The first step towards getting a GST license involves obtaining a provisional identification number. All eligible businesses that are yet to complete their registration must start the enrollment process as soon as possible. To kickstart the GST registration process, businesses have to file an enrolment form and provide some necessary supporting documents.
What are the GST and GSTIN?
The Goods and Services Tax, better known as GST, is a value-added tax levied on services and goods traded within the country. It is an indirect tax that the consumers pay while purchasing goods or services. Additionally, businesses selling goods and providing services have to pay their share of the dues to the government. Hence, the tax provides the government with additional revenue and eliminates the cascading effect of taxes. The tax came into force in April 2017 and all eligible businesses have to register under this new regime.
The GSTIN, which stands for Goods and Services Tax Identification Number is a tag provided to taxpayers in every state. The number has a predetermined format as per the GST laws in India and consists of 15 digits. The first two digits of the GSTIN represent the state code, and every Indian state has a unique code. While in the past, the Indian taxation system consisted of various indirect taxes, such as VAT and Excise tax, the GST has subsumed several of them. For instance, the GSTIN has replaced the eleven-digit Taxpayer Identification Number or TIN, associated with the VAT. Around the country, businesses are migrating towards the GST system, and hence, business owners need to start their GST registration as soon as possible.
What is An Enrollment Number?
The GST enrollment number helps users log in to the government’s official GST portal. On registration, users receive a One-Time Password or OTP on their registered email ID and mobile number.
Obtaining a Provisional ID and Password
Newly registered businesses can obtain their provisional ID and password for the GST portal directly from their state’s VAT department. All existing taxpayers will receive a unique provisional ID and password, which are mandatory to enrol for the GST. Users can use these to log onto the GST portal and obtain a GST provisional certificate.
Documents Required for Registration
To enrol for the GST, individuals need to have the provisional certificate ID and password, along with the documents mentioned below.
- Personal email id to receive notifications and confirmation
- Bank account number and IFSC code
- Proof of business: Partnership deed, registration certificate, LLP Agreement as a PDF or JPEG file
- Photograph of partners, Karta of HUF, and owners as a JPEG file of under 100KB size.
- Proof of appointment of the authorized signatory as either PDF or JPEG file under 1MB size.
- Bank account details, including an image of the bank account number, branch address, and account holder’s address. These may be found on the bank statement or the front page of the passbook and should be submitted as either a PDF or JPEG file under 1MB size.
Users can enrol for GST registration through the government’s official GST portal using their provisional user ID and password.
The Login page requires the individuals to input their provisional ID provided by the State tax department via email or SMS. Next, the users have to complete a two-step verification process using their One-Time Password and later setting five security questions.
The process can get complicated at this point as applicants need to complete various steps. Additionally, users need to ensure they provide accurate details to prevent further delays in processing the application.
As a result, most individuals rely on third-party legal service providers to help with their enrolment.