Section 24 of GST – Compulsory registration in certain cases. Detailed Analysis of GST Section 24 of GST Act 2017 – Compulsory registration in certain cases. Everything you want to know about GST all Sections.

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Section 24 of GST – Compulsory registration in certain cases

Notwithstanding anything contained in sub-section (1) of section 22, the following categories of persons shall be required to be registered under this Act, ––

  • (i) persons making any inter-State taxable supply;
  • (ii) casual taxable persons making taxable supply;
  • (iii) persons who are required to pay tax under reverse charge;
  • (iv) person who are required to pay tax under sub-section (5) of section 9;
  • (v) non-resident taxable persons making taxable supply;
  • (vi) persons who are required to deduct tax under section 51, whether or not separately registered under this Act;
  • (vii) persons who make taxable supply of goods or services or both on behalf of other taxable persons whether as an agent or otherwise;
  • (viii) Input Service Distributor, whether or not separately registered under this Act;
  • (ix) persons who supply goods or services or both, other than supplies specified under sub-section (5) of section 9, through such electronic commerce operator who is required to collect tax at source under section 52;
  • (x) every electronic commerce operator;
  • (xi) every person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered person; and
  • (xii) such other person or class of persons as may be notified by the Government on the recommendations of the Council.

Related provisions of the Statute:

Section or RuleDescription
Section 2(20)Definition of “casual taxable person”
Section 2(47)Definition of “exempt supply”
Section 9(5)Tax on reverse charge basis to be paid by e-commerce operator
Section 22Persons liable for registration
Section 25Procedure for registration
Section 51Tax Deduction at source
Section 52Collection of tax at source

Analysis

Section 22 prescribes certain conditions, subject to fulfilment of which, registration must be obtained. However, sections 24 enlists 12 categories of persons who shall compulsorily obtain the registration, whether or not the provisions prescribed under section 22(1) are triggered in such cases. Section 24 begins with a non-obstante clause and is thus, an overriding section that makes it mandatory for the prescribed persons to obtain registration even though the turnover conditions prescribed under section 22(1) are not fulfilled.

Categories of persons who shall be required to be registered under this Act irrespective of the threshold limit:

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The following categories of persons are required to obtain registration compulsorily under this Act:

  • Persons making any inter-State taxable supply;
  • Casual taxable persons making taxable supply;
  • Persons who are required to pay tax under reverse charge;
  • Persons who are required to pay tax under sub-section (5) of section 9 (electronic commerce operator)
  • Non-resident taxable persons making taxable supply;
  • Persons who are required to deduct tax under section 51 (Tax Deduction at Source);
  • Persons who supply goods or services or both on behalf of other registered taxable persons whether as an agent or otherwise;
  • input service distributor;
  • persons who supply goods and/or services, other than supplies specified under sub-section (5) of section 9, through such electronic commerce operator who is required to collect tax at source under section 52,
  • Every electronic commerce operator who is required to collect tax at source under section 52;
  • every person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered taxable person; and
  • Such other person or class of persons as may be notified by the Central Government or a State Government on the recommendations of the Council.

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Latest Comments

  1. GST is destination based tax i.e consumption tax, which means tax will be levied where goods and services are consumed and will accrue to that state.

    1. location of the recipient of services
    2. location of the supplier of services

    However, there are times when services are supplied to any person other than a registered person. The place of supply in such cases shall be:

    the location of the recipient where the address on record exists and
    location of the supplier of services in other cases.

    Need to understand section 12 for your query. It not only about TO it also based where under 24 need to follow.

    Reply
  2. GST is destination based tax i.e consumption tax, which means tax will be levied where goods and services are consumed and will accrue to that state.

    1. location of the recipient of services
    2. location of the supplier of services

    However, there are times when services are supplied to any person other than a registered person. The place of supply in such cases shall be:

    the location of the recipient where the address on record exists and
    location of the supplier of services in other cases.

    Need to understand section 12 for your query. It not only about TO it also based where under 24 need to follow.

    Reply
  3. I want to take coaching centre as franchisee. it’s annual collection will be less than 20 lakhs. Is GST registiration needed?Kindly clarify..

    Reply
  4. I want to take coaching centre as franchisee. it’s annual collection will be less than 20 lakhs. Is GST registiration needed?Kindly clarify..

    Reply
  5. I am a TIN FC owner means commission agent making supply of services to Inter state location and my total estimated commission for the FY is below INR 2000000.00
    so please clarify whether I need to get register under GST Law….??

    Reply
  6. I am a TIN FC owner means commission agent making supply of services to Inter state location and my total estimated commission for the FY is below INR 2000000.00
    so please clarify whether I need to get register under GST Law….??

    Reply
  7. I am a TIN FC owner means commission agent making supply of services to Inter state location and my total estimated commission for the FY is below INR 1000000.00
    so please clarify whether I need to get register under GST Law….??

    Reply
  8. I am a TIN FC owner means commission agent making supply of services to Inter state location and my total estimated commission for the FY is below INR 1000000.00
    so please clarify whether I need to get register under GST Law….??

    Reply
  9. I have a immovable property in Greater NOIDA (U.P) from which I m getting monthly assured returns from the builder. I am based outside UP. The builder has asked me to get myself registered under section 24 of GST Act citing interstate transaction and has refused to pay further assured returns until I get myself registered. Is registration under section 24 GST applicable in my case? Please advise.
    Thanks
    J Chauhan

    Reply
  10. I have a immovable property in Greater NOIDA (U.P) from which I m getting monthly assured returns from the builder. I am based outside UP. The builder has asked me to get myself registered under section 24 of GST Act citing interstate transaction and has refused to pay further assured returns until I get myself registered. Is registration under section 24 GST applicable in my case? Please advise.
    Thanks
    J Chauhan

    Reply
  11. I m a Authorized person of recognized stock exchange.having sebi registration . My brokerage is below 20 lacs p.a.
    Do I need to take G s t registration?

    Reply
  12. I m a Authorized person of recognized stock exchange.having sebi registration . My brokerage is below 20 lacs p.a.
    Do I need to take G s t registration?

    Reply
  13. I m a Authorized person of recognized stock exchange.having sebi registration . My brokerage is below 20 lacs p.a.
    Do I need to take G s t registration?

    My broker force me to do registration for GST?

    Reply
  14. I m a Authorized person of recognized stock exchange.having sebi registration . My brokerage is below 20 lacs p.a.
    Do I need to take G s t registration?

    My broker force me to do registration for GST?

    Reply
  15. I m a sub broker (authorised person) of recognised stock exchange.having sebi registration . My sub brokerage per annum is much below 20 lacs p.a.
    Do i need to take G s t registration.

    Reply
  16. I m a sub broker (authorised person) of recognised stock exchange.having sebi registration . My sub brokerage per annum is much below 20 lacs p.a.
    Do i need to take G s t registration.

    Reply
    • If it is your Business then you should have to take base of registration requirements. It is exempt from registration if your annual turnover is less than 20 lakhs. So if your TO is less than 20 lakhs then no need to register.
      Subject to Place of supply.

      Reply
    • If it is your Business then you should have to take base of registration requirements. It is exempt from registration if your annual turnover is less than 20 lakhs. So if your TO is less than 20 lakhs then no need to register.
      Subject to Place of supply.

      Reply

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