GST or Goods and Services Tax has brought about a revolution in the way taxes have been calculated and paid in the country in the past. Under the previous tax regime, taxes and registration numbers were separate to the state and the center. But with the introduction of GST, these processes and taxes have all come under one umbrella, making taxpayers’ work easier.
To be part of this process, individual businesses must obtain a GST Identification number or GSTIN.
Under the GST rule, every business providing goods and services with a turnover of more than Rs 20 lakhs is required to be registered as a normal tax payer. This registration is important, this is because only a registered business can benefit from a seamless flow of input tax credit on their raw material purchases.