandatory for certain businesses to register. If the business which requires mandatory registration does not register, then it will be considered an offense under GST and heavy penalties will be levied on them. In this article, we will discuss about the GST eligibility criteria.

GST Eligibility in India

Apart from the turnover limit mentioned above, there is a list of certain businesses for which GST registration is mandatory irrespective of their turnover:  

1. Persons making any Inter-state taxable supply
2. Casual taxable persons making taxable supply
3. Persons for who should mandatory pay tax under the reverse charge 
4. Non-resident taxable persons making taxable supply
5. Persons who should deduct tax 
6. Persons who make taxable supply of goods or services or both on as an agent or otherwise
7. Input Service Distributor
8. Every electronic commerce operator
9. Every person providing online information and data base access or retrieval services from a place outside India to a person in India 
10. Such other person or class of person as may be notified by the government.

Who are Not Liable for GST Registration?

Persons or class of person who are not required to register are as follows: –

1. Supplier of exempted/non-taxable goods
2. Agriculturist 
3. Persons making reverse charge supplies 
4. Following are exempted from registration under section 23(2) of the CGST Act 2017
   • Individual advocates (including senior advocates)
   • Individual sponsorship service providers (including players).

5. Notified persons:-The Government, on the recommendations of the GST Council^[1] through notification will specify the category of persons who may be exempted from obtaining registration under this Act.

Documents Required for GST Registration

Documents required for registering your business under GST

• Applicant’s PAN (Permanent Account Number)
• Mobile number 
• E-mail address
• State or UT the person belongs to 
• Copy of Aadhaar
• Documents of business registration or incorporation certificate
• Bank account statement/cancelled cheque

Documents required for Private Limited Company, Public Company (limited company)/ One Person Company (OPC)

Along with the documents mentioned above, the applicants have to submit the following documents

1. Company documents
   • PAN card of the company
   • Registration Certificate of the company
   • Documents of Memorandum of Association (MOA)/ Articles of Association (AOA)
   • Copy of Bank Statement 
   • Declaration to comply with the provisions
   • Copy of Board resolution

2. Director related documents
   • PAN and ID proof of directors

3. Registered Office documents
   • Electricity bill/ landline bill, water bill
   • No objection certificate of the owner
   • Rent agreement (in case premised are rented)
4. Documents required for a Hindu Joint Family
   • HUF PAN Card 
   • Passport-sized photograph of the Karta.
   • Karta’s ID and address evidence
   • Address evidence of the business.
   • Details of your bank account

 Conclusion – GST Eligibility Criteria

GST Eligibility I understand is quite simple however one would still require the help of professionals to understand the complex cases of application of the GST registration.

Read our article:All You Need to Know About GST Composition Scheme