With GST coming in to play in 2016, some of us are still trying to figure out how it works? Are there any loop holes around it and what they are? How do we go about the registration under GST? There are so many questions that yet need an answer for anyone who is running a business or intends to start one. Read on to solving the puzzle that is called GST Registration.
Let’s begin with the basic that is Goods and Service Tax (GST). This destination based tax is to be levied at all stages right from manufacture up to final consumption with credit of taxes paid at previous stages available as set off. With the constant debate of pros and cons of GST registration of companies, here is to solving the puzzle.
There is no doubt that it is beneficial to go ahead with GST registration for your company. Some of the benefits are mentioned below.
- Your company will be legally recognized as a supplier of goods and services.
- There will be proper accounting of taxes on the input goods or services which can be utilized for payment of GST due on supply of goods or services or both by the business.
- You will be legally authorized to collect tax on purchasers and pass on the credit of the taxes paid on the goods or services supplied to purchasers or recipients.
Whenever, there are pros there has to be at least one disadvantage and here it is no different. Although the disadvantage will be to the one who is not GST registered. In other words, the disadvantage here is that, “No person or company, who is not GST registered can neither collect GST from its customers nor claim any input tax credit of GST paid by him”.
Although, it is not easy to take time out to have your company GST registered. Keeping in mind all the documents you need to submit and how long it will take and do all the work manually. It is always helpful to rely on a corporate solution that will do the needful. If you are looking to have your company GST registered or are facing difficulty getting GST number or any other tax related issue be it for one person company registration or private limited company registration. It is always best to rely on experts.