DO YOU KNOW : MULTIPLE REGISTRATION UNDER GST IN STATE IS ALLOWED

GST is PAN and State specific tax regime. It come with object of  "ONE NATION-ONE  TAX".  But A person is required to registered in each state/UT from where he is liable to do so as per Act. A single registration is granted against a PAN in a state or UT. 

This will make trouble for those business organization who has multiple business places in a state/UT. They have only one GSTN for every place or business venture. This became very hurdle to manage proper records and calculate proper GST liability. 

In order to simplify this situation , government provide option to apply separate registration for separate business places in a state/UT subject to following condition.


 

  1. Such person has more than one business place in a state or UT.
  2. If separate registration is granted for any of place in state/UT , all business place are ineligible to pay tax under composition scheme.
  3. All such places are required to pay tax on taxable supply of goods or services or both made to another registered person by generating tax invoice for such supply.
  4. Person required to submit separate Form GST REG-1 for separate registration and all the procedure follow as new registration apply.

Transfer of unutilized ITC to newly registered business place 

A registered person who has obtain separate registration for any of his business in state/ UT and intends to transfer unutilized input tax credit lying in electronic credit ledger to newly registered place of business:
  • shall furnish form GST ITC-02A electronically
  • within 30 days of obtaining separate registration
  • ITC shall be transfer in the ratio of value of assets held by them at the time of registration.
Note;
  1. Value of assets include all business assets whether or not ITC taken on them.
  2. Newly registered person required to accept details furnish by transferor person on common portal.
Location: India

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