Goods and Services Tax (GST) in India dates back to the year 2000 and concludes in 2017 with four bills relating to it becoming an Act. The government designed to bring in an indirect tax regime with a theory of “ONE NATION, ONE TAX”. GST is a single tax on the supply of goods and services Under the GST regime, the tax is collected at every point of sale. In the case of intra-state sales, Central GST and State GST are charged. All the inter-state sales are chargeable to the Combined GST. 

Objective of GST

·  To attain the thought of ‘One Nation, One Tax’.

·  To include a majority of the indirect taxes in India.

·  To remove the falling effect of taxes.+

·  To restraint tax dodging.

·  To upsurge the taxpayer base. 

What is GST returns

It is obligatory as per the GST Act, that every registered entity have to submit the details of their sales and purchases counting tax paid and collected on that by filing GST returns regularly. GST consultant team will handle this for our clients and let our clients focus on their business’s return is a certified document that provides all the purchases, sales, tax paid on purchases, and tax collected on sales-related facts. The GST returns are required to be filed, subsequent to which the taxpayer has to pay off the tax liability.  

Disadvantages of GST

·  Increased costs due to software obtaining

·  Not being GST-compliant can involve penalties

·  Smaller businesses will have a higher tax burden

·  GST will mean an increase in working costs. 

Types of GST

·  Integrated Goods and Services Tax (IGST)

·  State Goods and Services Tax (SGST)

·  Central Goods and Services Tax (CGST)

·  Union Territory Goods and Services Tax (UTGST)

Registration mandatory for whom

· Any business involved within the supply of products whose turnover in an exceedingly year exceeds Rs.40 lakhs for Normal Category states (Rs.20 lakhs for the Special Category States)

· Any business involved within the supply of services whose turnover during a year exceeds Rs.20 lakhs for Normal Category states (Rs.10 lakhs for the Special Category States)

· Every person who is registered under an earlier law (i.e., Excise, VAT, Service Tax, etc.) must register under GST, too.

· When a business that is registered has been transferred to someone/demerged, the transferee shall take registration with effect from the date of transfer.

· A person making inter-state supplies

· Casual taxable person

· Non-Resident taxable person

·  Agents of a supplier

· Those paying tax under the reverse charge mechanism

· Input service distributor

· E-Commerce operator or aggregator*

· A person who supplies via e-commerce aggregator

· Person supplying online information and database access or retrieval (OIDAR) services from an area outside India to an individual in India, aside from a registered taxable person

Penalty for not registering under GST

An offender not paying tax or creating a brief payment must pay a penalty of 10% of the tax amount due subject to a minimum of Rs.10,000.

The penalty will at 100% of the tax amount payable when the offender has intentionally avoided paying taxes.  

Document required

· PAN of the Applicant

· Aadhaar card

· Proof of business registration or Incorporation certificate

· Identity and Address proof of Promoters/Director with Photographs

· Address proof of the place of business

· Bank Account statement/Cancelled cheque

· Digital Signature

· Letter of Authorization/Board resolution for authorized signatory.