Goods and Services Tax or GST has been implemented in India from 1st July, 2017 and non-resident taxpayers are also required to obtain GST registration and file GST returns. Foreign non-resident taxpayers are mandatorily required to obtain GST registration in India if they supply goods or services to residents in India. According to the GST Act, "non-resident taxable person” means 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. Further, all non-resident taxable persons are required to appoint an authorised person in India for the purpose of complying with GST regulations.
GST Registration U/S22
- 2000 – PM Vajpayee setup a committee to draft a GST law.
- 2004 – A task force concludes GST must be implemented to improve current tax structure.
- 2006 – Finance minister proposes GST introduction from 1st April.
- 2007 – CST to be phased out. Rate reduced from 4% to 3%.
- 2008 – EC finalised dual GST structure to have separate levy, legislation.
- 2010 – Project to computerise commercial taxes launched but GST implementation postponed.
- 2011 – Constitution amendment bill to enable GST law introduced.
- 2012 – Standing committee begins discussion on GST but stalled it over clause 279B.
- 2013 – Standing committee tables its report on GST.
- 2014 – GST bill reintroduced in parliament by finance minister.
- 2015 – GST bill passed in Lok Shaba but not passed in Rajya Shaba.
- 2016 – GSTN go live.
- 2016 – Amended modal GST law passed in both house of parliament. President give assents.
- 2017 – Four supplementary GST bill passed in Lok Shaba and approved by Cabinet. Rajya Shaba passes four supplementary GST bill. Final GST to implemented on July 1,2017.
All business whose turnover is above Rs.20 lakh or Rs.10 lakh (for north eastern states) are expected to do GST registration as a regular taxable person.
Mandatory for following persons:
- Non-Resident taxable individuals.
- Entities engaging in E-Commerce.
- Entities supplying goods & services via E-Commerce operators.
- Individual who are eligible for TDS.
- Entities engaging in the provision of online information or retrieval services or database access.