GST Registration requirements in multiple states

Page no : 2

pallavi (student) (24 Points)
Replied 15 April 2019

#CAanswers He require regsitration in both the states maharashtra and uttarakhand. As per section 22 of the cgst act 2017, a supplier is liable to be registered in the state/ut from where he makes a taxable supply of goods or services or both if his aggregate turnover in a f.y. exceeds 20 lakh. If such taxable supplies are made from special catoegary states he shall be liable to registered if his aggergate turnover in a f.y exceeds 10 lac. As per section 2(6) of the cgst act 2017, aggregate turnover includes the aggregate value of: All taxable supplies , exempt supplies, export of goods or services, all inter state supplies having same pan. The above is computed on all india basis. In this case, he is making taxable supply from maharashthra which is not a speicifed state so threshold limit is 20lac for registration. """"The threshold limit will not be reduced to 10 lacs even though uttarakhand is one of the special states,the threshold limit of 20lac is applicable bcz supply of alcohol for human consumption is are non taxable supplies in terms of section 9(1) of cgst act 2017. Hence,maharasthra cross 20 lac limit. He is liable to take registration in maharashtra as well as uttarakhand. Because supply is taken on pan basis. Section 23 says a person making exclusively non taxable supply. Person means pan basis. In uttarakhnd also registration is required because he is supplying taxable goods in maharshtra.

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Dhivya S (Student) (22 Points)
Replied 15 April 2019

#CAanswers As per the provisions set out in Sec 22 of CGST Act 2017, a business needs to get registered under GST if the turnover crosses Rs.20lks( now increased to Rs.40lks wef 01.04.2019 via notification by CBIC) and for special category states, if the turnover crosses Rs.10lks. Section 23 of the said act contains provisions for Persons not liable to obtain GST Registration. One of the provisions is that a person who exclusively makes non-taxable supply is not required to obtain GST registration. In view of the above provisions when applied to the given case, it can be seen that the taxable supply in Maharashtra is Rs.16lks and non-taxable supply in Uttarakhand is Rs. 5 lks. Now, since the supplier is not engaged 100% only in supply of Alcohol for human consumption but also makes taxable supplies, he needs to obtain registration in both States of Maharashtra and Uttarakhand as Aggregate turnover exceeds Rs. 20lks.

Ekta Thacker (Chartered accountant) (22 Points)
Replied 15 April 2019

As per section 22 of CGST Act, supplier shall be laible to for registration if his aggregate turnover in a financial year other than special category states- exceed 20 lakhs and in special category states- exceed 10 lakhs..and as per section 2(6) aggregate turnover includes exempt supply. Here in given que ABC Ltd makes taxable and exempt i.e 16+5 total amounting 21 lakhs which exceed the registration limit as stated above for both the states..hence ABC Ltd. is required to get registration in both that states. #CAanswers

Ka Srinivas (24 Points)
Replied 15 April 2019

Maharashtra only

smnti jain (39 Points)
Replied 16 April 2019

Originally posted by : Kush Khair
	#CAanswers At Both places. They are using the some PAN. So assuming they are using two entities so they need to be registered in both regions

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Antony Mathew George (6 Points)
Replied 16 April 2019

Uttarakhand has 20 lakhs as it's exemption limit. Also, where the supply involved is in both special category and other states the limit of special category is to be taken. So he becomes laible for registration considering turnover but for all the place of business where taxable supply occur will be registered

Antony Mathew George (6 Points)
Replied 16 April 2019

Typo it's 10

Pankaj Goel (15 Points)
Replied 17 April 2019

Originally posted by : Antony Mathew George
	The analysis is to be made in the following manner, what is aggregate turnover. It includes exempt supply and what is exempt supply? It includes non taxable supplies also. So alcohol for human consumption is an exempt supply. The aggreagte turnover has to be calculated on Pan India basis. Then the place of business has to be checked. The place of business involves uttarakhand, a special category state. However for registration and composition scheme the limits have been definied as 20 and 1 crore for uttarakhand also. Hence the 20 lakh limit is to be checked. And therefore 16+5=21 lacs is the aggreagte turnover. And he is liable to take registration for every place where there is a taxable supply and is exempt from taking registration where there is exclusively exempt supplies. So in this case he has to take registration only in Maharashtra. However if there is any interest state supply made then compulsory registration will happen.