GST Registration in Patna: A Comprehensive Guide

GST Registration is an essential process for businesses operating in India, and Patna is no exception. With the implementation of the Goods and Services Tax (GST) regime in 2017, businesses are required to register under GST to ensure compliance with tax regulations and avoid penalties. This article will provide a comprehensive guide on the process of GST Registration in Patna, the benefits of registering, the types of GST in India, required documents, and more.

Understanding GST Registration

Goods and Services Tax (GST) is an indirect tax that replaced multiple state and central government taxes on the sale of goods and services. It is a destination-based tax, and the GST Council, consisting of finance ministers from the central and all state governments, governs the rules, rates, and regulations of GST.

GST Registration is mandatory for businesses in Patna whose annual turnover exceeds Rs. 40 lakhs or Rs. 10 lakhs for specific businesses in hill areas. However, some businesses are required to register under GST even if they do not exceed the pre-defined turnover threshold. For example, e-commerce businesses must have a GST certificate.

Advantages of GST Registration

1. One nation, one tax system: Simplifies the tax structure, making it easier for businesses to comply.
2. Consolidation of goods and services under one umbrella: Reduces the number of taxes businesses need to manage.
3. Sale and purchase with invoices/bills: Ensures transparency in transactions and reduces tax evasion.
4. Input tax credit utilization: Businesses can claim input tax credit for the taxes paid on their purchases, reducing their tax liability.
5. Interstate trade: Facilitates trade between states without restrictions.

GST Registration Process in Patna

The GST registration process in Patna is simple and can be completed online. The steps involved in the registration process are:

1. Documents preparation: Gather all the necessary documents required for the registration process.
2. Filing on the GST portal: Submit the documents and complete the application on the GST portal.
3. ARN (Application Reference Number) issuance: Receive an ARN as an acknowledgment for the submitted application.
4. GSTIN (Goods and Services Tax Identification Number) issuance: Obtain a unique 15-digit GSTIN from the department.

It generally takes around 2-7 working days for the entire process to be completed in Patna.

Types of GST in India

There are four types of GST in India:

1. SGST (State Goods and Services Tax): Levied by the state governments on intra-state transactions.
2. CGST (Central Goods and Services Tax): Levied by the central government on intra-state transactions.
3. IGST (Integrated Goods and Services Tax): Levied by the central government on inter-state transactions and imports.
4. UGST (Union Territory Goods and Services Tax): Levied by the union territories on transactions within the territory.

Documents Required for GST Registration in Patna

There are several mandatory documents required for the GST registration process in Patna. The list of documents varies depending on the type of business entity.

Checklist for Proprietorship/Individual

• PAN Card
• Aadhaar Card
• Passport Size Photograph
• Any 2 Business Address Proof (Electricity Bill, Property Document, Rent Agreement, NOC, Consent Letter)
• Cancelled Cheque / Bank Statements
• Email Id, Mobile No
• Business Name and Business Activities

Checklist for HUF (Hindu Undivided Family)

• PAN Card of Karta
• Aadhaar Card of Karta
• Passport Size Photograph of Karta
• HUF Deed
• PAN Card of HUF
• Authorization Letter
• Any 2 Business Address Proof (Electricity Bill, Property Document, Rent Agreement, NOC, Consent Letter)
• Cancelled Cheque / Bank Statements
• Email Id, Mobile No
• Business Name and Business Activities

Checklist for Partnership Firm

• PAN Card of each Partner
• Aadhaar Card of each Partner
• Passport Size Photograph of each Partner
• Partnership Deed
• PAN Card of Partnership Firm
• Primary Signatory Authorization Letter
• Any 2 Business Address Proof (Electricity Bill, Property Document, Rent Agreement, NOC, Consent Letter)
• Cancelled Cheque / Bank Statements
• Email Id, Mobile No of each Partner
• Business Name and Business Activities

Checklist for Company / LLP

• PAN Card of each Director / Designating Partner
• Aadhaar Card of each Director / Designating Partner
• Passport Size Photograph of each Director / Designating Partner
• COI (CIN No) / LLPIN Certificate
• PAN Card of Company / LLP
• Primary Signatory Authorization Letter
• Any 2 Business Address Proof (Electricity Bill, Property Document, Rent Agreement, NOC, Consent Letter)
• Cancelled Cheque / Bank Statements
• DIN No / DPIN No, Email Id, Mobile No of each Director / Designating Partner
• Business Name and Business Activities

Who Needs GST Registration in Patna?

The following entities need to register for GST in Patna:

1. Businesses with an annual turnover exceeding Rs. 20 lakhs (Rs. 10 lakhs in special category states).
2. Businesses providing goods and services outside of the country.
3. Businesses selling their goods or services online (e.g., on Flipkart, Amazon, Jio Store, etc.).
4. Businesses that were previously registered under VAT, Excise Laws, or Service Tax Laws.
5. Businesses dealing in multiple states.

Different Types of GST Registration

There are various types of GST registration, depending on the business’s requirements and circumstances:

1. Compulsory Registration: Businesses must register under GST in specific scenarios.
2. Voluntary Registration: Businesses can opt for GST registration even if they do not have a legal obligation. This option is chosen by businesses that want to avail the Input Tax Credit facility.
3. Registration under Composition Scheme: This is a voluntary and optional scheme for registering under GST, which offers simpler compliance and fewer returns to be filed. The tax is to be filed at a fixed rate. If the maximum business turnover is Rs. 1.5 crores and the sale is within the state, they can opt for GST Registration under the Composition Scheme.
4. No Registration: If the business does not fall under the conditions for compulsory registration, GST Registration is not required.

Guidance for Opening a Business Current Account in Patna

Opening a business current account is essential for managing your business finances effectively. Some features of a business current account include:

• Zero Balance Current Account
• Same-day account activation
• Unlimited transactions like IMPS, UPI, NEFT, and RTGS
• Online Internet Banking Services
• Mobile App Banking Services
• Free Cheque Book
• Loan and Business Credit Facility
• Information about Income Tax Return

Free Accounting & Billing Software in Patna

Several Accounting and Billing Software products are available free of cost for tax payers with an annual turnover of less than INR 1.5 crore. Some of these products include:

1. Adaequare Info Private Limited – uBooks
2. Cygnet Infotech Private Limited – Cygnet FACE
3. Focus Softnet Private Limited – FocusLyte
4. IRIS Business Services Limited – CaptainBiz (formerly Vyapari)
5. Relyon Softech Limited – Saral Accounts
6. Seshaasai Business Forms Private Limited – GenieBooks
7. Zoho Corporation Private Limited – Zoho Books

Penalty for not Registering GST

Failing to register for GST can result in penalties. If you pay less tax due to a genuine mistake, you will be charged a penalty of 10% of the tax amount (minimum of Rs. 10,000). However, if you evade the tax entirely, you may have to pay a penalty of 100% of the GST amount.

To avoid hefty penalties, it is crucial to register your business for GST. Partner with a reliable GST Consultant to ensure a hassle-free registration process and compliance with tax regulations.

Why Choose a Professional GST Consultant in Patna?

When opting for GST Registration and seeking the best GST services in Patna, it is essential to choose a professional GST Consultant who can guide you through the process and ensure compliance with tax laws. Some reasons to opt for professional GST services include:

1. Value for Money: Competitive pricing for GST services ensures you receive the best value for your investment.
2. Responsive Team: A dedicated team that promptly addresses your queries and assists you throughout the GST registration process.
3. Expertise: A professional GST Consultant has the knowledge and experience to navigate the complexities of the GST laws and ensure successful registration.

In conclusion, GST Registration is a vital aspect of running a successful business in Patna. By understanding the process, benefits, and types of GST Registration, businesses can ensure compliance with tax regulations and avoid penalties. Partnering with a professional GST Consultant can help businesses navigate the complexities of GST laws and achieve a seamless registration process.