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December 30, 2022
By
Shreeja Ray

How to Do GST Registration of Partnership Firm?

Anyone in India is able to establish a partnership business through the use of either a written or verbal agreement. In accordance with the terms of this agreement, a group of persons (at least two) have come to the conclusion that they will divide the profits made by the company, which may be operated by any one of the partners or by all of them together. Partnership businesses are required to provide a partnership deed to the Internal Revenue Service (IRS) as evidence that the partnership actually exists. In addition to this, a completed application for a PAN card is necessary. In this post, we covered the procedure for applying for a Permanent Account Number (PAN) and registering a partnership firm for GST.

What are the steps involved in applying for a GST Number for a Partnership Firm?

1. Access the GST Online Portal by logging in.

2. Complete Section A of Form (PAN, Mobile No., and E-mail)

3. Your details will be confirmed via OTP or email by the Portal.

4. Please upload the necessary documentation.

5. Part B can be accessed and completed using the received number.

6. You will be given the Reference Number for the Application.

7. Your documents will be checked for accuracy by the GST Officer.

8. Within seven business days, the GST Officer will either decline to process your application or grant it.

9. You are obligated to present the necessary documentation in the event that an explanation is demanded.

10. Following the completion of all the necessary clarifications, a GSTN number will be assigned to you.

In order to register a partnership firm for GST, the following documents are required:

1. Photographs of each and every Partner

2. PAN Cards Held by Each and Every Partner

3. Aadhar Cards for Each and Every Partner

4. Card bearing the PAN Number of the Partnership Firm

5. A Demonstration of the Business Constitution (Partnership deed)

6. Proof of Principle location of business (Anyone may provide this; an electric bill, a rent or lease agreement, or the most recent bank statement that is at least two months old will do).

7. Authorization Letter in Favor of Each and Every Partner

8. An Application Reference Number, also known as an ARN, will be generated immediately following the submission of the application in order to monitor its current status.

Every company that has a yearly revenue of more than 40 lakhs must register in order to operate legally. However, there are some firms for which registration is required even if the business entity did not have a turnover that was higher than the threshold that was established. A certificate of Goods and Services Tax (GST) is mandatory for all online retail businesses, for instance.

Types of GST

Integrated Goods or Services Tax (IGST)

Union Territory Goods or Services Tax (SGST)

State Goods or Services Tax (SGST)

Central Goods or Services Tax (CGST)

State Goods or Services Tax (SGST) (UGST)

Who is required to register for the GST?

1. Any provider of goods or services that generates a taxable account and has an aggregate revenue of more than twenty lakh rupees is required to register.

2. You are required to register for GST if you intend to sell goods or provide services to customers located outside of the country.

3. Registration is required before you can begin marketing and selling your goods or services on the internet.

4. In the event that the business already possesses registration under service tax laws, VAT and excise rules, it is required to register for GST.

5. If the corporation does business in a number of different states, they are required to register for GST.

The Benefits of Registering for the GST

There are various benefits associated with registering for GST, some of which are listed below:

1. A significant number of goods and services are exempt from the tax and are subject to a rate of no more than five percent.

2. Those who had been neglected will finally be compensated. In addition to this, the smaller dealers would realize that the playing field is level with them.

3. The free movement of services and goods across the nation would be made possible by this development.

4. Customers would gain from an increase in the level of competition among companies or manufacturers.

5. Things like two-wheelers, movie tickets, stoves, televisions, SUVs, washing machines, and luxury cars, among other things, would not cost as much as they do now.

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