Is GST registration mandatory or not ?

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Dilipkumar

Senior Executive

30 Points Posted on 21 October 2024

I am working in a company with a turnover of 60 crores. We currently have GST registration in Telangana state only, whereas our employees work in all states. All employees are registered in Telangana, and only professional tax is deducted for those residing in Telangana; for others, it is not deducted. We primarily get business from four major telecom companies all over India. They issue purchase orders for Telangana state regardless of the work being allocated in any state. Since we are primarily involved in service activities, we haven’t faced any issues, and there has been no requirement to get registration in other states.

However, when we started engaging in supply activities, we faced issues with issuing e-way bills and obtaining purchase bills in IGST format, as some vendors do not understand the requirements and others have denied issuing IGST invoices. We used to receive IGST invoices for 90% of our purchases and have availed of ITC on all such bills.

Now, we are uncertain whether we need to obtain GST registration in the states where we are currently operating. We have guest houses and godowns in all locations, but all are under staff names.

I would like to know whether state-wise GST registration is mandatory if we want to engage in supply activities, or can we raise an e-way bill from Telangana to the receiver state by adding the dispatch address of the local state?

Replies (2)

Quick Summary

This discussion explores whether GST registration is mandatory in multiple states for a company with a significant turnover and operations across India. While the company currently operates with a single GST registration in Telangana, issues have arisen with supply activities, particularly regarding e-way bills and IGST invoices. The consensus suggests that if a business engages in supply activities from multiple states, or has a fixed place of business (like an office or warehouse) in those states, then state-wise GST registration becomes mandatory. However, specific turnover thresholds and the nature of inter-state supplies also dictate registration requirements.

Rama chary Rachakonda

Master in Accounts & high court Advocate

7021 Points Posted on 22 October 2024

If you're operating in several states and want to engage in supply activities, you'll need to register for GST in each state ¹

. However, if all your supplies are below 10 lakhs, you don't need to register, unless you're making inter-state supplies ¹.

In that case, you'll need to register if your aggregate turnover is more than 20 lakhs (or 10 lakhs in special category states) ¹.

Regarding your question about raising an e-way bill, if you're dispatching goods from Telangana to another state, you can raise an e-way bill by adding the dispatch address of the local state ¹.

However, keep in mind that you'll need to register for GST in the recipient state as well ¹.

It's also important to note that if you have guest houses and godowns in all locations under staff names, you may need to consider registering those as separate business verticals

Aashok Kumar Sharma

Finance/Compliance Consultant

75663 Points Posted on 08 November 2026

Registration where you make supplies from:

• A company with Telangana registration supplying from Telangana doesn't need registration in other States merely because customers or employees are located there.

• Registration is required in another State if you have a place of business (office, warehouse, branch) from which you make supplies, or employees working from a fixed office there providing services.

• Remote employees working from home in other States: generally not a place of business (no fixed establishment from which supplies are made), but departments have taken different views. Ensure contracts and invoices are from Telangana.

• Inter-State supplies from Telangana: IGST.