The new GST regime mandates that all entities involved in buying or selling goods or providing services or both are required to register and obtain GSTIN. Registration is mandatory once the entity crosses a minimum threshold turnover or when an individual starts a new business that is expected to cross the prescribed turnover.

• Normal scheme
• Non-resident taxable person
• Casual taxable person
• Composition scheme

The following documents must be submitted by regular taxpayers applying for GST registration.

• PAN card of the business
• Identity proof along with photographs
• Address proof of promoter
• Business registration document
• Business location proof
• Bank account proof

GST is mainly technologically driven. All the activities like registration, return filing, application for refund and response to notice needs to be done online on the GST portal, which accelerates the processes.

• Removing the cascading effect of tax
• Higher threshold for GST registration
• Composition scheme for all
• Simpler online facilities for GST compliance
• Relatively lesser compliances under GST
• Defined treatment for ecommerce activities
• Increased efficiency in logistics
• Regulating the unorganised sectors

1. CGST

Central GST or CGST would be levied under the CGST Act on the intra-state supplies of goods and services.

• CGST applies to both goods and services.
• The Central Government levies CGST through a separate statute on all transactions of goods and services made for a consideration.
• The Central and State Government shall share the proceeds between them.

2. SGST

As per the SGST Act, the State GST or SGST applies on intra-state supplies of goods and services, that is administered by the respective State Government. SGST liability can be set off against SGST or IGST input tax credit only.

• SGST is levied by the State Governments through a statute on all transactions of supply of goods and services.
• SGST would be paid to the accounts of the respective State Government.

3. IGST

Integrated GST or IGST is the tax levied under the IGST Act on the supply of any goods and services in the course of inter-state trade across India.

• Central Government would levy and collect IGST instead of CGST or SGST.
• Levied on inter-state supply of goods and services.
• Includes import of goods and services.
• Exports would be zero-rated.
• IGST would be shared between the Central and State Government.