When establishing a business in India, such as in Karnataka's technology hubs or West Bengal's bustling markets, individuals might observe the initial two digits of their Goods and Services Tax Identification Number (GSTIN) during registration. These two digits are more than just a code; they indicate the specific State or Union Territory (UT) where the business is registered. The GST State code serves as a distinct numerical identifier for each Indian State and UT where a taxpayer holds GST registration. For example, '19' signifies West Bengal, while '29' represents Karnataka. This code assists taxpayers in understanding and managing the intricate GST jurisdictional framework across India. It also allows anyone verifying a GSTIN to quickly ascertain the State or UT where the GST registration was obtained and the business operates.

What is the GST State Code?

The GST law allocates a unique numerical identifier, known as the GST state code, to each Indian state and Union Territory. For instance, Himachal Pradesh is assigned '02', and Delhi is '07'. This state code constitutes the first two digits of a taxpayer's GST Identification Number (GSTIN). Consequently, a GSTIN like 07AAXXX1234A1Z5 immediately indicates that the taxpayer's GST registration is located in Delhi.

GST State Code List

A comprehensive list of GST state codes for all Indian States, Union Territories, and Central Jurisdictions is provided below. These codes are essential for GST compliance and identification purposes. Note that the GST state code for the former Union Territory of Daman and Diu was '25' before January 26th, 2020.

Examples of GST State Codes in India

The Indian government assigns unique GST state codes to each state and Union Territory, with numbers allocated sequentially. For instance, '27' denotes Maharashtra, and '29' identifies Karnataka. The importance of these state codes rose significantly with the implementation of GST in India. The GST state code is integrated into the Goods and Services Tax Identification Number (GSTIN), which is a 15-digit alphanumeric identifier assigned to every registered taxpayer. The initial two digits of a GSTIN invariably represent the state code. Taxpayers utilize this code during GST registration and when inputting invoice details for GST Returns via their GSTIN. For example, if a GSTIN is 10AAJCR2207E1Z2, the '10' indicates the business is registered in Bihar. Additional illustrations include:

• GST state code 19 is for West Bengal
• GST state code 36 represents Telangana
• GST state code 33 is for Tamil Nadu
• Uttar Pradesh has GST state code 09
• GST state code 23 represents Madhya Pradesh
• Jharkhand has GST state code 20
• Punjab has GST state code 03
• GST state code 21 is for Odisha
• New GST state code 26 is for merged UTs of Dadra and Nagar Haveli and Daman and Dui

Classification of GST Jurisdictions

GST jurisdictions are categorized into Central and State administrations. State jurisdictions are those managed and assessed by the respective state governments. In contrast, Central Jurisdictions are directly overseen by the Union government. According to CGST Circular no. 21/2017, issued on September 20, 2017, specific guidelines delineate the division of these jurisdictions:

• For taxpayers with an annual turnover below Rs. 1.5 crore, 90% are assigned to State administration, with the remaining 10% falling under Central administration.
• For those with an annual turnover exceeding Rs. 1.5 crore, responsibilities are equally split, with 50% under State administration and 50% under Central administration.

The allocation of GST taxpayers is an automated process performed at the state level, employing stratified random sampling that considers both geographical location and the type of taxpayer registration. Consequently, GST jurisdictions are hierarchically structured into:

• Zone
• Commissionerates
• Division offices
• Range offices

How to Find or Search for GST Jurisdiction?

Multiple methods exist for identifying the correct jurisdiction for a specific GSTIN or taxpayer. During the GST registration application process, taxpayers must meticulously provide the accurate and complete address of their business premises. This information is vital for precise jurisdiction determination in the application, helping to prevent future complications.

Searching State Jurisdictions in GST

Prior to securing GST registration, taxpayers often need to ascertain their specific State jurisdiction. This involves consulting the relevant State's commercial tax, VAT, or Sales tax website to locate the appropriate ward and circle, which defines the department's State jurisdiction. For example, searching 'Karnataka GST jurisdiction' online leads to a dedicated website like http://gstkarnataka.gov.in/Jurisdiction.html, which systematically lists divisions, groups, wards, districts, and taluks. Other Indian states similarly provide such jurisdictional information on their dedicated websites.

Searching Central Jurisdictions in GST

Just as with State jurisdictions, taxpayers are required to determine their Central jurisdiction and assigned range. The Central Board of Indirect Taxes and Customs (CBIC) offers a specialized online tool, "Know your Jurisdiction," available at https://cbic-gst.gov.in/cbec-portal-ui/?knowYourJuris. To use this tool:

1. Choose your state from the displayed list of states and Union Territories.
2. Click on the relevant zone name to select it.
3. From the populated list of commissionerates, select the one applicable to your business.
4. A list of sub-commissionerates or divisions will then appear; click on the appropriate one.
5. Finally, the system will present a list of jurisdiction ranges, providing detailed information pertinent to your business's jurisdiction.

Check on the GST Registration Certificate

Following successful registration, taxpayers can always consult their GST registration certificate (Form REG-06) to identify both their State and Central jurisdictions.

How to get the Contact Details of the GST Jurisdictional Officer?

To obtain contact information for your GST Jurisdictional Officer, access the official GST portal specific to your state or Union Territory.

How to Correct a Wrongly Informed GST Jurisdiction?

Should a taxpayer mistakenly select an incorrect jurisdiction during GST registration, corrections are possible. A formal request for jurisdictional detail amendment needs to be submitted to the administrative or IT department of the relevant State authority.

Where do we need State Code in GST?

Every GST taxpayer must be aware of the correct GST State codes for all States and Union Territories, as these codes are widely utilized in various GST compliance and legal processes. The GST state code is crucial for several key reasons:

1. GST Registration: Applicants must provide precise and complete details, including state and central jurisdictions for their primary business location, to secure valid GST registration. After officer verification, the applicant receives a GSTIN that incorporates the relevant GST State code.
2. GST Invoice and E-Invoicing: The GST state code is vital for accurate invoicing and e-invoicing under GST. The GSTINs of buyers, sellers, and consignees include these state codes, which are used to determine the place of supply for a sale. This determination, in turn, dictates whether Integrated GST (IGST) or Central GST (CGST) and State GST (SGST) should be charged, based on if the sale is interstate or intrastate. An incorrect GST state code on an invoice can lead to erroneous charging of IGST instead of CGST and SGST, or vice versa, due to a misidentified place of supply. For businesses adhering to e-invoicing regulations, such errors can result in the cancellation of the Invoice Reference Number (IRN) and necessitate reissuing the invoice.
3. GSTR-1 and GSTR-3B Return Reporting: Regular taxpayers are required to report B2B invoice specifics, including GSTIN, in their monthly or quarterly GSTR-1/IFF filings. This data is then transferred to the respective GSTR-2A/GSTR-2B of the buyers, based on the GSTIN provided. The GST portal currently lacks a mechanism to validate if a buyer’s GSTIN on a tax invoice is correctly entered in GSTR-1/IFF, unless it's auto-populated from the e-invoice portal. Therefore, an error by the seller in entering the GST State code within the GSTIN during GSTR-1/IFF filing could result in the wrong entity or GSTIN receiving tax credit in GSTR-2A/2B, rather than the intended buyer.