Finance

The Ethical Urge to Apply for GST Number

Now that the new taxation regime has come into effect, the people of this nation has formed an ant-line in front of the financial advisors and chartered accountants. And it is completely ethical for people to seek for an assistance in order to comply with the rules and regulations formed by the government. But even the well-experienced accountants cannot respond frequently to every query that is made by the public.

This situation was foreseen already when the government started to restructure the taxation law. It can be agreed that the law is strenuous and the rules are complex. But apart from all the unfavorable feedbacks, the GST Act has made its mark on the people and gradually on the economy as well. And the results following the virtuous support of the people for GST will be commendable.

The most important task for a taxable person to do under the GST Act is to apply for the GST number. But that requires registration. Although the process of registration under the GST Act is quite easy if you are backed-up with the proper and required documents. The PAN card number is strictly required to make the registration under the GST. In case, if the person is a non-resident, then the photocopy of passport would be required in the place of the PAN card number.

The other documents you will require to apply for GST number in India are:

  1. A valid Indian mobile phone number
  2. An email address belonging to the person applying for the registration
  3. The location proof the business
  4. All the jurisdiction details and records
  5. An Indian bank account number
  6. A duly signed document of at least one proprietor or partner of the business with PAN
  7. A third-party guarantor who should be a resident of India

After the successful submission of the documents, the application is verified by the assigned authority. If there is no discrepancy, then the application is approved and the person applying is provided the GSTIN number.

Must remember fact- The GST registration is free of cost through government portals

What is GSTIN?

GSTIN is the unique identification number provided to the businesses that are successfully registered under the GST Act. GSTIN is basically a 15-digit number that consists of the following details:

  • The first two digits in the number reflect state code as prescribed by the government. Suppose the registration is done from the Indian state Uttar Pradesh, then the code will be 09
  • The next 10 digits reflect the PAN card number of the business entity or the manufacturer/dealer/exporter/trader
  • The 13th digit in the GSTIN number reflects the number of the GST registrations made by the single entity within the same state. It first starts with the numeric digits 1-9 and then A-Z, depending upon the number of registrations made
  • The 14th digit is a default alphabet ‘Z’
  • The 15th digit in the GSTIN number reflects the check-code that is used for the error-detection purposes

It is very crucial to make sure that if in case you are using a service to get your registration done according to the India’s GST registration rules and further receive the GSTIN number, it should be in the above-mentioned format. As this new taxation regime is on the boom because of its influence on everyone’s business and taxpaying status, few organizations are tricking innocent and unaware people in the deceptive GST registrations.

Prevent yourself from being a victim

The best way is to look up for the government assured platforms. And even if you are referring any private service, always cross-check the process that whether it makes sense and creates sync with the prescribed procedures or not. The fraudulent organizations, with their lucrative offers, will try to convince you to visit their web of lies. One must step back immediately in such conditions. The documents that are required for the GST registration process are highly sensitive. It costs a person’s lifetime to not leave a single stone unturned and build a reputable character and status.

Hence, in today’s world, everyone is well aware of the fact that one’s document is the mirror image of the person himself. So, do not let irrelevant people ruin what you have made. The GST is mandatory but only effective when done smartly.