person exceed 40 lakh limit he is liable to mandatory Gst registration if his total turnover 60 lakh. Question is how much amount is taxable 20 Lakh or fully 60 Lakh.
Replies (6)
Quick Summary
This discussion clarifies mandatory GST registration when a business's turnover exceeds the ₹40 lakh threshold. It addresses whether the taxable amount is the full turnover (₹60 lakh) or just the amount exceeding the limit (₹20 lakh). The consensus is that the entire turnover is subject to GST once the threshold is crossed, and registration is mandatory under Section 22 of the CGST Act. Advice is also given on potentially dividing turnover between two proprietorship firms if applicable.
Yes, it's mandatory if the limit is crossed 20/40L based upon state to state. If it's proprietorship concern better to make another proprietorship firm and divide the sale 30-30 in both the firm.