Types of GST registrations
Understanding the Different Types of GST Registration
Under the Goods and Services Tax (GST) regime in India, there are several types of GST registration that businesses can apply for, depending on their specific circumstances. Some of the types of GST registration include:
1. Regular Registration: This is the most common type of GST registration and is required for businesses whose turnover exceeds the threshold limit. Businesses with a turnover below the threshold limit can also opt for regular registration. Under regular registration, businesses are required to file returns on a monthly or quarterly basis, depending on their turnover. Composite Scheme Registration: This type of registration is available to small taxpayers whose turnover is below a certain limit (presently INR 50 Lakhs for states except special category states and INR 20 Lakhs for Special Category States) . Under the composite scheme, businesses are required to pay tax at a fixed rate on their turnover and file returns on a quarterly basis.
2. Voluntary Registration: Businesses whose turnover is below the threshold limit but still opt for GST registration can apply for voluntary registration. This type of registration is often chosen by businesses that want to avail of the Input Tax Credit (ITC) benefits of GST. Voluntary registrants are also required to file returns on a monthly or quarterly basis, depending on their turnover.
3. Special Scheme for Taxpayers under Section 25: This scheme is meant for composition scheme for manufacturers and suppliers with turnover of up to 1.5 crores in a financial year. Under this scheme, they are allowed to pay tax at a lower rate of 1% on intra-state supplies.
4. Registration under TDS/TCS provisions: TDS(Tax Deducted at Source) and TCS (Tax Collected at Source) deductors or collectors are required to take registration under GST even if their turnover is below the threshold limit.
5. Casual Taxable Person Registration: Casual taxable person means a person who occasionally undertakes transactions involving supply of goods or services or both in the taxable territory, other than his permanent place of business. They may take registration under GST and the registration is valid for 90 days.
It's important to note that the specific type of registration required will depend on the nature of the business and its turnover. Businesses are advised to consult with a tax professional or GST expert to determine the appropriate type of registration for their specific circumstances.