GST is not applicable to my customer other company's account dept. force to get GST number from him.

A Section 8 company, like any other entity, is not legally required to register for GST if its aggregate annual turnover is below the prescribed threshold (typically ₹20 lakhs for service providers).

Understanding the Requirements

• Mandatory Thresholds: Under Section 22 of the CGST Act, GST registration is mandatory only if your aggregate turnover exceeds ₹20 lakhs (or ₹10 lakhs in special category states).

• Exemptions: If your turnover is below these limits, you are not legally obligated to obtain a GSTIN. Being a Section 8 (non-profit) company does not automatically exempt you from GST, but it also does not force registration unless you meet the turnover criteria or engage in specific activities like mandatory inter-state supply.

• Why the Private Limited Company is Asking: The private limited company is likely asking for a GST number because they want to issue a "taxable invoice" to you. If you are not registered, they cannot charge GST on their service. Conversely, if you were registered, they would charge GST, which you would then have to pay; you would only be able to claim that GST back as "Input Tax Credit" (ITC) if you were also a registered, taxable entity.

Suggested Action Plan

Since you are not liable for registration, you should not be forced to get one. You can explain your position to the company’s accounts department as follows:

1. State Your Status Clearly: Inform them that your entity is not registered under GST because your annual aggregate turnover is well below the mandatory threshold limit prescribed under the CGST Act.

2. Provide a Declaration: You can provide a formal letter/email stating that your organization is an unregistered person under the GST regime. This is often sufficient for their compliance records to explain why they are issuing an invoice without GST.

3. Invoice Handling: Since you are an unregistered entity, they should treat the transaction as a B2C (Business to Consumer) supply or a supply to an unregistered person. They do not need your GSTIN to process the payment for the event preparation services.

4. Avoid Voluntary Registration: Do not register for GST just to satisfy a client's internal compliance policy. Voluntary registration comes with ongoing compliance burdens (filing periodic returns like GSTR-1, 3B, etc.) and potential penalties for non-filing, which would be unnecessary for a small-turnover organization.

Summary: You are under no legal obligation to register for GST if your turnover is below ₹20 lakhs. You should provide a formal written declaration to the private limited company stating your status as an unregistered entity. They are required to process the transaction regardless of your GST status.