GST registration on F&O turnover exceeding 20 lakhs

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Harshajyoti Das

11 Points Posted on 31 May 2025

I am a full time trader but only trade in cash and pay STCG @ 20%.

I have a small offline business generating around 50k income monthly. The total turnover is around 7 lakhs and so I do not have any GST registration as it’s below the 20L minimum limit.

I was thinking to take some trades in F&O but if my overall turnover exceeds 20 lakhs, will I have to go for GST registration? I really do not want the hassle of filling GST returns every month and hence, avoided F&O so far.

I know GST is not required for F&O but will the combined turnover trigger GST registration for my offline business that’s generating only 7 lakhs revenue?

Kindly reply if you can. Will highly appreciate it.

Replies (2)

Rama chary Rachakonda

Master in Accounts & high court Advocate

9620 Points Posted on 01 June 2025

GST Registration Requirement -

*GST Registration Threshold*: The threshold for GST registration is ₹20 lakhs (₹10 lakhs for special category states). -

*Aggregate Turnover*: The aggregate turnover includes the turnover of all businesses, including trading and offline business. Trading and F&O Turnover -

*GST on Trading*: GST is applicable on trading activities if the turnover exceeds the threshold limit. -

*GST on F&O*: GST is not applicable on Futures and Options (F&O) transactions, as they are exempt from GST. Combined Turnover -

*Aggregation of Turnover*: The turnover of your offline business (₹7 lakhs) and trading activities will be aggregated to determine the GST registration requirement. -

*GST Registration Trigger*: If your combined turnover exceeds ₹20 lakhs, you will need to register for GST. Implications -

*GST Registration*: If you exceed the threshold, you'll need to register for GST and comply with GST regulations, including filing returns. Recommendations -

*Monitor Turnover*: Keep track of your turnover from both trading and offline business to ensure you don't exceed the threshold. -

*Consult a GST Professional*: If you're unsure about GST implications, consult a GST professional for personalized guidance. Hope this helps! Let me know if you have further questions .