Hey there, the person looking for answers regarding GST registration and virtual office spaces. I understand your search has been long and a quite confusing one, but for now, grab a milkshake and sip it while we give you the answers.
This may not be the best place for all your answers regarding virtual office spaces, but we sure do provide close to perfection. We provide articles that end your searches and In turn, enlighten your mind. Here goes
We are in the age of booming business development, focusing on ways to ease human life to a very basic level. Almost all businesses are focused on providing a certain value to every human making it very competitive.
Meanwhile all this surefooted tech development along with easily available services has surely made us lazy and as a result, obese. But just when you think why I am writing on matters irrelevant, I’m gonna switch gears and rather jump right into our query.
What is GST and why was it brought into action?
Before we dive into which is the best option for your business. We need to understand the basics of GST and virtual office spaces. Well also look into the places where a physical office is more advantageous than a virtual office space.
Goods and Services Tax was brought into action by the government of India on 1 st July 2017. The initial GST act was passed in the parliament on 29th March 2017, to subsume most of the other taxes under a single indirect tax.
Taxes such as Value added tax ( VAT ), export tax, entertainment tax, and all the other taxes were subsumed and instead replaced by a single tax i.e GST. Goods and Services Tax ( GST ) is a multi-stage, destination-based tax that is levied on value addition.
With each level of value-added to a product, tax is levied thereby. GST was further classified into the following taxes
- SGST- collected by the state government.
- CGST- collected by the central government.
- IGST- collected by the central government.
As GST is a destination-based tax, it needs to be collected by the business in the destination state. Goods and Services Tax has been put into effect in nearly 160 countries all over the world. However since it is destination-based, every business must have its GST number in every state across India.
What are the various boons GST has brought us?
Inclusion of GST has brought along many advantages that can certainly be applauded. Here are some of the pros of the GST tax model in bulletin points
- Transparency in the taxation system.
- Uniform prices throughout the country.
- Fewer rates and exemptions.
- Reduction in multiplicity of taxes.
- The distinction between goods services is no longer needed.
- A much simpler taxable system for the consumers.
With all these changes GST has brought into the tax system, it is very hard to revolt against it per se.
Virtual Office Spaces: what are these magical spaces?
Virtual office spaces are not your traditional office spaces. They are what their name implies, meaning that they are completely virtual office space. All they offer is a completely professional business address that is in a high-end professional business zone.
With that said, they also offer a multitude of additional services that make it seem like a traditional office space. These services include
- Mail handling and delivery.
- Conference and meeting rooms with audiovisual features.
- Receptionist services at an added cost.
Why should you own a physical office?
There are certain reasons to own virtual office space and a certain reason to own traditional office space. Well, look at why you should own traditional office space for GST registration.
One of the major reasons you should rent a traditional office space in another state is if you need an active office space for your working employees in that state. That’s common sense right.
Another reason to own office space is if you need a professional-looking space for visiting customers and clients. You shouldn’t leave your business hanging in terms of saving some money.
When is a virtual office a good option?
If you don’t fulfill the above two criteria, it is very good to get yourself a virtual office space as it saves you a lot of money in terms of rent and overhead costs.
Moreover, why rent office space just for the sake of GST number, if you have no plans on using it to the full potential. As it seems very counterproductive to get an office space for just getting GST registration per se.
This way, a virtual office seems more cost-effective and productive in terms of economy.
We hope you found this article helpful. If you have any more doubts or queries, feel free to text our Instabuddies on site.
Happy office hunting…0 109