Different business verticals

290 views 2 replies

unnikrishnan P

Tax Practitioner

228 Points Posted on 22 October 2024

Dear friends,

One of my client had taken GST registration for his trading business in hardware items. He is also having cab services earlier in parallel. My query is whether we have to account the service income received from cab services together with trading income from business in GSTR-1? Registration had been taken only for trading business but both business are under same PAN.

Requesting for your valuable response.

Replies (2)

Rama chary Rachakonda

Master in Accounts & high court Advocate

9615 Points Posted on 22 October 2024

Since the GST registration is only for the trading business in hardware items, you should not account for the service income from cab services in GSTR-1.

GSTR-1 is used to report supplies (sales) related to the registered business, which in this case is the trading business.

The cab services are a separate business and require a separate GST registration.

Since they are under the same PAN, your client should consider registering the cab services under GST as well.

If your client wants to consolidate both businesses under a single GST registration, they can apply for a separate GST registration for the cab services or opt for a single registration for all businesses under the same PAN.

However, currently, you should only report the trading income from the hardware business in GSTR-1 and maintain separate records for the cab services. Consult a tax expert or the GST helpdesk for further guidance.