Standardised PPT on GST

INDIRECT TAXES COMMITTEE

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
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This presentation has been prepared to provide a standard ‘user presentation’. The views expressed
in this presentation are those of Speaker(s). The Institute of Chartered Accountants of India may
not necessarily subscribe to the views expressed by the speaker(s).

The information cited in this presentation has been drawn from various sources. While every
efforts have been made to keep the information cited in this presentation error free, the Institute or
any office do not take the responsibility for any typographical or clerical error which may have
crept in while compiling the information provided in this presentation. Further, the information
provided in this presentation are subject to the provisions contained under different acts and
members are advised to refer to those relevant provision also. For clarifications write to us at
idtc@icai.in
© The Institute of Chartered Accountants of India
This standardised PPT may be used by any person with due
acknowledgement to the Indirect Taxes Committee of ICAI.

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 3

Registration

© Indirect Taxes Committee, ICAI

 Sec-22 : Person Liable for Registration 4

▪ Aggregate turnover > Rs20 Lakhs

❑ Special Category States, Aggregate turnover > Rs10 Lakhs
❑ What is Aggregate turnover?
▪ Taxable Supplies + Exempt Supplies + Exports + Inter State Supplies
❑ Taxable supplies does not include Alcoholic Liquor for human
consumption
▪ Cocktails
❑ Will it include turnover on which tax needs to be paid under reverse
charge?
▪ Specific exclusion of inward supplies liable under reverse charge basis

© Indirect Taxes Committee, ICAI

 Sec-22 : Person Liable for Registration 5

▪ Registration is required in the State from which he makes taxable supply.

▪ GST is destination based tax, tax goes to the “destination” State but
registration is in the “Origin State”.
▪ Person registered / licensed under erstwhile law on day immediately
preceding the appointed date.
▪ Transfer of Business –Transferee to obtain registration in case of
• Sale
• Succession
• Amalgamation or De-merger

© Indirect Taxes Committee, ICAI

 How the Aggregate Turnover calculated? 6

XYZ Ltd

Mumbai Unit Assam Unit

(Turnover) – Rs (Turnover) –
11 Lakh Rs 11 Lakh

▪ Assam unit is a special category state wherein the registration limit is Rs 10 lakhs.
▪ XYZ Ltd required to take registration in Assam Unit due to Aggregate turnover > 10
Lakhs
▪ Now, Whether for Mumbai Unit registration required ?
▪ Ans. Even though Aggregate Turnover is < 20 Lakhs, registration would be mandatory
for Mumbai Unit by virtue of mandatory registration in Assam

© Indirect Taxes Committee, ICAI

 Sec 23. Person not liable to register 7

▪ Person exclusively engaged in Goods / Service

❑ Not liable to tax, or
❑ Wholly exempt from tax under CGST, or
❑ Wholly exempt from tax under IGST

What about a person exclusively engaged in supply of goods which

attracts NIL rate of tax?
Ans. Not required to take registration

(“Exempt Supplies” distinguish “NIL rate” from “wholly exempt” )

© Indirect Taxes Committee, ICAI

 Sec 23. Person not liable to register 8

▪ Agriculturist
❑ Only Individual / HUF

Person dealing in agricultural products?

Ans. Only an agriculturist is exempt from registration requirement whom
supply of produce out of cultivation of land. If supplies not linked to the
cultivation of land, he will fall within provision of sec 22 and required to take
registration.

© Indirect Taxes Committee, ICAI

 Exemption from registration 9

Notification No. 5/2017 – Central Tax dated 19th June, 2017

The persons who are only engaged in making supplies of taxable goods or services or
both, the total tax on which is liable to be paid on reverse charge basis by the recipient of
such goods or services or both under sub-section (3) of section 9 of the said Act as the
category of persons exempted from obtaining registration under the aforesaid Act.

Notification No. 32/2017 – Central Tax dated 15th September, 2017

The casual taxable persons, having aggregate turnover not exceeding an amount of Rs.
20 Lakhs ( Rs. 10 Lakhs in case of Special Category States) in a financial year and
making inter-State taxable supplies of handicraft goods availing the benefit of
notification No. 8/2017 – Integrated Tax dated the 14th September, 2017, are exempted
from obtaining registration under the aforesaid Act.

© Indirect Taxes Committee, ICAI

 Exemption from registration 10

Notification No. 10/2017 – Integrated Tax dated 13.10.2017

The persons making inter-State supplies of taxable services and having an aggregate
turnover, to be computed on all India basis, not exceeding an amount of Rs. 20 Lakhs (
Rs. 10 Lakhs in case of Special Category States) in a financial year are exempted from
obtaining registration under the said Act.
Notification No. 65/2017 – Central Tax dated 15.11.2017
The persons making supplies of services, other than supplies specified under subsection
(5) of section 9 of the said Act through an electronic commerce operator who is required
to collect tax at source under section 52 of the said Act, and having an aggregate
turnover, to be computed on all India basis, not exceeding an amount of Rs. 20 Lakhs (
Rs. 10 Lakhs in case of Special Category States) in a financial year, as the category of
persons exempted from obtaining registration

© Indirect Taxes Committee, ICAI

 Exemption from registration 11

▪ Notification No. 7/2017 – Integrated Tax dated 14.09.2017

Job workers engaged in making inter-State supply of services to a registered
person are exempted from obtaining registration under the said Act, except:-
a) who is liable to be registered under sub-section (1) of section 22 or who opts to
take registration voluntarily under sub-section (3) of section 25 of the said Act;
or
b) who is involved in making supply of services in relation to the goods mentioned
against serial number 151 in the Annexure to rule 138 of the Central Goods and
Services Tax Rules, 2017

© Indirect Taxes Committee, ICAI

 Sec 24. Compulsory Registration 12
▪ Notwithstanding Section 22
1. Inter-State 3. Person Required
Taxable 2. Casual Taxable to pay tax under
supply persons making Reverse Charge
taxable supply
4. Required to pay 6. Required to
tax under sub- 5. NR Taxable deduct tax under
section (5) of persons making section 51
section 9 Taxable supply

7. Making taxable 9. Every Electronic

8. Input Service
supply as an Agent commerce operator
Distributor
or otherwise

10. Supplier of OIDAR
services from outside India to
a to a person in India o/t
Registered person
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11. Other than supplies specified
under sub-section (5) of section 9
such e-commerce operator who is
required to collect tax at source under
sec-52
12. class of persons as may
be notified by the Govt –
Council recommendation
 Procedure for Registration – Sec 25 13
▪ Application to be filed online in each State/UT within 30 days.

Registration in some special cases

Casual Dealer/Non resident
Person supplying from territorial waters
of India
Will have to apply 5 days prior to the
commencement of business
Shall take registration in coastal state/UT
where the nearest point of appropriate
baseline is located

▪ Single registration in a State or Union Territory.

If having a Multiple business verticals in a State or Union Territory may be granted separate
registration

© Indirect Taxes Committee, ICAI

 Procedure for Registration – Sec 25 14

▪ A person, though not liable to be registered under section 22 or section 24 may

get himself registered voluntarily, and all provisions of this Act, as are
applicable to a registered person, shall apply to such person.
▪ A person who have more than 1 registration, each such registrations, be treated
as distinct persons.
▪ A person who have take registration in respect of an establishment & have
more establishments as well then, each such establishments, be treated as
establishments of distinct persons.
▪ Requirement of PAN/TAN (under Sec 51) is mandatory for grant of registration.
▪ NR may get the registration without PAN & TAN under sub-section (1) as per the
prescribed documents.

© Indirect Taxes Committee, ICAI

 Procedure for Registration – Sec 25 15
▪ In case of failure of registration, the proper officer may proceed to register such
person in such manner as may be prescribed.
▪ Not withstanding sub-section(1), any special agencies of the UN organization
shall be granted Unique Identity Number, as prescribed.

Registration or
The registration
UIN deemed to
or UIN shall be Certificate shall
be granted after
granted or be issued in
expiry of
rejected after such form as
prescribed
due may be
period if no
verification. prescribed date
deficiency
communicated

© Indirect Taxes Committee, ICAI

 Registration Process
16

• Form GST • Approval within 3

Reg-01 Verification working days
• Part A (PAN, e- • If satisfactory
Mail, Mobile ▪ Initial verification clarifications received–
within 3 working approval shall be given in
Verification) next 7 days
days
• Part B (Other • If clarifications not
▪ Clarifications/inf
details) satisfactory- intimate the
o required –
• Ack. Form Form GST Reg-03
rejection in Form GST
GSTReg-02 REG-05
▪ Applicant furnish • Deemed registration--No
• Submit the clarifications in action taken within 3/7
relevant docs Form GST Reg-04 working days
within next 7
Application working day
Approval
/Rejection

Said process applicable to Inter-state, Voluntary,

Casual, Reverse Charge, ISD, Agents, E-com 17 days
Process
Registration Certificate is Issued in Form GST Reg-06
© Indirect Taxes Committee, ICAI
 Rule-10 : Registration Certificate 17

Certificate in Form GST REG-06 with GSTIN of 15

digit on GST portal

00AAAAA0000A000 Entit
State Check
Code
PAN Number y
sum
Code

© Indirect Taxes Committee, ICAI

 Rule 11 : Registration of Business vertical 18

▪ Any person having a Multiple business verticals in a State or Union

Territory requiring separate registrations subject to following
conditions:-
❑ More than one business vertical as defined in clause (18) of section 2.
❑ Registration of business vertical shall not be granted u/s 10 if any one of the other
business verticals of the same person is paying tax u/s 9.
❑ Supply made b/w all separately registered business verticals of same person
shall issue a tax invoice among themselves for such supply.
▪ Separate application form GST REG-01 required for registration of
each vertical.
▪ Provisions of rule 9 and rule 10 relating to the verification and the
grant of registration shall, mutatis mutandis.
© Indirect Taxes Committee, ICAI
 Rule 12 : Grant of registration to persons required to
deduct tax at source or to collect tax at source 19

Submit application in Form GST REG -07

Certificate of Registration issued in GST REG-06 within 3

working days

Registration Certificate may be cancelled as per Rule 22

by Proper Officer if that person no longer to deduct tax at
source under section 51.

© Indirect Taxes Committee, ICAI

 Rule 13: Registration of non resident
20
taxable person
Submit application along with Passport for registration duly
signed & verified through electronic mode

In FORM GST REG-09, at least 5 days prior to the commencement

of business

Business entity incorporated or established outside India:

Application submitted along with Tax identification number
or unique number

• A temporary reference number by the common portal shall be given only

after making an advance deposit
© Indirect Taxes Committee, ICAI
 Rule 14 to 17 21

(R-14) Supplier of Submit application

Registration
OIDAR services from in Form GST REG-10
granted in Form
Outside India to non- either directly or via
GST REG-06
taxable online receiver Facilitation Centre

(R-16) Proper officer In case of appeal by

Person granted
may register on a said person against
the Temp
temp. basis in FORM temp registration,
registration shall
REG-12 in case of application submit with
suit application in 30 days of App Auth.
failure of registration
with 90 days order
by person
Proper officer after receiving
(R-17) Person granted UIN recommendation from Ministry of
submit application elect. External Affairs issue certificate for
in Form- GST REG-13 assign UIN in GST REG-06 within 3
© Indirect Taxes Committee, ICAI days
 Section 26: Deemed Registration 22

Grant of registration or UIN under SGST Act or UTGST Act shall be

deemed to registered under this Act as well.

• Condition that application of registration or the UIN has not been rejected under
this Act within time specified in sub-section (10) of Section 25.

Notwithstanding sub-section(10) of section 25, any rejection of

application of registration or UIN under STGST or UTGST shall be
deemed to be a rejection of application under this Act.

© Indirect Taxes Committee, ICAI

 Section 27: Casual taxable person 23

First registration Advance deposit of tax =

will be granted for Amount will
Estimated tax liability of be credited to
90 days (further such person for the period
extension by 90 electronic
at the time of taking cash ledger
days) registration
A person applying for registration as a casual taxable person shall be given a
temporary reference number by the common portal for making advance deposit of
tax in accordance with the provisions of section 27 and the acknowledgement under
sub-rule (5) shall be issued electronically only after the said deposit. (Rule 8).

A registered Casual taxable person or Non- resident taxable person intends to extend
the period of registration may file an application in FORM GST REG-11 before the
end of registration validity granted to him.

© Indirect Taxes Committee, ICAI

 Registration Provisions, Non-Resident
Taxable Person – Sec 27 24

Registration Time period Advance Deposit

• Person who • Certificate of • They shall be

occasionally, Registration required to make
undertakes issued to such advance deposit
transactions persons shall be of estimated tax
involving supply valid only for a liability net tax at
of goods and period of 90 Days. the time of
services, and who [Can be extended registration and
has no fixed maximum by additional deposit
place of business further 90 days] of tax in case of
in India. extension.

© Indirect Taxes Committee, ICAI

 Amendment in Registration – Sec 28 25

▪ Any change in registration has to be informed within 15 days of change.

▪ Proper officer may approve / reject amendment.

▪ No rejection without giving an opportunity of being heard.

▪ Rejection of amendment under CGST will be a deemed rejection under

SGST and vice-a-versa.

As per Notification No. 75/2017 - Central Tax, Dated 29th December, 2017 It
may be noted that amendment in Registration Certificate (in Form REG-14)
will stand amended only from the date of application for amendment.

© Indirect Taxes Committee, ICAI

 Cancellation of Registration – Sec 29
Reasons for cancellation 26
▪ Cancellation can be done by Proper Officer suo motu or on application made by the
registered taxable person:-
❑ Transfer of business or discontinuation of business
❑ Change in the constitution of business. (Partnership Firm may be changed to Sole
Proprietorship due to death of one of the two partners, leading to change in PAN )
❑ Persons no longer liable to be registered under Section 22 or 24 (Except when he is voluntarily
registered)

▪ Cancellation can be done by Proper Officer including retrospective date as deem fit :-
❑ Where registered taxable person has contravened provisions of the Act as may be prescribed
❑ A composition supplier has not furnished returns for 3 consecutive tax periods/ any other
person has not furnished returns for a continuous period of 6 months
❑ Non-commencement of business within 6 months from date of registration by a person who has
registered voluntarily.
❑ Where registration has been obtained by means of fraud, willful statement or suppression of
facts.
An opportunity of being heard provided by Proper officer before cancellation.
© Indirect Taxes Committee, ICAI
 Cancellation of Registration – Sec 29 27

▪ Liability to pay tax before the date of cancellation will not be affected;
▪ Cancellation under CGST Act will be deemed cancellation under SGST Act and
vice-versa;
▪ Amount required to be pay by debit of Electronic credit/ cash ledger,
equivalent to the:-

Input Tax Credit in respect of Inputs:-

• Held as Stock OR
Output Tax Payable
• Semi-finished or finished goods held as stock.
• Capital Goods or Plant & machinery

Which ever is higher

▪ In case of P & M or Capital Goods, an amount shall pay = (ITC taken - % points prescribed)
or tax on Transaction value, whichever is higher.
© Indirect Taxes Committee, ICAI
 Sec-30 Revocation of Cancellation of
28
Registration

▪ Any registered person, whose registration is cancelled by Proper

officer, may apply to officer for revocation of cancellation in
prescribed manner within 30 days from date of service of order.
▪ Proper officer as per prescribed manner, either revoke cancellation
of the registration or reject the application.
Application cannot be rejected without giving an opportunity of
being heard.
▪ Revocation of cancellation under CGST will be a deemed revocation
under SGST and vice-a-versa

© Indirect Taxes Committee, ICAI

 Cancellation of Registration – Sec 29 29
SL No Form No Title of the Form
1 GST-REG-01 Application for registration

2 GST-REG-02 Acknowledgement

3 GST-REG-03 Notice Seeking Additional information/ clarification/ documents relating to

application for registration / amendment / cancellation

4 GST-REG-04 Furnishing clarification sought in GST REG03

5 GST-REG-05 Order of rejection of Application

6 GST-REG-06 Registration Certificate issued

© Indirect Taxes Committee, ICAI

 Cancellation of Registration – Sec 29 30
SL No Form No Title of the Form

7 GST-REG-07 Application for Regn of Tax Deductor / Tax Collected at source

8 GST-REG-08 Order of cancellation of registration as Tax deductor or Tax collector at source

9 GST-REG-09 Application for Registration for Non Resident Taxable person

9A GST- REG-9A Application for registration for OIDRS by Non Resident Taxable person

10 GST-REG-10 Application for extension in period of causal taxable person or non resident
taxable person
11 GST-REG-11 Temporary Suo Moto Registration

12 GST-REG-12 Application to grant UID

© Indirect Taxes Committee, ICAI

 31

Thank You
For any Clarification, Please Contact
Indirect Taxes Committee of ICAI
Email: idtc@icai.in, Website: www.idtc.icai.org
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