Who Needs to Register for GST and Why Is It Mandatory

Let’s be honest, GST can feel complicated to digest, especially if you are beginning your career as a business owner or freelancer. Many business owners in Chennai ask themselves this as well. The fact is, if you carry on with any business that meets certain thresholds limits or supplies certain categories, GST registration is not optional it is compulsory. Although there are legitimate and experienced GST registration consultants in Chennai that can help this process be more efficient and able to take a lot of stress out of the process.

What Is GST Registration?

GST (Goods and Services Tax) is an all-comprising indirect tax in India that replaces several taxes imposed by the states and at the central level. GST Registration is a registration process for businesses or entities so they can be registered under GST law and be assigned a GSTIN (GST Identification Number). 

Once a business is registered, they can collect GST from customers, and also can claim Input Tax Credit (ITC) on purchases, which offset tax liabilities.

But most importantly, without GST your business might face legal and financial consequences.

Who needs GST Registration?

If you are one of the following; you must register for GST:

• Annual turnover of more than ₹40 lakh (₹20 lakh for service provider in most states)
• E-commerce sellers (Amazon, Flipkart, Shopify, etc.)
• Suppliers of goods or services in other states
• Casual taxable persons or non-resident taxable persons.
• Input service distributor (ISD)
• This includes freelancers and consultants providing services across states.
• Entities who want to claim ITC or sell to other registrants.

If you or your business falls into any of these categories, then you need to speak with the GST registration consultants in Chennai and get your GST IN sooner rather than later.

Why Is Registration Mandatory?

GST is not just like any other law it is  part of the process of conducting business in India legitimately. Here is why you cannot avoid registration:

• Law: Not registering when required is against the law and can result in penalties.
• Build Trust: Customers and partners regard registered businesses as more trustworthy.
• Claiming Input Tax Credit (ITC): You cannot claim ITC without registration, meaning you pay higher amounts.
• Will not get B2B work: Most businesses will not work with unregistered suppliers.
• Filing GST returns: Registered businesses can regularly file their GST returns.
• If you're unsure whether you are at the compulsory level, best to approach the best GST registration consultants in Chennai to help you determine your business type and revenue model.

Common Errors Made and Description as To How They Were Avoided

Regardless of the percentage you think might be included in the following, just to assist any sir or madam business owner or freelancer with this.

• Missed out on GST threshold thresholds
• Delayed registration until penalties added up
• Paid the taxes because the payment was incorrect or because of lack of understanding on what to do, therefore causing incorrect amounts
•  Did not coordinate with GST Filing and Income Tax Returns

To prevent these occurrences, where possible paid for advice from not only GST Compliant, but also the services related to filing, as Income Tax Returns are standard for reliable Income Tax Return Filing Consultants In Chennai, you can get a complete package for financial compliance.

Finally, make sure you to pay attention to GST Return Filing

Now, as you have registered the next process, being a continued process of GST Filing declaring, Sales, Purchases, taxes collected, ITC as claimed. Businesses in Chennai typically use professional GST Filing Chennai, because the thinking is that we may get it done in the time frame while avoiding mistakes. To get it right and done - to make sure nothing goes wrong, file before deadlines or any other requirements related to filing or submitting. Incorrect and late filings can incur penalties, denying you the opportunity to use ITC, private notice or letters from tax.

Conclusion  

Today’s regulatory environment demands compliance with the GST along with the myriad of other requirements of any serious business. Whether it is registration, monthly GST filing or even compliance with income tax - it is wise to get the right assistance. Those experienced in GST registration in Chennai can assist through the complex process, GST filing Chennai services ensure deadline compliance by their clients. Chennai Accounts will assist with registering, returning filing and future advice on GST and compliance - they offer a packaging approach to compliance. Think of them as a partner and freed up resources to help your business grow.