GST (Goods and Service Tax) Registration is essential for every entity of business kind. This also applies to proprietorship companies. There is, however, a lot of misunderstanding. This is why we will know more about the GST registration for Sole ownership companies in this research. |
Know about Proprietorship Firm
The sole owner is a firm, which owns the company and is also responsible for the administration of businesses. The sole owner is the perfect means to select when using limited resources and funds to establish your firm.
Furthermore, the most practical kind of business if you wish to fulfill your plan of business with the least legal compliance and minimum operational expenditure. Single ownership does not require legal procedures to start up a firm in India although some registrations are both required and advantageous, such as GST registration or MSME registration.
Know about GST Registration
Goods and Services Tax is a consolidated indirect tax policy that encompasses VAT, CST, Service Tax, Central Excise duty, Entertainment Tax, etc and is valid all over India with effect from 1st July 2017. The individual who is indulged in inter-state supply of taxable goods and services has to pay tax. Also, all e-commerce companies are eligible for GST Registration.
Furthermore, if you are doing business across the state boundaries in terms of services and getting an annual turnover of Rs. 20L or in terms of goods reaching Rs. 40L benchmark, then you will have to go for GST Return Filing.
When to get GST Registration for Proprietorship Firm?
In the following circumstances, GST registration for a sole proprietorship company is mandatory-
When sales exceed 40 lakh rupees per year
When the company sells items or services between different countries
If the company wants to claim the credit for the input tax on the purchase.
On a voluntary basis
How to get GST Registration for Proprietorship Firm?
The process may be done online with the GST registration system. A comprehensive application form and a correct presentation of papers are part of the registration procedure. The best way to obtain GST registration is to have it readily obtained from professionals.
To know more in detail about GST Registration for Proprietorship Firm.
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