Section 2(107) taxable person means A person who is registered or liable to be registered under section 22 (i.e. registration required if turnover exceeds threshold limit and so on) or section 24 (i.e. Compulsory registration under GST). A ‘taxable person’ under GST, is a person who carries on any business at any place in India and who is registered or required to be registered under the GST Act. Any person who engages in economic activity including trade and commerce is treated as a taxable person.‘Person’ here includes individuals, HUF, company, firm, LLP, an AOP/BOI, any corporation or Government company, body corporate incorporated under laws of foreign country, co-operative society, local authority, government, trust, an artificial juridical person.
Who is Liable to get Registered under GST?
- Every person who is registered under an earlier law (i.e., Excise, VAT, Service Tax etc.) needs to register under GST, too.
- When a business which is registered has been transferred to someone/demerged, the transferee shall take registration with effect from the date of transfer.
- Anyone who drives inter-state supply of goods
- Casual taxable person (see below)
- Non-Resident taxable person (see below)
- Agents of a supplier
- Those paying tax under the reverse charge mechanism
- Input service distributor (see below)
- E-commerce operator or aggregator*
- Person who supplies via e-commerce aggregator
- 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
**Latest Updates:32nd GST Council Meeting - 10 January 2019 Effective April 1, 2019 the GST exemption threshold has been raised from Rs 20 lakh to Rs 40 lakh. For hilly states and those in the North East, the threshold has been doubled to Rs 20 lakh.
Who is a Casual Taxable Person under GST?
Who is a Non-Resident Taxable person under GST?Section 2(77) of Central Goods & Services Tax Act, 2017 defines “non-resident taxable person” as any person who occasionally undertakes transactions involving supply of goods or services or both, whether as principal or agent or in any other capacity, but who has no fixed place of business or residence in India. Hence, a non-resident taxable person is someone who has a business outside India, but comes to a different state for a business purpose temporarily.
Who is an Input Service Distributor?A company may have a number of units and the GST paid by it on input services received can be distributed to the beneficiary units on the basis of their previous year turnover. The office of the company which distributes the credit is called input service distributor.
GST Registration by Type of Taxable Person
- Every person has to apply for registration in every State in which he is liable, within thirty days from the date on which he becomes liable to registration.
- Casual/ non-residents should apply at least five days before their commencement of business.
- Registration number in GST will be PAN based and hence, having PAN would be a prerequisite for obtaining registration.
- The assessee must obtain separate registration for each State, as registration under GST will be State-wise,
- The assessee has an option to obtain a separate registration for each of the ‘business vertical’ in the same State.