GST: 1-July-2017 approaching, not yet registered, what next?

Any person should take a Registration, within thirty days from the date on which he becomes liable to registration, in such manner and subject to such conditions as may be prescribed.

Every person who makes a taxable supply of goods or services or both and whose aggregate turnover exceeds the threshold limit of Rs. 20 lakhs (Rs. 10 lakhs in case of Special Category States), in a financial year, is compulsorily required to get itself registered.

However, the following categories of persons shall register compulsorily irrespective of the above-mentioned threshold limit:

a) Persons making any inter-State taxable supply;

b) Casual taxable persons;

c) Persons who are required to pay tax under reverse charge;

d) Non-resident taxable persons;

e) Persons who are required to deduct tax under section 37;

f) Persons who supply goods and/or services on behalf of other registered taxable persons whether as an agent or otherwise;

g) Input service distributor;

h) Persons who supply goods and/or services, other than branded services, through electronic commerce operator;

i) Every electronic commerce operator;

j) An aggregator who supplies services under his brand name or his trade name; and

k) Such other person or class of persons as may be notified by the Central Government or a State Government on the recommendations of the Council.

What will happen if you do not register for GST before 1-July-2017?

As a business, you do not need to get into a panic if you have missed the GST enrollment deadline at earlier dates. In addition, 1-July-2017 is no deadline to register for GST.

As per recent developments, GST registration dates have been extended. Enrollment window will reopen on 25-June-2017 and continue for 3 months as per rule.

The way forward in different cases is as follows:

  • If you are a Taxpayer having received Acknowledgement Reference Number (ARN): You should be able to download the Provisional Registration Certificate from “Download Certificates” at GST website from 27 June 2017.
  • If you are a Taxpayer, who has saved the enrolment form with all details but has not submitted the same with DSC, E-Sign or EVC: You will receive the ARN at your registered email ID, if the data given are successfully validated after 27 June 2017. In case of validation failure (data like PAN not matching), you should be able to log in at the same portal from 27 June 2017 onwards and correct the errors. You can refer the registered email for details of the errors.
  • If you are a Taxpayer, who has partially completed the enrolment form: You can login to the portal on the above-mentioned date and complete the rest of the form.
  • If you are not an existing Taxpayer and wish to register newly under GST: You would be able to apply for new registration at the GST portal from 25 June 2017.

What if, we are not registered under GST?

Non-registration in case, when one is liable to be registered, is an offense under the GST regime. In such a case, if a person is not registered he will pay no GST and any offender not paying tax or making short payments has to pay a penalty of 10% of the tax amount due, subject to a minimum of Rs.10,000. The penalty will be high at 100% of the tax amount when there is intentional fraud

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