Instances where GST registration is mandatory irrespective of turnover

 

In normal course, the threshold Limits for GST Registration is as under:
– Goods: ₹40 lakhs
– Services: ₹20 lakhs

Special category states include: Mizoram Manipur Nagaland Arunachal Pradesh Sikkim Tripura etc.

However, there are some of the instances where GST registration is mandatory irrespective of turnover i.e., where GST Registration is Required even for ₹1 Transaction:

1. Interstate Supply of Goods:
If supplying goods from one State to another (interstate), then you will need GST registration no matter what the turnover is (that is to say, even ₹1 transaction will require it) unless you are dealing in exempt goods or under special categories (handicrafts and services with exemption).

E.g. trader from Bangalore transferring product to buyer from Kolkata – registration required for every amount.

Notice that this applies to goods not services (services have some exemptions up to thresholds).

2. E-commerce Sellers:
If you are selling on e-commerce portal like Amazon, Flipkart etc. You need to register for GST even if you have no turnover.

3. Reverse Charge Mechanism (RCM):
If you are required to pay tax under RCM you will need to register even if your turnover is under the threshold.

Example: Legal services, GTA (Goods Transport Agency), import of services.

4. Non-Resident Taxable Persons / Casual Taxable Persons:
Must register before starting supply, regardless of turnover.
(e.g., exhibition stalls)

5. Input Service Distributor (ISD) or TDS/TCS Deduct or:
Must register irrespective of turnover.

6. Voluntary Registration:
If you voluntarily register under GST, then basically anything above 1 is taxable.