Discussion on Practical Issues Related to GST Registration Provisions

1. REGISTRATION PROVISIONS UNDER GST DISCUSSION ON PRACTICAL ISSUES RELATED TO REGISTARTION AND MIGRATION UNDER GST BY NIRC OF ICSI DATE-01 MAR 2017 Ashu Dalmia FCA, DISA, CISA, ICAI Certified-FAFD,ICAI-Certified Arbitrator, Special Auditor u/s 72A of the finance Act 1994 (office of the Commissioner, Service, Tax Audit-II Delhi) Partner Ashu Dalmia & Associates • Mob:- +91-9810893243 • Email: ashu.dalmia@ada.org.in • Web:- www.gstindia.bizwww.ada.org.in

2. PROVISIONS OF REGISTRATION UNDER GST-CHAPTER VI OF MGL www.ada.org.in/gstindia.biz

3. www.ada.org.in/gstindia.biz

4. MANDATORTY REGISTRATION –SCHEDULE V of MGL WAYS OF REGISTRATION • VOLUNTARY REGISTRATION • CASUAL /NON RESIDENT TAXABLE PERSON www.ada.org.in/gstindia.biz

5. Mandatory Registration www.ada.org.in/gstindia.biz

6. Registration will be effective from the date of grant of registration. • Credit available only after date of Registration. • Loss of credit of inputs before the date of becoming taxable person. • Taxable invoices can not be issued for the intermediate period. IMPACT IF REGISTRATION NOT APPLIED WITH IN 30 DAYS www.ada.org.in/gstindia.biz

7. Where to take registration (Fresh registration) -In every state -From where -The supplier -Is making the taxable supply -and aggregate turnover exceeds Rs.20 Lacs for normal states -Rs.10 lacs in special category states and - states covered in Article 279A (4) (g) • States are Arunachal Pradesh, Assam, Jammu and Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh and Uttarakhand. Schedule V –Mandatory to take registration www.ada.org.in/gstindia.biz

8. Optional -In case of multiple business verticals in a state • What is business vertical: As per Section 2(18) of CGST/SGST Act 2016, “Business vertical” means a distinguishable component of an enterprise that is engaged in supplying an individual product or service or a group of related products or services and that is subject to risks and returns that are different from those of other business verticals; Explanation: Factors that should be considered in determining whether products or services are related include: • the nature of the products or services; • the nature of the production processes; • the type or class of customers for the products or services; • the methods used to distribute the products or provide the services; and • if applicable, the nature of the regulatory environment, for example, banking, insurance, or public utilities. Can multiple registration be taken in a state? www.ada.org.in/gstindia.biz

9. Aggregate turnover includes: -taxable supply -exempt supplies -export of Goods and/or services -inter state supplies of a person having same PAN to be computed on all India basis -excludes taxes paid under GST and -Supplies on which tax has been paid under reverse charge. Exempt Supply Includes: not taxable under this Act Supply of nil rated Exempted u/s 11 of the MGL www.ada.org.in/gstindia.biz

10. Supplies made by a person on behalf of his principals will also be considered for threshold limit of agent. • Supply of goods by a registered job worker shall be included in turnover of principal. Threshold limit will also include: www.ada.org.in/gstindia.biz

11. Mandatory registration without any threshold limit www.ada.org.in/gstindia.biz

12. categories of services the tax on which shall be paid by the electronic commerce operator if such services are supplied through it, and all the provisions of this Act shall apply to such electronic commerce operator as if he is the person liable for paying the tax in relation to the supply of such services. • PROVIDED that where an electronic commerce operator does not have a physical presence in the taxable territory, any person representing such electronic commerce operator for any purpose in the taxable territory shall be liable to pay tax. • PROVIDED FURTHER that where an electronic commerce operator does not have a physical presence in the taxable territory and also he does not have a representative in the said territory, such electronic commerce operator shall appoint a person in the taxable territory for the purpose of paying tax and such person shall be liable to pay tax Tax liability u/s 8(4) of MGL www.ada.org.in/gstindia.biz

13. occasionally undertakes transactions • involving supply of goods and/or services • in the course or furtherance of business • whether as principal, agent or in any other capacity, • in a taxable territory where he has no fixed place of business. Casual Taxable Person Non Resident Taxable Person • occasionally undertakes transactions • involving supply of goods and/or services • whether as principal, agent or in any other capacity, • has no fixed place of business in India. www.ada.org.in/gstindia.biz

14. Registration before 5 days of starting activities Initial registration for maximum 90 days which is further extendable to 90 days Advance deposit of tax which will be credited in cash ledger Registration of Casual and No resident Taxable Person www.ada.org.in/gstindia.biz

15. Section 18(2) A person who take registration u/s 23(3) will be eligible for input tax in respect of inputs held in respect of • Stock • Semi finished stock • Finished stock On the day immediately preceding the date of grant of registration. • Section 18 (1) A person who has applied for registration under the Act within thirty days from the date on which he becomes liable to registration and has been granted such registration shall, subject to such conditions and restrictions as may be prescribed, be entitled to take credit of • input tax in respect of inputs held in stock • inputs contained in semi finished Goods • inputs contained in finished goods held in stock on the day immediately preceding the date from which he becomes liable to pay tax under the provisions of this Act. WHY Voluntary Registration www.ada.org.in/gstindia.biz

16. WHICH FORM TO BE USED www.ada.org.in/gstindia.biz

17. FLOW OF REGISTRATION Reply in FORM GSTREG-04 Within 7 days Application in FORM GSTREG-01 ACKNOWLEDGEMENT in FORM GSTREG-02 Information in FORM GSTREG-03 Within 3 days Reject in FORM GSTREG-05 Or Registration in FORM GST REG-06 www.ada.org.in/gstindia.biz

18. Online Application to the proper Officer Amendment to Registration www.ada.org.in/gstindia.biz

19. By own motion • Where the taxpayer has contravened such provisions of the Act as may be prescribed. • Person paying tax u/s 8 has not file returns for three consecutive tax periods. • Person other than above has not filed the returns for consecutive six months. • Any person who has taken voluntary registration has not commenced business within six months from the date of registration. Cancellation of Registration www.ada.org.in/gstindia.biz

20. On an application filed by registered taxable person i. Where the business has been discontinued ii. Transferred iii. There is a change in constitution of business iv. The person liable to be registered in schedule III is no longer liable to be registered. On an application filed by legal heirs in case of death of such person Cancellation of Registration www.ada.org.in/gstindia.biz

21. List of Forms related to registration www.ada.org.in/gstindia.biz

22. List of Forms related to registration www.ada.org.in/gstindia.biz

23. List of Forms related to registration www.ada.org.in/gstindia.biz

24. List of Forms related to registration www.ada.org.in/gstindia.biz

25. www.ada.org.in/gstindia.biz

26. For any inquiry