Advisory for Simplified GST Registration Scheme

Introduction of a Simplified GST Registration Scheme

A new Simplified GST Registration Scheme has been launched under Rule 14A of the CGST Rules, 2017. This initiative aims to simplify compliance and improve the ease of doing business for small taxpayers.

Eligibility Criteria

Any individual who anticipates that their monthly total output tax liability (including CGST, SGST/UTGST, IGST, and Cess) on supplies to registered persons will not surpass Rs. 2.5 lakh is eligible for this scheme. Note that a person registered under this rule cannot obtain a second registration within the same State or Union Territory using the same PAN.

Key Implementation Features on the GST Portal

• Application Process: When filling out FORM GST REG-01, applicants must select "Yes" for the "Option for Registration under Rule 14A."
• Aadhaar Authentication: It is mandatory for the Primary Authorized Signatory and at least one Promoter or Partner to complete Aadhaar authentication.
• Quick Grant of Registration: Subject to successful Aadhaar authentication, the registration will be granted electronically within three working days from the generation of the Application Reference Number (ARN).

Conditions for Withdrawing from the Scheme

Taxpayers who opt for this scheme and later wish to withdraw must meet the following conditions:

• File all returns due from the registration date up to the withdrawal application date.
• Have filed returns for a minimum of three months (if withdrawing before April 1, 2026) or for at least one tax period (if withdrawing on or after April 1, 2026).
• Ensure there are no pending applications for amendment or cancellation of the registration.
• Confirm that no proceedings for cancellation of registration under Section 29 have been initiated or are pending.

Originally published at: https://services.gst.gov.in/services/advisoryandreleases/read/635