The Goods and Services Tax, abbreviated to GST, changed the tax structure of our country since its introduction on the 1st of July 2017. The rates at which the GST is placed are 0%, 5%, 12%, 18% and 28%. The tax varies depending on the commodity and was introduced to unify all taxes like VAT and sales tax. The GST is a regular indirect tax that must be paid in order to avoid any sort of inconvenience and run-in with the tax authorities.
Step One: Signing in, Document Submission and filling forms
The first step in GST registration is to go online and submit all the required documents that are mentioned. The individual has to fill up a Form Part A as well as a Form Part B after which the verification process will begin. The individual will also get an Application Reference Number.
What Happens if There Are Insufficient Documents
The documents are usually sufficient enough and are approved by the officials. However, it is quite possible that additional documents are required in which case they must be submitted within 7 days. After this, the application is either accepted or rejected.
Rejection of the Application: Why and What To Do Next
If the officials find something missing in the documents submitted, or the documents are submitted later than 7 days, then the application can be rejected. The officials send a form (GST REG- 05) in which they specify what was wrong with the application.
In such a situation where the application is rejected, the individual must register again and ensure that they follow all the specifications and meet the requirements mentioned. One must go through all the fine print and read through the guidelines carefully to ensure that they do not face rejection from the GST officials.
The GST tax may have put everyone in frenzy initially, but with the abundance of assistance available online as well as offline at the GST Seva Kendras, the Government has managed to ensure that the citizens of India do not face any problem. Correctly following the guidelines will help individuals in taking full advantage of the benefits that the GST provides. For example, by eliminating cascading taxes, it helps in the flow of tax credit, it improves exports and imports and it simplifies the tax structure by unifying it.