Indirect Tax

Law.
Paper No. :- 3
Paper III :- Indirect Tax Law.

Syllabus :-
Chapter – 1
1. Definations
2. Over view of goods and service Tax.
3. Over view of GST, Implimentation of GST Council and there Function.

Chapter – 2
1. Administration
2. Registration, Amendments, Cancellation.
3. Liability of the Tax pairs.
4. Levy GST.
5. Exemption from Tax levy of GST.

Chapter -3
1. Liability of the Tax Pairs.
2. Levy GST
3. Exemption of levy tax GST

Chapter – 4
1. Time of Supply of Goods.
2. Time of Supply of service and other points.
3. How to make payment, challan, Generation.

Chapter – 5.
1. Profession Tax Act. 1975.

Chapter - 6
1. Practical examination computation of job worker, traders, service, provider,
works contract, case studies, distribution of credit, Return Registered and
unregistered person invoice.
 Chapter – 1
Definition of GST
Introduction :-
The introduction of GST would be a very significant step in the field of
indirect tax reforms in India. Formally, GST was first mooted by the union finance
minister in his budget. GST is expected to provide the benefits of simplification of Tax.
Broad in tax system, elimination of tax case coades, enhanging export business, ensuring
greater regional equity and improvement of transference GST subsumed most of the
indirect tax to create one rate and integrate the country into a single market and make
Indian products competitive in the domestic and international experience show that GST
would have booseing impact on economic growth.

Defination of GST

1. GST
As per the amended article 366 of the constitution of India. “Any tax on supply of
goods or services or both except taxes on the supply, of the alcoholic liquor or
human consumption.

2. As per the sec. 2 (52) of central Goods and Service Act 2017.
Goods means every kind of movable Property other than money and securities but
include actionable claim, growing crops, grass and thing attach to or forming part
of land which are agreed to be served before supply of under a contract of supply.

3. Services
As per Sec. 2 (102) of C.G.S.T. Act 2017.
Services means any things other than goods, money and securities but
includes activities relating to the use of money or its conversation by cash or by
any other mode, from one from currency to another from, currency for which a
separate consideration is charged.

4. Actionable Claim. – Sec. 2 (1) :-

Actionable Claim shall have the same meaning as assigned to in Sec. 3 of the
transfer of property Act 1882.

5. Address of Deliver – Sec. 2 (2) :-

Address of delivery means the address of recipient of goods or services or both
indicated on the tax invoice issued by a registered person for delivery of such
goods or services or both .
6. Address on Record – Sec. 2 (3) :-
Address on record means the address of the recipient as available in the records of
the supplier.

7. Adjudicating Authority – Sec. 2 (4)

Adjudicating Authority means any authority appointed or authorise to pass any
order or design under this Act, but does not include the CBSE and customs the
repisional authority, the authority for advance ruling, the appellate authority and
the appellate tribunal .

8. Agent – Sec. 2 (5) –

Agent means a person, including a factor, broker commission agent by whatever
name called who carries on the business of supply receipt of goods or services or
both on behalf of another.

9. Aggregate Turnover – Sec. 2 (6) :-

Aggregate Turnover means the aggregate value of all taxable supplies, exempt
supplies, exports of goods or services or both and interstate supplies of person.
having the same Permanent Account Number (PAN), to be computer on all India
basis but excludes Central Tax, State Tax, Union Territory Tax, Intrigrate Tax and
cess.

10. Agriculturalist – Sec. 2 (7) :-

Agriculturalist means an Individual or a Hindu Undivided Family
(HUF)who undertakes cultivation of land.
1. By own labour.
2. By the labour of family.
3. By servant on wages payable in cash or kind of labour under personal
supervision of the personal supervision any member of family.

11. Appellate Authority – Sec. 2 (8) :-

Appellate Authority means an authority appointed on authorise to hear applies. As
referred to in Sec. 107.

12. Appellate Tribunal – Sec. 2 (9) :-

Appellate Tribunal means the GST appellate tribunal constitute U/s. 109.
13. Assessment – Sec.- 2 (11) :-
Assessment means determination of tax liability under this act and includes self
assessment, Re – Assessment, Provision Assessment, Summary Assessment, and
west judgement Assessment.

14. Audit – Sec. 2 (13) :-

Audit means the examination of record, returns and other document maintained or
furnish by the registered person under this act of the rule made there under or
under any other law for the time being in force to verify the correctness of turnover
declared, taxes paid, refund claimed and input tax credit abailed and to assess is
compliance with the provision of this act all the rules made there under.

15. Business – Sec. 2 (17) :-

a. Any trade, Commerce, manufacture, profession, vocation, adventure any
other similar activities.
b. Any activity or transaction in connection of business.
c. Any activity or transaction in the nature of Sub clause ‘A’ of Sec. (1),
wheather or regularity of such transaction.
d. Supply of acquisition of goods including capital goods and service in
connection with commencement.
e. Provision by a club, association, Society, of such bodies or benefit its
member.
f. Admission for a consideration, of person to any premises.
g. Services supplied by a persons as the holder of an office which has been
accepted by him in the cource of his trade, profession or vocation.

16. Capital Goods – Sec. 2 (19)

Capital Goods means goods, the value of which is capitalized in the books of
account of the person clamining the input tax credit and which are use or intended
to be used in the cource of furtherance of business.

17. Casual Taxable Person – Sec. 2 (20) :-

Casual Taxable person means a person who occotionaly undertakes transaction
involving supply of goods or services or both in the pource or furtherance of
business, wheather as principles, agent or in any other capacity in a state or a union
territory where he as no fixed place of business.

18. Cess – Sec. 2 (22) :-

Cess shall have the same meaning as assigned to if in the goods and services tax
Act.
19. Chartered Accountant [(CA) Sec. 2 (23)] :-
CA means a CA as defined in clause (b) of sub section 1 of section 2 of the CA
Act, 1949.

20. Commissioner – Sec. 2 (24) :-

Commissioner means the commissioner of central tax at input the principle
commissioner of central tax appointed U/s. 3 and commissioner of integrated tax
appointed under the integrated goods and services tax.

21. Commissioner in the board – Sec. 2 (25) :-

Commissioner in the board means the commissioner referred in Sec. 168.

22. Common working Days – Sec. 2 (27) :-

Common working days in respect of a state or union territory shall mean such days
in succession which are not declared as gazetted holiday by the central government
or the concern state or union Territory government.

23. Company Secretary – Sec. 2 (28) :-

Company secretary means a company secretary as define in clause ‘C’ of sub
section ‘1’ or Sec. ‘2’ of company secretary Act, 1980.

24. Composite Supply – Sec. 2 (30) :-

Composite Supply mean a supply made by a taxable person to a recipient
consisting two or more taxable supplies of goods or services or both or any
combination thereof, which are naturally bundled and supplied in conjunction
with each other in the ordinary cource of business, one of which is a principle
supply.
Illustration :- Where Goods packed and transported with insurance, supply of goods
packing materials, Transport and Insurance is a Composite Supply
and supply of goods is a principle supply.

25. Consideration – Sec. 2 (31) :-

Consideration in relation to the supply of goods or services or both includes.
a. Any payment made or to be made, wheather in money or other wise, in respect
of , in response to, or for the embossment of, the supply of goods or services or
both, wheather by the recipient by any other person but shall recipient by any
other person but shall not include any subsidy given by the central government
or a state government.
b. The monetary value of any Act, In respect of in response to or for the
inducement of the supply of goods or services or both, wheather by the
 recipient of by any other person but shall not include any subsidy given by the
central government or state government.
Provided by deposit given in the receipt of supply goods or services or both shall
not be consider or payment made for such supply unless the suppler applies such
deposit as consideration for the said supply.

26. Continuous Supply of Goods – Sec. 2 (32) :-

Continuous supply go goods means a supply to be provided continuously or an
agreed to be provide continuously or an re- current basis, under a contract,
wheather or not by means of a wire, cable, pipe line or other, and for the which a
supplier invoice the recipient on a regular basis on include supply of such goods as
a government may a subject to such condition as it may be notification specify.

27. Continuous Supply of Services – Sec. 2 (33) :-

Continuous Supply of services means a supply of service which is provided or
agreed to be provided, continuous or on recurrent basis under a contract.

28. Cost Accountant – Sec. 2 (35) :-

Cost Accountant means a cost accountant as define in clause 3C of sub Sec. 1 and
Sec. 2 Cost or works Accountant Act, 1459.

29. Exempt Supply – Sec. 2 (47) :-

Exempt supply means supply of any goods or services or both rich attracts high
rate of tax or which may wholly exempt from tax U/s. 11 or U/s. 6 of the integrated
goods & Services tax Act, Includes non taxable supply.

30. Intrastate Supply of Goods – Sec. 2 (64) :-

Intrastate supply of goods shall have the same meaning as assign it in Sec. 8 of te
intrastate goods and Services tax Act, 2017.

31. Intrastate Supply of Services – Sec. 2 (65) :-

Intrastate supply or services shall have the same meaning as assign to in is Sec. 8
of the integrated good and services tax Act, 2017.

32. Manufacture – Sec. 2 (72) :-

Manufacture means processing raw material and input any manner that result in
emergence of a new product have bistinst name, character and use and the term
manufacture shall be constute accordingly.
33. Market Value – Sec. 2 (73) :-
Market Value shall mean the full amount which a recipient of a supply is required
to pay in order to obtain the goods or services or both of like kind and quality at or
about the same time and at the same commercial labour where the resident and
supplier are not related.

34. Mixed Supply – Sec. 2 (74) :-

Mixed supply means two or more individual Supplies of goods or services of any
combination there of maid in consumption with each other by a taxable person for
a single price where such supply does not constitute a composite Supply.
Illustration A supply of a package consisting of sweets, chocolate, cake, dry fruit,
cold drink, and fruit juice when supplied for a single price means a
mixed supply.

35. Local Authority – Sec. 2 (69) :-

Local Authority means :-
a. Panchayat as define in clause B of article 243 of the constitution.
b. A municipality as define in clause E of article 243 (P) of the constitution.
c. A Municipal Community, A zila parishad, District court, and any other
authority legally entitled to, or entrusted by the central government or any state
government to the control or management of a municipal or local fund.
d. A Cantonment board as defined in Sec. 3 of the cantonment act 2006.
e. A regional council or a district council constituted under the sixth schedule to
the constitution.
f. A development board constituted under article 371 of the constitution.
g. A regional council constituted under article 371 (A) of the constitution.

36. Money – Sec. 2 (75) ;-

Money means the India legal tender or any foreign currency, cheque, note or any
foreign currency, cheque, note bill of exchange, latter of credit, draft, pay order,
traveller cheque, money order, postal or electronic remittance of any other
instrument recognised by the RBI when used as a consideration to settle and
obligation or exchange with Indian legal tender of another denomination but shall
not include any currency that is held for its numismatic value.

37. Recipient – Sec. 2 (93) :-

Recipient of supply of goods of services or both means
a. Where a consideration is payable for the supply of goods or services or both,
the person who is liable the pay that consideration.
 b. Where no consideration is payable for the supply of goods, the person who
whom the goods are delivered or made available, or to whom possession or use
of the goods is given or made available.
c. Where no consideration is payable for the supply of service. The person to
whom the service is rendered and any reference who a person to whom a supply
is made shall be constituted as a reference to the recipient of the supply and
shall include & agent acting as such on behalf of the recipient in relating to the
goods or service or both supplies.

38. Motor Vehicle – Sec. 2 (76) :-

Motor Vehicle shall the same meaning has assign to his in clause 28 of section 2 of
the motor vehicle act 19988.

39. Output Tax – Sec. 2 (83) :-

Output Tax in relation to a taxable person, means the tax chargeable under this act
on taxable supply of goods or service or both made by him or by his in agent but
exclude tax payable by him for reverse charge basis.

40. Input Tax – Sec. 2 (62) :-

Input Tax in relation to a registered person means the central Tax, State Tax,
Integrated Tax, Union Territory Tax charge on any supply of goods or service.
a. The Integrated goods and services tax charged on import of goods.
b. The Tax payable under the provision of under the sub section 3 or 4 or section
9.
c. The Tax payable under the provision of under the sub section 3 or 4 of section 5
integrated goods and service Tax Act.
d. Tax payable under the provision of under section sub section 3 or 4 Sec. 9 of
the respective state GST Act.
e. The Tax payable under the provision of sub Sec. 3 or 4 of Sec. 7 of the union
territory GST Act, But does not include tax paid under the composition levy.

41. Person – U/s. 2 (84) :-

Person Includes
a. An Individual
b. Hindu Undivided Family
c. Company
d. A Firm
e. A Ltd. Liability Partnership
f. An Association of Person (AOP) or A Body of Individual. Wheather in
corporate or not, In India or outside India.
 g. Any Corporation Establish by or under any central Act, State Act or A
government Company as defined in clause 45 of section 2 of the companies
Act, 2013.

Any Body Corporate

a. In corporate by or under the laws of a country outside India.
b. Co – Operative society registered under any law relating to co – operative
society.
c. A Local Authority
d. Central Government or State Government
e. Society as defined under the societies Registration Act, 1860.
f. Trust
g. Every Artificial Juridical Person.

42. Registered Person - U/s. 2 (94) :-

Registered person means a person who is registered U/s. 25 but does not include a
person having a unique indents Number.

43. Return – U/s. 2 (97) :-

Return means any return prescribed or otherwise required to be furnished by or
under this Act or the rules made there under.

44. Taxable Person – U/s. 2 (107) :-

Taxable person means a person who is registered or liable to be registered U/s. 22
or U/s. 24.

45. Union Territory – U/s. 2 (114) :-

Union Territory means the territory of
a. The Andman and Nikobar ilandas
b. Lakshdweep
c. Dadar and Nagar Hawli
d. Daman and Dev
e. Chandigadh
f. other territory
For the purposes of this Act, each of the territory specified in Sub clauses A to
F shall be considered to be a separate union Territory.

46. Union Territory Tax. – Sec. 2 (115) :-

Union Territory Tax means the Union Territory goods and services Tax, Leaaved
under Union Territory under the Goods and Service Tax Act. (UTGST)
47. Valid Return – Sec. 2 (117) :-
Valid Return means a return furnished under sub section 1 of section 39 on which
self assessee tax has been paid in full.

Overview of GST
Synopsis
 Introduction
 Definition of GST
 Meaning of Term GST
 Existing Indirect Tax Subsumed by GST
 Commodities kept outside from GST
 Dual Model of GST
 Levy, Cross Utilization, Administration of UTGST, IGST, CGST,
 Model of CGST and SGST
 Features of dual Model GST
 Conclusion.

Raw Material  Manufacture  Whole Sealer  Retailer  Consumer

 Introduction :-
The Introduction of GST would be a very significant step in the field of
indirect tax reforms in India. Formally, the GST was first mooted by the then
Union Finance Minister in his Budget for 2006 – 07. GST is expected to provide
the benefits of simplification of tax regime, broadening of tax base, elimination of
tax cascades, enhancing export competitiveness, ensuring greater regional equity
and improvement of transparency. GST subsumed most of the Indirect Taxes to
create one rate and integrate the country into a single market and make Indian
products competitive in the domestic and international markets. Studies based on
International experience. Show that GST would have a boosting impact on
economic growth.

 Definition of GST
As per the amended Article 366 (12 A) of the Constitution of India, Goods
and Services Tax, means any tax on supply of goods or Services or both except
taxes on the supply of the alcoholic liquor for human consumption.

 Meaning of the Term GST

1. A comprehensive, destination based indirect tax levy on supply and consumption
of goods and service.
2. Extent to whole of India exempt Jammu & Kashmir.
3. On Value addition on each stage.
4. An Credit of tax paid on earlier stage will be available on next stage as Input Tax
Credit subject to fulfilment of certain conditions.
5. Input Tax credit can be adjusted against output tax by a Registered Taxable person.
6. Burden of tax to be borne by the final consumer.

 Existing Indirect Taxes Subsumed by GST

The GST replaced the Following Indirect Taxes :
1. Central Taxes
a. Central Excise Duty.
b. Duties of Excise.
c. Additional Duties of Excise
d. Additional Duties of Custom.
e. Special Additional Duty of Custom.
f. Service Tax
g. Central Surcharges
h. Cess so far as they relate to supply of Goods and Service.
2. State Tax Subsumed Under the GST are
a. State VAT
b. Central Sales Tax
c. Luxury Tax
d. Entry Tax
e. Entertainment
f. Taxes on Advertisement.
g. Purchase Tax.
h. Taxes on lotteries, betting and gambling,
i. State Surcharges and cesses on far as they relate to supply of goods and
service.

 Commodities kept outside the preview of GST :-

1. As per definition of Goods and Services Tax given above show only alcohol for
human consumption will be out of preview of GST but due to lack of consensus
between the central and central Governments, the following commodities are
proposed to be kept outside of the preview of GST.
2. Petroleum products like motor spirit, high speed diesel, Natural Gas and aviation
turbine fuel for the above commodities, indirect taxation system of VAT and
Central excise will continue.
 Dual Model of GST
GST in India will be levied on the basis of Dual Model because India is a
federal country where both the central government and state government have been
assigned the powers of levy and collect taxes through appropriate legislation. Both
the levels of government have distinct responsibilities to perform to perform
according to the division of powers prescribed in the constitution for which they
need to raise resources. A dual GST will, therefore be in keeping with the
constitutional requirement of fiscal federalism.
Under the dual GST System, the central government and the state
governments are simultaneously levying the taxes on supply of goods and services.

Levy, Cross Utilization and Administration of CGST, Integrated Goods and

Services Tax (IGST), Union Territory Goods and Service Tax (UTGST), and State
Goods and Service Tax (SGST).

1. There will be two components of GST Central Goods and Service Tax and state
goods and service tax or Union Territory except Dehli and Paduchery.
2. Both Central and State will Simultaneously levy GST across the value chain. Tas
will be levied on every supply of goods and services. Central will levy and collect
central goods and services tax, and state would levy and collect the state goods and
service Tax from Union Territories GST, on all transaction with a state / Union
Territory.
3. The Input Tax credit of Central Goods and Service Tax would be available for
discharging the CGST liability on the output at each stage similarly the credit of
SGST / UTGST paid on inputs would be allowed for paying the SGST on output.
4. Cross Utilization of Credit of CGST between goods and services would be
allowed. Similarly, the facility of cross utilisation of credit will be available in
case of SGST / UTGST.
5. However, the cross Utilization of CGST and SGST / UTGST would not be
allowed except in the case of Inter – State supply of goods and services (IGST)
under the IGST model, which is explained in the relevant chapter in the book.

 Features of dual Model of GST :-

The significant features of Dual GST in India, are as Under.
1. The GST will have two components CGST and SGST / UTGST.
2. CGST to be administrated by the central Government by the State governments
/ Union Territory Government.
3. CGST will replace CENVAT and service Tax and the SGST with replace state
VAT.
 4. CGST and SGST / UTGST subsumed the indirect taxes on supplies of goods
and services.
5. Taxable event in case of goods would be ‘supply’ instead of ‘manufacture’.
6. Exports will be zero rated.
7. GST would have a list of exempted goods.
8. Same of the commodities kept outside from the GST.
9. Taxes collected by local bodies would not be subsumed.
10. A single registration or taxpayer identification number, based on the permanent
Account Number (PAN).
11. State would collected the state GST from all the registered dealers.
12. Procedures for collection of Central and State GSTS / Union Territory GST
Would be uniform.
13. Tax payment challan might contain some additional information.
14. There would be one common tax return for both taxes, with one copy given to
the central authority and the other to the relevant state authority electronically
15. GST returns will be required to be filed online.

 Conclusion :-
In briefly GST impose on assesse similarly and simultaneously. The GST
have two factors one is CGST and Second SGST. GST have dual model in the
CGST and SGST.

Implementation of GST Council and There Functions.

Synopsis
 Introduction
 Definition of Goods and Service Tax
 GST Council Roles and Function.

Article 279 ‘A’ of constitution of India, deals the composition, roles or

function and quorum of GST council, the provision in this regards are as under.

 Composition
The Goods and Service Tax council shall consist of the following members.
1. The Union Finance Minister is the chair Person.
2. The Union Minister of State in charge of Revenue of finance shall be member.
3. The minister in charge of finance of taxation or any other Minister nominated by
each state government shall be members.
 Vice – Chairperson.
The members of the Goods and Services Tax Council Shall, as soon as may
be, choose one amongst themselves to be the voice – chairperson of the Council
for such period as they may decide.

 Role of Function of GST Council.:-

The Goods and service Tax Council Shall make recommendations to the
Union and the state of
1. The Taxes, cesses and surcharges levied by the union, the state and the local
bodies which may be subsumed in the goods and service tax.
2. The Goods and Services that may be subjected to, or exempted from the Goods
and Service Tax.
3. Model Goods and Services Tax Laws, principles of levy, apportionment of
goods and services tax levied on supplies in the course of the intrastate trade or
commerce under article 269 A and the principles that government the place of
supply.

The threshold limit of turnover below which goods and services may be
exempted from goods and services Tax.
Chapter – 02
Administration
Administration :-

Introduction :-
The board may acquient such central Tax officer a it things fit for exercising
the powers under this Act. Alorisation of officer of sales tax or union territory tax as
proper officer in certain circumstance the provision of this Act, The officer appointed
under the state GST Act and UTGST are authorised to be the proper officer for the
purposes of this Act subject to such exemption and condition as the government shall all
recommendation for council by notification by specify.

Officer Under this Act.

The government shall by notification, appoint the following classes of officers for
the purposes of this Act.

1. Principle chief Commissioners of Central Tax or Principal Director General of

Central Tax.
2. Chief Commissioners of Central Tax or Directors General of Central Tax.
3. Principle commissioners of central Tax or Principle Additional Directors General
of Central Tax.
4. Commissioners of Central Tax or Additional Directors General of Central Tax.
5. Additional Commissioners of Central Tax or Additional Director of Central Tax.
6. Joint Commissioners of Central Tax or Joint Directors of Central Tax.
7. Deputy Commissioners of Central Tax or Deputy Commissioners of Central Tax.
8. Assistant Commissioners of Central Tax or Assistant Directors of Central Tax.
9. Any other Class of officers as it may deem fit.

Provided that the officers appointed under the central Excise Act, 1944 Shall be
deemed to be the officers appointed under the provision of this Act.
Appointment of Officers

1. The Board may, in addition to the officers as may be notified by the Government
under Sec. 3, appoint such persons as it may think fit to be the officers under this
Act.
2. Without prejudice to the provisions of sub – section (1), the board may by order
authorities may officer referred to in sub section (1) to (8) of section 3 to appoint
officers of central Tax below the rank of Assistant Commissioner of Central Tax
for the Administration of This Act.

Power of Officers

1. Subject to such condition and limitations as the board may impose, an officer of
central tax may impose, an officer of central tax may exercise the power and
discharge the duties conferred or imposed on him under this Act.
2. An officer of central Tax may exercise the powers and discharge the duties
conferred or imposed on him under this Act.
3. An officer of central Tax may exercise the powers and discharge the duties
conferred or imposed under this Act on any other officer of central Tax who is
subordinate to him.
4. The Commissioner may, subject to such conditions and limitations as may be
specified in this behalf by him, delegate his powers and discharge the duties
conferred or imposed on any other officer of central Tax.

Authorisation of Officers of State Tax or Union Territory Tax as Proper Officer in

Certain Circumstances.

1. Without prejudice to the provisions of this Act, the Officers appointed under the
SGST or UTGST Act are authorised to be the proper officers for the purpose of
this Act, subject to such conditions as the Government shall, on the
recommendations of the council by notification, specify.
2. Subject to the conditions specified in the notification issued under sub – section.
3. Any proceedings for rectification, appeal and revision, wherever applicable,
appointed under this Act shall not lie before an officer appointed under the state
Goods and Service Tax Act or the Union Territory Goods and Service Tax Act.
Registration :-

Q. Explain the Procedure and provision of Registration Under GST Act, 2017.
Ans.
Synopsis
 Introduction
 Definition of GST
 Provision of Registration of GST
a. Person Liable for Registration.
b. Compulsory Registration in Certain Cases.
 Procedure for Registration.
 Deemed Registration.
 Special Provision relating to casual Taxable Person.
 Non - Resident Taxable Person.
 Amended of Registration.
 Cancellation of Registration.
 Conclusion.

Provision of Registration.
Person Liable for Registration.
1. Every supplier shall be liable to be registration under this Act in the state or union
territory other than special category states from where he makes a taxable supply
of goods or services or both if his aggregate turnover in a financial year exceeds 20
Lac. Rupees. where such person makes taxable supplies of goods or services or
both from any of the special category states he shall be liable to be registered if his
aggregate turnover in a financial year exceeds 10 Lac rupees.
2. Every person who on the day immediately preceding the appointed day, is
registered or holds a licence under an existing law, shall be liable to be registered
under this Act with effect from the appointed dya.
3. Where a business carried on by a taxable person registered under this Act is
transferred, wheather on account of succession or otherwise, to another person as a
going concern, the transferee or the successor, as the case may be, shall be liable to
be registered with effect from the date of such transfer or succession.
4. Not with standing any thing contain in sub section (1) and (3), in a case of transfer
to section of a scheme or an arrangement for amalgamation or as the case may be
demerged of two or more companies pursuant who an order of a high court,
tribunal or otherwise, transferee shall be liable to be registered with effect from the
date on which the registered of companies issue a certificate of incorporation
giving effect to such order of high court, tribunal.
Person Not – liable for Registration :-
1. The following person not be liable to registration.
a. Any person engaged exclusively in the business of supplying goods or
service or both that are not liable to tax or wholly exempt from tax under
this Act or under the Integrated Goods and Services Tax Act.
b. An Agriculturist, to the extent of supply of Produce out of cultivation of
land.
2. The Government may, on the recommendations of the council, by notification,
specify the category of persons who may be exempted from obtaining registration
under this Act.

Compulsory Registration in Certain Cases – Sec. 24

Notwithstanding anything contained in sub – sec. (1) of sec. 22, the following
categories of persons shall be required to be registered under this Act.

1. Person making any inter- state taxable supply.

2. Casual taxable person making taxable supply.
3. Persons who are required to pay tax under RCM.
4. Person who are required to pay tax under Sub. Sec. (5) of sec. 9
5. Non – resident taxable persons making taxable supply.
6. persons who are required to deduct tax under section 51, whether are not
separately registered under this Act.
7. Person who makes taxable supply of goods or services or both on behalf of uother
taxable persons wheather an agent or otherwise.
8. Input service Distributor, whether or not separately registered under this Act.
9. Person who supply goods or services or both, other than supplies specified under
sub section (5) of section (9), through such electronic commerce operator who is
required to collect tax at source under section 52.
10.Every electronic commerce operator.
11.Every person supplying online information and database access or reterival
services from a place outside India to person in India, other than a registered
person.
12.Such other person of class of the person s may be notified by the Government on
the recommendations of the council.
Procedure for Registration – Sec. 25 :-

1. Every person who is liable to be registered under section 22 or section 24 shall

apply for registration in every such state or union territory in which he is so liable
within 30 days from the date on which be becomes liable to registration, in such
manner and subject to such conditions as may be prescribed.
2. A person seeking registration under this Act shall be granted a single registration
in a state or Union territory may be granted a separate registration for each
business vertical, subject to such conditions as may be prescribed.
3. A person, though not liable to be registered under section 22 or section 24 may get
him self registered voluntarily, and all provisions of this Act, as are applicable to a
registered person, shall apply to such person.
4. A person who has obtained or is required to obtain more than one registration
wheather in one state or Union territory or more than one state or Union territory
shall, in respect of each registration, be treated as distinct person for proposes of
this Act.
5. A Person who has obtained or is required to obtain Registration in a state or Union
Territory in respect of an establishment, has an establishment in another state or
Union Territory, then such establishment shall be treated as establishments of
distinct persons for the purpose of this Act.
6. Every persons shall have a permanent Account Number issued under the Income
Tax Act, 1961 in order to be eligible for grant of registration.
7. Notwithstanding any things contain in sub – section 6, a non – resident taxable
person may be granted registration U/s. (1) on the basis of such document as may
be prescribed.
8. Where a person who is liable to be registered under this Act fails to obtain
Registration, the proper officer may, without prejudice to any action which may
betaken under this Act or under any other law for the time begin in force, proceed
to register such person in such manner as may be prescribed.
9. A registration in sub section 10 of suction 25, any rejection of application for
registration under the SGST and UTGST Act shall be deemed to be rejection of
application for registration under this Act for abut the Unique Identity Number.