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Nature of business activities under GST registration

Others 2802 views 2 replies

One of my client supply goods to government on gem portal goods and mainly paper cup, clothes, fridege, plastic items.

 

While applying for GST which nature of business activities should be selected??

 

Wrongly selected works contract.

Kindly advise 

 


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Replies (2)
Quick Summary
User�s client supplies goods like paper cups, clothes, fridges, and plastic items to government via GeM portal. Wrong GST registration activity selected as works contract. Query is what correct nature of business should be�whether trader, wholesaler, or retail since goods are procured and sold on order basis without stock.

To correct the mistake, let's identify the correct nature of business activity for your client.

Types of Supplies Your client supplies various goods to the government through the GeM portal, including:

1. *Paper cups*: Classified as "paper products" or "food packaging material."

 2. *Clothes*: Classified as "textiles" or "apparel."

 3. *Fridges*: Classified as "electrical appliances" or "household appliances."

4. *Plastic items*: Classified as "plastic products" or "household goods."

Nature of Business Activity Based on the supplies, the correct nature of business activity for your client would be:

*1. Manufacturer/Trader* If your client is involved in manufacturing or trading these goods, they should select "Manufacturer/Trader" as the nature of business activity.

*2. Wholesaler/ Distributor* If your client is involved in wholesaling or distributing these goods, they should select "Wholesaler/Distributor" as the nature of business activity. Correcting the Mistake To correct the mistake,

your client should:

1. Log in to the GST portal.

 2. Go to the "Registration" tab.

 3. Select "Amendment" and then "Core Amendment."

 4. Update the "Nature of Business Activity" field with the correct option (Manufacturer/Trader or Wholesaler/Distributor).

 5. Save and submit the amendment request. It's essential to correct the mistake as soon as possible to avoid any compliance issues or penalties.

But he doesn't have large no of stock, he purchase and sell as per order, should I select Reatil option?


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