A taxable person under GST is an individual who carries on some business anywhere in India and is registered or required to register under the GST Act. Any individual engaged in business activity, like trading, is regarded as a taxable entity.
‘Person’ means individuals, HUF, business, company, LLP, AOP/BOI, any organization or government company, a private body organized under foreign laws, cooperative society, municipal authority, administration, trust, or artificial legal entity.
Who should get Registered under GST?
Registration of the GST is necessary for-
Any company or any business engaged in the supply of products and their yearly turnover in a financial year exceeds Rs 40 lakh for Normal Category States (Rs 20 lakh for the Special Category States)*
Note: If the turnover is the procurement of only exempt goods/services covered under the GST, this provision does not qualify.
- Any corporation engaged in the provision of services whose revenue for the Regular Category States reaches Rs 20 lakhs in a financial year (Rs 10 lakhs for the Special Category States).
- Any individual who is approved under an earlier law like Excise, VAT, Service Tax, etc.) must also be registered under GST.
- Where a registered undertaking has been passed to someone/demerged the transferee shall, with effect from the date of transfer, take registration.
- An individual who supplies inter-state supplies.
- Casual taxable persons (see below).
- Taxable Non-Resident Citizen (see below).
- A supplier’s officers
- Those paying tax under the scheme of the reverse charge
- Distributor of Input Operation (see below)
- Operator for e-commerce or aggregator
- A person who supplies through an e-commerce aggregator
- An individual offering internet access or retrieval (OIDAR) details and database services from either a location beyond Indian territory to a person in India apart from a registered taxable person.
What is a Casual Taxable Person In GST?
A casual taxable person is an individual who sometimes sells goods or provides services but does not have a fixed business location and falls in the region whereby GST is available, As per GST, such an individual would be regarded as a casual taxable person.
Example: A individual who has a business address in Bangalore and offers taxable consultancy services in Pune where he does not have a business location will be viewed in Pune as a casual taxable person.
When did a Non-Resident person under GST become taxable?
Where a non-resident sometimes provides goods/services in a jurisdiction in which GST occurs, and do not have a permanent establishment located in India. As per GST, it will be considered a taxable non-resident. It is identical to all the above other than that the non-resident has really no business premises in India.
Type of Taxable Person Under GST
- Each individual shall register for registration in each State in which he or she is responsible within thirty days of the date on which he or she remains responsible for registration.
- Casual/non-resident taxable individuals are expected to apply at least five days prior to the launch of the operation.
- The GST registration number will be dependent on the PAN and it would therefore be a requirement for registration to have a PAN.
- For each Province, the assessee should acquire specific registration, as registration under GST would be State-wise.
- For each ‘company vertical’ in the very same Jurisdiction, the applicant does have an option to receive a different registration.
Special registration for casual taxable individuals and non-resident taxable persons
A casual taxable person or a non-resident taxable individual shall generally apply 5 days before the start of the company for registration. Specific rules concerning casual taxable persons and non-resident taxable persons within GST are laid down in section 24.
Casual/non-resident taxable individuals can for a duration of 90 days, receive temporary registration.
An entity that receives registration 24 would be obliged to make an advance GST deposit.