Business in Multiple States

314 views 4 replies

vaman shetty konda

ca-ipcc student

89 Points Joined July 2014

Dear Experts,

Few of our clients are doing business in MFI sector,they are having 1000 branches all over india.Do they required to register for all branches under GST,IF yes do they have to register at a time or register in lots?

Please kindly help me to sort out this issue,as it is crucial for them.

Replies (4)

SAURABH ZAWAR

269 Points Joined April 2017

Dear sir, in one state you have to registered the principle place of business and other branches as additional place of business and
Similarly for other states also
But it all depends on how u r going to use your input tax credit and pay output tax liability

Regards
CA SAURABH ZAWAR

Rajesh Kumar

Advocate- Tax

7806 Points Joined December 2008

There cannot be a readymade answer to such questions. You need to study your business, and see in the relevant legal scenario as how are you planning to organize your business. Say for example one MFI may decide to get itself registered in every state. Another one may decide to get registered at head office level only, and disharge all liabilities from there. Both the steps have its own positives and negatives. You need to study it and decide it. Such decisions affect the future viability of a business.

vaman shetty konda

ca-ipcc student

89 Points Joined July 2014

Thanks for all your suggestions
If i decided to apply for each state shall i apply one by one or shall i apply at a time?

Ferdous

advocate tax consultants

80 Points Joined December 2008

in any case if you chose to register in a state you will have to register one by one as state registrations is a state subject and bulk registrations at a single place is not possible. th present GST is a dual controll mode unlike income tax. the suggestion given by advocate Rajesh Kumar je is valid in its totality as you will have to understand your business plan and then decide accordingly. for example in case you are not running all the branches centrally and you have independant franchises , in that case they will have to apply on their own and mange as such. i am a practising advocate - tax consultant from jammu and kashmir.