What is GST registration processing time?

Our intent of writing this blog is to educate you about the GST registration processing time. While establishing a new business, many will suggest you not to obtain GST registration since it's not mandatory for the companies generating turnover under the threshold limit. But let us tell you that acquiring company registration isn't sufficient. GST has several benefits to offer to the start-ups and entrepreneurs. Hence, we recommend you to get your business registered with GST.

In this blog, we have tried to clear most of your doubts regarding GST (Goods and Services Tax) registration. The topics covered are as follows:

·         What is GST?

·         Reasons to obtain GST registration in India

·         Who are all required to register their business under GST law?

·         GST registration processing time

What is GST?

GST is an indirect tax levied on the suppliers of goods and services by the government of India. GST cancels all the indirect taxes such as VAT, sales, excise, retailer tax, etc. The Act came into force in India, on 1st July 2017. Goods and Service Tax law in India, levies on every value addition.

For instance, a manufacturer of chocolates buys milk, sugar, cocoa powder, etc. mixes them and bakes into chocolates. After being prepared as chocolates, the input value of the product increases.

The chocolates are further packed and labelled by the warehousing agents. Here's another value addition after which the warehouse sells them to retailers.

The retailers then package the chocolates into small quantities and invest them in the market of chocolates thus increasing its value.

Reasons to obtain GST registration in India

There are a plethora of reasons for acquiring GST registration for your business. We have enlisted a few of them below:

·         Removes the cascading tax effect

GST removes the cascading tax effect on the sales of goods and services. It will directly impact the cost of goods. As a result, the cost of goods goes down.

·         Lesser compliances

Unlike other forms of registrations, GST registration has got quite a fewer compliances to follow. Plus, they are made pretty easy.

·         All activities related to GST are entirely online

GST related activities such as registration, filing returns, application for refund, and response to notices, everything is online.

·         Registration threshold is set very high

The threshold limit for GST registration is set quite high which is Rs. 20 lakhs (Rs. 10 lakhs in North-Eastern states and Hilly states).  Small-scale businesses are exempted from the tax.

·         Legal recognition

The supplier of goods and services with GST registration receives legal recognition, and hence, they don't face any legal complications later.

Apart from above-described advantages, there are several other reasons for registering your business under GST law such as composition scheme for small businesses, regulating the unorganized sector, defined treatment for e-commerce, etc.

Who are all required to register their business under GST law?

Following are the people who are supposed to obtain GST registration of their business:

·         Existing taxpayers registered under any of the VAT, CST, Excise/Service tax regimes;

·         A Casual taxable person who is an Indian taxpayer planning to undertake business for a limited time in any particular area;

·         New taxpayers whose annual turnover is above Rs. 20 lakhs and Rs. 10 lakhs, depending on the states they reside in;

·         A Non-Resident taxable person who is a foreign entity;

·         Online aggregator such as Food Panda, Amazon, Flipkart, etc.;

·         Other taxable people who fall under the reverse charge mechanism.

GST registration processing time

If all your documents are true and valid, then the GST registration processing time will take only 3-5 working days if you choose Enterslice. We are known to provide GST registration in the least possible time. Within 3-5 working days, we will offer you the GSTIN number of your business. 

Source url - https://enterslice-32.webself.net/blog/2018/12/22/what-is-gst-registration-processing-time

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How to apply for GST Registration in India?

If you are looking for GST registration in India, then you are at right place. Here we will make you learn about the GST registration process in India.

GST Registration, which is also known as goods and service tax Registration which is mandatory for the companies, whose turnover exceeds Rs. 20 lakh or 10 lakh in some special cases (North eastern states). It was introduced in India on 1^st of July, 2017 to remove the multiple taxes at different levels.  After GST registration you are allotted with the PAN-based 15 digit GST Registration number.

In some cases running your business without GST Registration is considered an offence and will attract heavy penalties.

 Who has to go for GST Registration?

Below are the few cases of Mandatory GST Registration:

·         All the individuals who are already registered with VAT, Excise, Service Tax etc.

·         Every e-commerce business has to apply for GST registration, For example flipkart, amazon, snapdeal etc.

·         All the businesses whose turnover crosses the limit of 20 lakh and 10 lakh in some special cases(north eastern/hill states) have to go for GST registration.

·         Any existing taxpayer, who is planning to dabble into any kind of new business, has to apply for the GST Registration. An advance payment needs to be paid during the online filing of GST registration.    

Process of GST Registration in India

If you are looking for a GST Registration, Enterslice has a team of experts and professionals to help and get GST Registration number within three days.

 Steps to be followed-

·         You need to visit the web portal of GST Registration and click on the new registration.

·         After that, you need select the option of new taxpayer and fill the following information-

1.       Legal name of your business

2.       Location of your business

3.       PAN of your business

4.       E-mail address

5.       Mobile number

·         The moment you fill in the above details, you will be receiving the one time password for the purpose of verification.

·         An application reference number will be sent to you via E-mail or text message, after submitting the GST Registration application.

·         A GST officer will inspect your GST application. If your application is approved, it will be sent for further approval, where you may need to present few more documents related to your business.

Documents need to be handy, while GST Registration

·         Pan of the applicant

·         Identity and address proof of all the promoters of the Business

·         Address proof of the place of business

·         Proof of Registration of business, or partnership deed in case of partnership and registration certificates.

·         Bank account details of the business

·         Class 2 or Class 3 DSC for signatories or OTP Verification via Aadhar

Advantages of GST Registration

·         It removes the multiple taxes, which were charged. And it serves the motive of one nation one tax.

·         Paying a single duty makes the whole taxation process much simpler and easier.

·         Being the limit of GST Registration higher, It exempt the small scale businesses from paying the taxes.

·         Compliances are made effortless

For more information, contact us on 9870310368.

Source url - http://entersliceindia.blogginger.com/how-to-apply-for-gst-registration-in-india

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What is the impact of GST on e-commerce?

The e-commerce businesses are wide spread across the globe and are clearly overpowering the physical retail businesses with the digital distribution. But it has always been the goal to capitalize their e-commerce industry and apparently is quite successful in that.

When we talk about the e-commerce industry, what really comes to our mind is the global audience. An audience which is in control and getting their goods and services delivered to them conveniently at their doorstep. The keen e-commerce industryhas been observant of the consumer activity, tracking their behaviours via cookies on the websites to induce more relevant search results and attracting their attention. On top of that, they launch several schemes and discounts in order to continue with their expansion of horizon. Many smartphone users and digital device users not just with the speedy Wi-Fi connections but also through the 4G technology have boosted their operation which in turn boost the e-commerce industries via minimizing the gaps between the known popular brands and the mass population in demographics. The targeted population here is of the most active class of people, the youth. This goes on with reaching the semi-urban areas, where the physical outlets of the big brands are less and commerce shopping comes handy in these regions then. But the question here arise, is how the newly implemented GST law has affected or impacted the e-commerce empire?

What are the operators of E-commerce Under the GST Law?

Before the introduction of the GST law, there were separate taxes like VAT and CST etc which were to be paid by the sellers themselves to their respective state orcentral government. The e-commerce collects tax at the rate of just 1% it breaks as (0.5% of central GST + 0.5% of state GST), this is the net value of all the supplies that are taxable and the amount of tax collected from is called the TCS which is a short abbreviation of tax collecting at source. This TCS is applied over the collection of 1 month that is to be paid to the government.  The amount of TCS can be seen under the GST registered supplier’s GSTR-2 on whose behalf the TCS is collected.

All of the e-commerce operating sellers are supposed to submit a statement online with regard to the details of all the products that are sold by the respective sellers to the GST registration portal and the TCS via the form number GSTR-8. These submitted details by the respective sellers will be verified or matched with the seller’s furnished details in their form. In case both of the details are not matching, the seller and the e-commerce sales operating seller and the supplier are sent a notice mentioning the fact and to correct it.

The impact of GST on e-commerce industry sellers in the marketplace

-          GST implementation has increased the scope for the sellers by eliminating the  cascading effect of multiple taxes.

-          Because the GST taxation rates are same across the nation, the sellers no longer have to deal with the different taxes of the different states providing them with some degree of ease.

-          The sales that are executed on the inter-state level have now become a lot easier because the sellers no longer have to keep and maintain warehouses reducing their rental payments over inventories which in turn reduce the product prices.

-          The not so convenient impact of GST on e-commerce involves the matching of submitted forms by the suppliers and the sellers. If these don’t match though, both the parties get notices regarding the mismatch increasing the complexity of their business.

-          The sellers participating in the business through e-commerce are not eligible for the composition scheme.

-          These e-commerce sellers are supposed to be mandatorily having a GST registration and this shall be irrespective of their annual turnover.

-          No separate GST registrations are required for its sales in multiple states via e-commerce operators.

If you want to know more about the GST Registration and its impact on the e-commerce then you may anytime contact Enterslice where we are 24/7 hr available to help you with perfect solutions whenever you need to get in touch with us.

Source url - http://enterslice.over-blog.com/2018/10/what-is-the-impact-of-gst-on-e-commerce.html

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Gst- One Government One Tax, This Article On GST- One Solution

What Is GST Registration?

GST registration is an official regime in which the businesses whose turnover for the business is more than INR 2,000,000 (20 Lakhs) has to register themselves as normal taxable corporate entity. If the organization is not registered under GST regime it will be treated as an offence under the corporate laws and the business will be penalised heavily for it. The normal time period for a business to register itself under GST Regime is between 2-6 Working Days.

Businesses Which Should Register for GST:

v  Corporates and individuals who were registered under the pre GST laws like excise, VAT and Service Tax etc.

v  The businesses whose turnover exceeds the limit of INR 20 Lakhs.

v  Agents of a supplier and Input Service Distributor.

v  All the e- commerce aggregators.

v  The people who supply through e commerce aggregator.

v  People who are supplying the information of any kind of data from a place outside to someone in India, and that person is not a registered taxable person.

Documents Required for GST Registration:

v  The first and prime most important is the PAN of the Applicant without which no online GST registration can be done.

v  Then you need to show the Aadhaar card for the applicant.

v  The personal identity proofs of all the directors of the corporate entity to be registered.

v  The proof for address verification for the business location.

v  The bank account statements and also a copy of cancelled cheque is mandatory to have.

v  It is also required to produce the Digital Signature of the directors and applicants.

Penalty for not registering under GST Regime:

In case any business does not register itself for GST Regime, the business will have to pay heavily for the penalty in this case.  The amount of penalty is 10% of the tax amount which has not been duly paid and the minimum subjected amount for this penalty is INR 10,000. If the business is found to do this mistake voluntarily the amount of penalty can be even 100% of the taxation not paid duly.

Process of GST Registration:

The entire GST Registration procedure is divided here into following basic 11 steps for the better understanding to a common man and they are as follows:

v  You first need to visit the GST portal and click Register on it.

v  Then the second step requires you to fill the details like type of taxpayer, state and district of your location of business, name of the business along with the PAN of the business for which you want to register for GST. The email ID and mobile numbers for further communications and OTPs. Then click on Proceed.

v  You will now be asked to enter the OTP sent on that number you mentioned in the previous detail. Enter and Continue.

v  You will now get a Temporary Reference Number (TRN). Note it for further use.

v  Then you are required to again Go the GST portal and Click Register Now.

v  Choose TRN. Now enter the TRN provided to you over the mail and proceed it further.

v  Again you will get an OTP and you need to enter it and proceed even firther.

v  The status of the application will be shown as Drafts. Click on Edit option.

v  Then you need to fill all the details and submit relevant documents.

v  Then you need to verify the information submitted, go to the verification page and tick on declare and submit the application.

v  You will now get a message for successful registration and also the Application Reference Number.

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Why GST Introduced in India

In previous tax structure, there was lack of uniformity as there were different rates for VAT which resulted in trade imbalance between states.

Some of the reasons are prescribed below:

Ø  Previously CENVAT was limited to manufacturing only and not beyond that. CENVAT paid could not be adjusted against VAT.

Ø  CENVAT was made of various components and because of multiplicity of duties made the tax structure complicated.

Ø  In inter-state sale, CST (Central Sales Tax) was levied by the center and the same was collected by the state which could not be set off against VAT.

Ø  Service providers were unable to neutralize VAT or other taxes paid while CENVAT input tax credit was available to them.

Ø  VAT liability of a dealer used to get enhanced without compensatory set-off because VAT was payable on the goods inclusive of CENVAT paid on manufacturing stage.

Ø  On imports where Special Additional Duties (SAD) of customs were levied at a uniform rate of 4% by the Centre, state VAT and CST did not directly apply. Only to manufacturing excisable goods, input tax credit of these duties was available. Whereas for other importers they had to claim duty refund as and when they pay VAT on subsequent sales.

Ø  VAT dealers were unable to set-off any Service Tax that they had paid on their procurement of taxable input services.

Ø  No set off was available for variety of indirect taxes such as luxury tax, entertainment tax, entry tax etc. which was levied and collected by central.

Advantages of GST

With the implementation of GST in India, it gave numerous benefits to the following:

1.     Make in India

Ø  It will help in boosting make in India campaign as well as foreign investment.

Ø  With this, there will be more efficient tax neutralization.

Ø  It will create more employment in the country and eradicate poverty. 

2.     Efficiency in carrying business.

Ø  Improvement in the tax system of the country by reducing multiplicity of taxes.

Ø  Simplified procedure for GST registration in India and besides GST registration it has also made easy process of return, refunds and tax payments.

Ø  Compliance environment will get improved.

Ø  For more regularization, timelines have been set out for GST registration and GST refund.

Ø  It has made the process more transparent.

3.     Benefits to the Government

Ø  It helped in broadening tax base in India.

Ø  Better compliances and revenue collection

Ø  Now there are less tax evasions.

Ø  Mitigated the cascading effect of taxes.

4.     Trade Benefits

Ø  Multiplicity of taxes have now reduced.

Ø  Mitigation of double taxation/ cascading effect

Ø  More simple tax regime with rates and exemptions.

5.     Consumer benefits

Ø  Cost has been reduced due to removal of cascading effect.

Ø  Purchasing power and savings have been increased.

Ø  Because of savings, investment has also been increased.

Besides advantages, there are some disadvantages also, now let’s discuss the same:

Disadvantages of GST      

Ø  There were many products which were exempted in previous structure, but GST has minimal exemptions.

Ø  In previous tax structure, there were high taxes on few items but now under GST there are lower taxes on almost every item.

Ø  No GST on alcohol liquor consumption.

Ø  Petroleum products are still out the purview of GST.

Ø  Under GST regime, no stamp duty will fall.

GST Council

GST Council is comprised of following:

1.               Union Finance Minister (Chairman of the Council),

2.               Minister of State (Revenue) and

3.               State Finance/Taxation Ministers.

Above mentioned ministersmake recommendations to the Union and the States on the following matters:

(i)              The taxes, cesses and surcharges which may be subsumed under GST levied by central, state or local bodies;

(ii)            Goods and services which may be subjected to or exempted from the GST;

(iii)          the date on which the GST shall be levied on petroleum crude, high speed diesel, motor sprit (commonly known as petrol), natural gas and aviation turbine fuel;

(iv)          Rules & Regulations regarding GST model, GST registration, principles of levy and the principles which govern the place of supply;

(v)            Threshold turnover limit below which GST may be exempted;

(vi)          The rates including floor rates with bands of GST;

(vii)        During any natural calamity or disaster, special rate or rates for a specified period to raise additional resources;

(viii)      Special provision with respect to particular states such as North- East States, J&K, Himachal Pradesh and Uttarakhand;

(ix)          Any other matter relating to the GST.

GST Council mechanism ensures harmonization on different aspects of GST between the Centre and the States as well as among States.

As per the Constitution (one hundred and first amendment) Act, 2016 GST Council shall be guided for the development of a harmonized national market for goods and services.

Source url - http://entersliceindia.full-design.com/Why-GST-Introduced-in-India-15581153

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