27 May 2017
Presently we are doing a business related to sale of iron scrap and old plastic. Still now we have not registered under any law. now we wants to register. so whether I have to register for respectivestate law or GST !! . please clarify
27 May 2017
Registration under indirect taxation arise only if your turnover exceeds the prescribed limit say in Karnataka 10 lakh per annum for registration under VAT.
In case of GST - 20 lakh turnover is prescribed for registration, Therefore, If your turnover exceeds the said limit only your are required to registered otherwise not required to be register. However,if you wish to register voluntarily you can register under GST.
If you not obtain registration even though liable for registration your liable for payment of taxes along with interest and penalty
Provision of law is provided below for your reference:
22. (1) Every supplier shall be liable to be registered under this Act in the State or Union territory, other than special category States, from where he makes a taxable supply of goods or services or both, if his aggregate turnover in a financial year exceeds twenty lakh rupees: Provided that where such person makes taxable supplies of goods or services or both from any of the special category States, he shall be liable to be registered if his aggregate turnover in a financial year exceeds ten lakh rupees.
25 (3) A person, though not liable to be registered under section 22 or section 24 may get himself registered voluntarily, and all provisions of this Act, as are applicable to a registered person, shall apply to such person
122. (1) Where a taxable person who–– (xi) is liable to be registered under this Act but fails to obtain registration; he shall be liable to pay a penalty of ten thousand rupees or an amount equivalent to the tax evaded or the tax not deducted under section 51 or short deducted or deducted but not paid to the Government or tax not collected under section 52 or short collected or collected but not paid to the Government or input tax credit availed of or passed on or distributed irregularly, or the refund claimed fraudulently, whichever is higher.
CAclubindia
