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Multiple Businesses - One GST Registration

Vinay B L (IPCC Student) (49 Points)

22 April 2023

Hello Members,

I have a doubt about the registration process of an individual who is doing multiple businesses. He runs a hotel as well as carries on security services. Since it is a proprietary concern, both businesses will have the same PAN.

In such a case, I am of the opinion that the GST registration can also be run under one registration.

I have gone through a couple of articles on Google. It is mentioned that multiple businesses can have single registration. Further, I also have gone through Section 25 of the CGST Act. The act uses the word "May".

Hence I need more clarity about it. I request you help me in confirming my view that multiple businesses can have a single registration.

Regards
Vinay B L

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3 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (183108 Points)
Replied 22 April 2023

Now multiple businesses under same PAN can have multiple registrations as different verticals.

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Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 22 April 2023

Dear Vinay BL

You have correct that under Section 25(2) "May" is mentioned in proviso provided therein, but you have wrongly interpreted it.

It means the person has option that he can have another registration under in state or UT under same PAN .
So that means you can have different line of business under one registration under same PAN.

1 Like

ashish (ca) (82 Points)
Replied 22 April 2023

As per the GST laws in India, a person with multiple businesses can apply for a single GST registration for all their businesses, provided they are registered under the same PAN. Section 25 of the CGST Act, 2017 provides for this provision.

The word "may" used in Section 25 of the CGST Act implies that the taxpayer has an option to apply for a single registration for multiple businesses or separate registrations for each business. However, it is not mandatory to have separate registrations for each business.

Hence, in your case, you can have a single GST registration for your hotel business and security services business, as long as they are registered under the same PAN. This will simplify your compliance requirements and make it easier to file GST returns and maintain records.

It is important to note that if your businesses have different business verticals with different GST rates or if they are registered in different states, then separate registrations may be required.

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