Do I need GST registration?

The Goods and Services Tax (GST) is India's unified indirect tax. Whether you must register depends mostly on your turnover and how you sell. This guide helps you work out if registration is mandatory, optional, or not needed yet.

When GST registration is mandatory

You're generally required to register if any of the following apply:

• Your aggregate turnover crosses ₹40 lakh for goods or ₹20 lakh for services in a financial year. In special-category states these thresholds are lower — typically ₹20 lakh and ₹10 lakh respectively.
• You make inter-state supplies — selling goods or certain services from one state to another, regardless of turnover.
• You sell through an e-commerce platform (such as a marketplace), regardless of turnover.
• You're liable under reverse charge, or you're a casual or non-resident taxable person.

Thresholds and conditions can change with notifications. We confirm the current rule for your specific activity and state before you register.

When you might register voluntarily

Even below the threshold, voluntary registration can make sense if:

• Your customers are businesses who want a GST invoice to claim input tax credit.
• You want to claim input tax credit on your own purchases and expenses.
• You're scaling fast and want to avoid a scramble when you cross the limit.

The trade-off is that once registered, you must file returns on time — even "nil" returns — so factor in the ongoing monthly filing commitment.

Regular vs composition scheme

If you qualify, the composition scheme lets small taxpayers pay GST at a lower flat rate with simpler quarterly filings. The catch: you can't claim input tax credit and can't make inter-state supplies. We advise which scheme fits your margins and customer base.

What you'll need to register

• PAN and Aadhaar of the proprietor / partners / directors
• A passport-size photograph
• Proof of business address (utility bill, rent agreement, or ownership proof)
• Bank account details (a cancelled cheque or bank statement)
• The business constitution document (partnership deed, incorporation certificate, etc.)

After you register

Once you have your GSTIN, you'll need to file returns — most commonly monthly GSTR-1 (sales) and GSTR-3B (summary and tax payment) — and reconcile input tax credit. Missing deadlines attracts late fees and interest, so many businesses hand this off rather than track it in-house.