Hello, I run a consultancy business which serves the student community, to help them get assistance with college research and admissions. My company is incorporated in 2017. It's in Bangalore Karnataka. The company name is: Admissions Square Educational Consultancy LLP My annual transactions haven't crossed 20 Lacs, per financial year as of now. However, I have to generate Invoices/legal agreements for my clients who happen to be residents of different states in India. So, can you clarify if I come under GST or not? If yes, then what shall I do, as till now I haven't filed for GST. Thank You
1) turnover below Rs 20 lakh will have to register
for GST.
2) Consultancy services attracts 18% of GST Rate. Consultancy can be of any nature related to healthcare, finance, investments etc. Though there are five slab rates, but consultancy services falls under 18% slab only.
As soon as your threshold limit exceeds rupees 20 lacs you have to get yourself enrolled in GST regime you may register yourself as composite dealer and need not to charge GST however you have to pay GST out of your profits
Registration for persons who makes inter- State supply of services and have aggregate turnover less than Rs. 20 lac, p.a. is exempted.
Seeks to exempt persons making inter-State supplies of taxable services from registration under section 23(2)- Supplier of services having turnover upto 20 lacs exempted for obtaining registration irrespective of inter state supplies.
Exemption from obtaining compulsory registration U/s 24 of CGST Act, 2017 in case of Inter State Supply of Services
Central Government vide Notification No. 10/2017 – Integrated Tax dated 13th October,2017 has exempted the persons making inter-State supplies of taxable services and having an aggregate turnover not exceeding an amount of Rs. 20 lakhs in a financial year from obtaining registration.
Since your transactions have not crossed Rs 20 lakhs you don’t need registration under GST
2) Registration for persons who makes inter- State supply of services and have aggregate turnover less than Rs. 20 lac, p.a. is exempted.
1. Consultancy business of any kind comes under GST. HOWEVER, IF Annual Turnover is less than 20 Lakhs, THEN it is not mandatory to register under GST.
2. However, it would be prudent to register under GST and file nil returns, as sooner or later you would be covered under GST.
Keep Smiling .... Hemant Agarwal
Dear Sir
If business transactions crosses 20 Lakhs you are liable for the GST.
We advice to get the GST Registered and you can file nil for GST. But if you cross any time you are liable to pay for the entire transaction. We will ensure smooth process of GST.
Feel free to reach us for the assistance
In the GST Regime, businesses whose turnover exceeds Rs. 20 lakhs (Rs 10 lakhs for NE and hill states) is required to register as a normal taxable person. This process of registration is called GST registration.
For certain businesses, registration under GST is mandatory.
It appears your business do not come under the list of GST registrations to be done mandatorily.
