Well then worry not, cause you are in a better place now. We are Instaspaces and we provide quality virtual office services all across India. But we didn’t want to stop with quality virtual office services, we also wanted to offer the best quality information on the internet. We have put together this blog to answer all your queries on virtual office spaces and the GST requirements for your business.
So let’s get started by giving a very brief explanation of GST laws in the country.
Goods and Services Tax (GST): what is it and how did it come into action?
Goods and Services Tax model was brought into the parliament on 29th March 2017. After a brief period of thinking and concluding, GST was passed in the country on 1 st July 2017. GST was brought along to subsume a whole list of taxes that were collected in the central as well as the state.
Here is the list of subsumed taxes under GST, for your reference ( cause we are good people and want to educate you, good guys ).
Central taxes subsumed under GST
- Central Excise Duty (CENVAT).
- Additional Excise Duties.
- Service Tax.
- Additional Customs Duty.
State taxes subsumed under GST
- VAT / Sales tax, Entertainment tax
- Luxury tax Taxes on lottery, betting, and gambling.
- Octroi and Entry Tax
- Purchase Tax
These are some of the taxes that would be subsumed under GST. Not just replacing tax models, GST brought a whole lot of clarity into the subject of Indian Tax laws.
Advantages of GST
GST has several advantages in hand, but well focus on the most important and impacting ones.
Cascading effect of taxes
GST acts as a single indirect tax system for the whole country. By taking GST into action we were able to subsume most of the tax laws in the country and thereby reducing the adding of irrelevant taxes on one another.
Simply before GST, the tax law in India acted more like a tax on tax model with no give. Business sometimes ended up paying a lot of money taxes which could not be returned to them.
The threshold level for Registration
With GST the threshold level for business registering under GST has risen to a minimum of 20 lakhs. Before GST this limit was very near to 5 lakhs (taking an average across all states of India ).
With this move from the government many small scale businesses were exempted from GST taxes.
A very convenient procedure for Registration
GST has been put into effect with the help of easy and convenient online procedures for easy registration. With the help of a dedicated website, you can easily complete all of the formalities with easy processes.
Better regulation of the unorganized sector
May industries before the GST era were highly unorganized. With GST laws into action, it becomes impossible to claim your input tax credit without a unique GST number for your business.
It brings together a lot of accountability into the business and as a result, brings the better organization.
When does a Business need Multiple GST Registration?
A business operating across many states of India generally need multiple GST registrations. GST is a destination-based tax model and hence tax is collected by the destination state address. Also, GST is levied on value addition along each step, hence this is very important to get a GST registration fo you have multiple locations.
You can get a GST number by registering your office space under GST registration by providing documents that satisfy certain norms. GST number can be obtained by submitting the necessary documents regarding the address location.
Why should I get my Business GST Registered in that state?
When your business isn’t GST registered, you can lose a lot of business nowadays as everyone prefers a GST added the bill to start with.
Without a GST number, you cannot print an invoice according to t the GST norms of that state. Without a GST bill, retailers won’t be able to claim the ITC (Input Tax Credit).
Si thereby people prefer businesses with a GST registration in that state.
What is the best and the cheapest way to get a GST Registration?
- Mail delivery and handling’.
- Conference rooms.
- Receptionist services.
All their locations are very professional and the good reviews and established clientele just adds on to their point. If you need more details to feel free to text our Instabuddies for more details.
We hope this article was helpful and informative.
Happy office hunting…0 109