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Registration under Goods and Service Tax (GST) is PAN based and State/UT Specific

Registration under Goods and Service Tax (GST) regime will confer following advantages to the taxable person after registration:

  1. He is legally recognized as supplier of goods or services.

  2. He can claim input tax credit of taxes paid on the input goods or services which can be utilized for payment of GST due on supply of goods or services or both by the business.

  3. He is legally authorized to collect tax from his purchasers and pass on the credit of the taxes paid on the goods or services supplied to purchasers or recipients.

  4. He is eligible to avail various other benefits and privileges under the GST laws.
    The registration in GST is PAN based and State/UT specific. Supplier has to register in each of such State or Union territory from where he effects taxable supply. There is no centralized registration under GST.

A business entity having its branches in multiple States will have to take separate State wise registration for the branches in different States.

Single registration within the State even if an entity has multiple branches

If an entity has multiple branches within a State, it would have single registration wherein it can declare one place as principal place of business (PPoB) and other branches as additional place(s) of business (APoB).

Separate registration can be taken for separate business verticals even within a State
However, a business entity having separate business verticals in a State may obtain separate registration for each of its business verticals othei-wise a given PAN based legal entity would have one registration number - Goods and Services Tax Identification Number (GSTIN) per State.

Meaning of  “Business Vertical” [Section 2(18) of the CGST Act, 2017]:

“Business vertical” means a distinguishable component of an enterprise that is engaged in the supply of individual goods or services or a group of related goods or services which is subject to risks and returns that are different from those of the other business verticals.

Explanation.—For the purposes of this clause, factors that should be considered in determining whether goods or services are related include—

(a) the nature of the goods or services;

(b) the nature of the production processes;

(c) the type or class of customers for the goods or services;

(d) the methods used to distribute the goods or supply of services; and

(e) the nature of regulatory environment (wherever applicable), including banking, insurance, or public utilities.

Goods and Services Tax Identification Number (GSTIN):

In GST registration, the supplier is allotted a 15- digit GST identification number called “GSTIN”, and a certificate of registration incorporating therein this GSTIN is made available to the applicant on the GSTN (i.e. goods and service tax network) common portal.

  • The first 2 digits of the GSTIN is the State Code,

  • next 10 digits are the PAN of the legal entity,

  • the next Two digits are for entity code, and

  • the last digit is check sum number.

Single registration for CGST, SGST, UTGST and IGST :

Registration under GST is not tax specific, which means that there is single registration for all the taxes i.e. CGST, SGST / UTGST, IGST and cesses.
When is an E-Way Bill in GST Not required to be Generated ? GST - Ready Reckoner in India Persons liable for GST Registration [Section 22 of the CGST Act, 2017]

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