GST Registration & Return Filing

GST problems usually begin in one of two ways. A business crosses the threshold without registering: it cannot issue tax invoices, its marketplace account stays blocked, and customers who want input tax credit start asking for a GSTIN. Or a business registers, never files a return because there were no sales, and months later receives a notice with late fees for every missed month. Both can be fixed, and the earlier the cheaper. We handle registration and the monthly returns that follow.

GST is a destination-based tax charged at each stage of supply on goods and services. It replaced excise duty, service tax, VAT and several other taxes. Registration gives a 15-digit GSTIN based on your PAN, which lets you charge GST, issue tax invoices and claim input tax credit.

Key facts

Who must register

Turnover is counted for all businesses under the same PAN across India. Businesses below the threshold can register voluntarily, which many do because registered customers prefer suppliers who can pass on credit.

Composition scheme

Small businesses with turnover up to ₹1.5 crore (₹75 lakh in special category states), or up to ₹50 lakh for service providers, can opt for the composition scheme: tax at a low flat rate on turnover, a quarterly payment in CMP-08 and an annual return in GSTR-4. In return, they cannot claim input tax credit, charge GST on invoices or make inter-state supplies of goods.

What registration changes

• You can issue tax invoices and collect GST legally
• Your customers can claim input tax credit on your invoices
• You can claim credit for GST paid on your purchases
• Marketplaces such as Amazon, Flipkart and Meesho will activate seller accounts
• You can bid for government tenders and register on GeM
• Customers can verify your GSTIN and filing record when onboarding you as a vendor

Business premises documents

Utility bills older than two or three months, or that don't match the address applied for, are the most common reason for queries.

The registration process

1. Part A of REG-01: PAN, legal name, state, email and mobile, verified by OTP.
2. Part B: business details, promoters, premises, bank account, goods and services, and documents.
3. Aadhaar authentication of the signatory, which often decides whether approval takes three days or three weeks; without it, physical verification of the premises is likely.
4. ARN: an application reference number is sent by email and SMS for tracking.
5. Verification: the officer may approve, or issue a query in Form REG-03.
6. Reply in Form REG-04 within seven working days, or the application may be rejected.
7. Certificate: GSTIN and registration certificate (REG-06) issued, and you can invoice with GST from that date.

GST returns

The QRMP scheme lets taxpayers with turnover up to ₹5 crore file GSTR-1 and GSTR-3B quarterly, paying tax monthly.

How filing works

1. Collect sales and purchase data for the period.
2. Reconcile purchases with GSTR-2B and follow up suppliers who have not uploaded invoices.
3. Prepare GSTR-1 and share it with you for approval.
4. File GSTR-1, then GSTR-3B with the tax payment, using DSC or EVC.
5. Keep acknowledgements and working papers for each period.

Mistakes to avoid

• Wrong GSTIN of the customer on B2B invoices
• Differences between sales in GSTR-1 and GSTR-3B
• Claiming credit not shown in GSTR-2B, or blocked credit
• Not reconciling returns with the books of account
• Skipping a nil return because there were no sales
• Wrong category at registration, such as composition instead of regular

Late fees, interest and penalties

• Late fee: ₹50 a day for GSTR-1 and GSTR-3B (₹20 a day for nil returns), subject to caps that depend on turnover.
• Interest: 18% a year on tax paid late, and 24% on wrongly availed and used credit.
• Penalties: for tax not paid or short paid, 10% of the tax (minimum ₹10,000), and up to 100% in cases of fraud.
• Blocked returns: GSTR-3B cannot be filed before GSTR-1 for the same period, and one missed month holds up later months. Prolonged non-filing can lead to cancellation of registration and blocking of e-way bills.

How we help

• Checking whether registration is compulsory or worth taking voluntarily
• Reviewing documents before upload, including Aadhaar and PAN details and premises proof
• Filing REG-01 and handling Aadhaar authentication and queries
• Setting up your return calendar and filing GSTR-1, GSTR-3B and annual returns
• Amendments, additional places of business and cancellation when needed

Common questions

How long does registration take?

Three to seven working days with clean documents and Aadhaar authentication. A query, usually about premises, can extend it to two or three weeks.

Can I register using rented premises?

Yes, with the rent agreement and a utility bill, and an NOC from the owner where the bill is in their name.

What if I crossed the threshold but did not register?

Tax is payable from the date registration was required, with interest, and a penalty can apply. Credit on purchases cannot be claimed until you register.

Do I need a separate GSTIN for each location?

One GSTIN covers all your places of business in a state, each declared in the registration. A different state needs a separate GSTIN.

Do I have to file returns if I had no sales?

Yes. Nil returns are due every period from registration, and they can be filed by SMS.