GST Enrolment for my E-Commerce Startup


Good Evening friends!

I have just registered my LLP and received my PAN. I plan on designing & developing products and later selling them in the market via a personal E-commerce website. Soon i will apply for IE code.

Should i apply for voluntary VAT No. ? or GST ? which is commencing in july ? (which means i wait for the business to start in july)

Now that i haven’t started (zero turnover), do i actually need to apply for VAT/GST before i start selling my products online ?

A genuine help/guidance on the same topic would be much appreciated.



GST will apply when turnover of the business exceeds Rs 20 lakhs (Limit is Rs 10 lakhs for the North Eastern States).

So, I guess there is no need to apply for GST/VAT till you exceeds Rs. 20 Lakh limit.


No need for GST Registration till you exceeds Rs. 20 Lakh limit.


I have one question also regarding the same case.

E-commerce marketplace like Flipkart & Amazon require VAT no. to sell onto their platform then how can we proceed without GST/VAT?

On the other hand, VAT is also required if we import, regardless what the turnover is. E.g. Nheva Seva, Mumbai Port required VAT Number along with IEC n all.

How can we operate business until 20 lakhs turnover without GST/VAT despite of all above issue???


Even if i operate via ecommerce ? and the products are sold outside my state (within country) ?


Exactly ! E-commerce requires VAT regardless of the turnover. what exactly can be the case when GST is involved ?


Something I stumbled upon on the internet,

Which are the cases in which GST registration is compulsory?

As per paragraph 5 in Schedule III of MGL, the following categories of persons shall be required to be registered compulsorily irrespective of the threshold limit:
a) persons making any inter-State taxable supply;
b) casual taxable persons;
c) persons who are required to pay tax under reverse charge;
d) non-resident taxable persons;
e) persons who are required to deduct tax under section 37;
f) persons who supply goods and/or services on behalf of other registered taxable persons
whether as an agent or otherwise;
g) input service distributor;
h) persons who supply goods and/or services other than branded services, through electronic
commerce operator;
i) every electronic commerce operator;
j) an aggregator who supplies services under his brand name or his trade name; and
k) 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.


I think this solves everything :blush:

Kindly go through the article…


There is also a notification under the exempted categories of GST, where if you are incubated by any of the designated startup incubators, you are exempt from GST upto Rs.50 lakhs turnover