GST registration and migration
GST registration and migration:
There will be the lot many up-gradations once the GST is out. Under GST registration and migration, there will be more than millions of tax payers who will be registered. All the suppliers and buyers who are under businesses will all be under one platform that is GST. If a person engages in economic activity including trade and commerce is treated as taxable person. And every taxable person has to get registered under GST. If any person very rarely supplies goods and services in a place where GST is applicable but he does not have a fixed place of business. Such a person will be treated as a casual taxable person as per GST. And registration will be termed as casual registration. A person who has a place of business in Telangana supplies taxable consulting services in Gujrat where he has no place of business would be treated as a casual taxable person in Gujrat.
If the turnover is less than 50 lakh then that is a dealer under composition scheme and such a dealer has to get registered under that scheme. They will be maintaining less record of their business and carry no need to work upon the ledgers account sheets etc. they pay every quarterly instead of three times a month. But they cannot trade inter state and also cannot avail input tax credit.
Migration process carries to be the most important part of GST. all the existing Central Excise and Service Tax and VAT dealers will be migrated to GST. To migrate to GST, they will be provided a Provisional ID and Password by State Commercial Tax Departments. These IDs would be issued to only those who have a valid PAN associated with their registration. An dealer may not be provided a Provisional ID if the PAN associated with the registration is not valid, The PAN is registered with a State Tax authority and Provisional ID has been supplied by the said State Tax authority., There are multiple CE/ST registrations on the same PAN in a State. In this case, only 1 Provisional ID would be issued for the 1st registration in the alphabetical order provided any of the above 2 conditions are not met. Then the dealers need to use this ID and Password to login to the GST Common Portal where they would be required to fill and submit the Form 20 along with necessary supporting documents.
But if a dealer deliberately is not paying tax or making short payments has to pay a penalty of 10% of the tax amount which is minimum of 10,000. And the penalty will be raising upon the raise of the frauds. There will be no exemption to any of the dealer violating the rules by GST. And if there are multiple business lines/verticals then the dealer has to get a different registration for each of the different vertical/ line. Violating this also will lead to a penalty.