The Goods and Services Tax (GST) number is a unique identifier assigned to businesses by the government of India for tax purposes. To search for a GST number, you can use the GST portal, which provides a search tool for taxpayers to verify the GST registration of a business by entering either the GSTIN or PAN of the business.
Structure of a GST Number:
The structure of a GSTIN (Goods and Services Tax Identification Number) in India is a 15-digit unique identifier assigned to a business registered under the GST Act. The structure of the GSTIN is as follows:
1-2: The first two digits represent the state code where the business is registered.
3-12: The next 10 digits represent the PAN (Permanent Account Number) of the taxpayer.
13-15: the next 13th digit is the numbers of entity within a state under the same PAN.
14th digit is the alphabet by default and The last digit is the check code to detect errors.
For example, a GSTIN may look like "22AAAAA0000A1Z5", where "22" represents the state code, "AAAAA0000A" represents the taxpayer's PAN, "1" represents the numbers of entity , "Z" is the alphabet by default and "5" is the check code.
Significance of GST Number
Legal Recognition: GSTIN grants legal recognition to your business, enhancing customer trust and attracting more consumers.
Input Credit: Businesses with GSTIN can claim input credit on their purchases, reducing the overall tax burden.
Interstate Transactions: GSTIN enables small business owners to engage in interstate supplies, broadening their market reach.
E-commerce Opportunities: GSTIN holders can expand their business by listing products on e-commerce platforms or establishing their own e-commerce websites.
Automated Returns: With GSTIN, returns filing becomes automated, demonstrating compliance with GST regulations and enhancing your business's reputation, which can lead to increased sales.
GST Number Application Process
> Visit the official GST Portal (https://www.gst.gov.in/).
> Select "New Registration" under the 'Services' menu and provide the required details.
> Complete OTP verification using the codes sent to your email and mobile.
> Note down the Temporary Reference Number (TRN) displayed on the screen
> Return to the GST portal, select "New Registration," choose "Temporary Reference
> Complete OTP verification again.
> Check the status of your application and click the edit icon to begin the registration process
> Submit necessary documents and business details for verification
> Review and submit the declaration on the verification page.
> Apply for a Digital Signature Certificate (DSC) or use Electronic Verification Code (EVC) or e-sign method
> Upon successful completion, you'll receive an Application Reference Number (ARN) and an acknowledgment via email and SMS.
> Monitor the ARN status using the GST Portal.
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