GST(Goods and service Tax) is applicable at each stage of business right from the stage wherever merchandise are created up to the stage where it’s consumed by the end-user. At each stage, one would take the tax credit for the input taxes paid by them within the previous one. The chain continues and ends on the end-user of the product/services. Summation tax are enforced at each price addition stage. Unlike VAT, GST is offered primarily based on tax or destination-based tax. Therefore the kind of GST is determined upon the place or offer of goods/services.
WHO FALLS UNDER THE RANGE OF GST REGISTRATION:-
Whose turnover is more than 20 Lacs (10 Lacs in selective cases).
Who was registered under previous law.
Who pays taxes under Reverse Charge Mechanism.
Who is an Input Service Distributor.
Who is an E-commerce operator/aggregator or provides via them
CASUAL TAXABLE PERSON:
Casual GST Registration also can be understood as Temporary Registration/ Registration for specific purpose/ Registration for specific place. They’re those who don’t have a fixed place of business. They sometimes offer goods/services in different states/UT (which isn’t their principal place of business). There’s no turnover limit for the casual taxable person and that they need not file an annual return.
Casual GST Registration ought to be done in a minimum of 5 days before commencing business in another state/UT. Tax liability is to be deposited beforehand on a presumption basis. Such registration is valid for the date as specified in the form or within an extension of 90 days (whichever is earlier). Extension of 90 days with an affordable cause can be given by a designated officer.
This is a friendly provision for small and medium-sized businesses and start-ups whose annual turnover isn’t more than Rs. 75 Lakhs. This scheme helps registered small scale businesses to avail discounted GST rates. Wherever normal taxpayer pays GST ■ 5-hitter, 12%, 18 or 28%; here the small taxpayers shall pay just 1%, 2% or 5%. Such limited tax liability helps composition dealers to possess higher liquidity within the company. Only an intra-state provider and non-E-commerce provider will prefer this scheme. Service providers are kept out of the view of this scheme (except restaurant sector taxpayer).