GST Registration for Small Shopkeepers

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This article will break down GST registration for small shopkeepers and explain what you need to know. You play a vital part in the Indian economy as a small shopkeeper. 

However, with the adoption of the Goods and Services Tax (GST), you may be concerned if you must register for GST and what this implies for your business. Read this article to know all about GST Registration for Small Shopkeepers. 

What exactly is GST?

The Goods and Services Tax (GST) is an indirect tax levied in India on the sale of goods and services.

The tax is included in the final price and is paid by the customer at the time of purchase, with the supplier or shopkeeper passing it on to the government.

Across the country, the Goods and Services Tax is normally levied at a single rate divided into numerous slabs.

You can read our guide at: Overview of GST, Benefits & Important Components to understand about GST in detail or consult our GST Experts at: 8881-069-069.

When do you need to pay GST as a Small Shopkeeper?

You are not needed to register for GST if your yearly turnover is less than the threshold limit for GST registration. The annual or yearly turnover limit for Goods and Services Tax Registration is Rs. Forty Lakhs in Normal Category States and Rs. 20 Lakhs in Special Category States. 

However, if your firm falls below the threshold, you may still be compelled to pay GST on goods and services supplied. You will also need to pay GST on all the inward supplies or goods or services used for your business. 

What is GST Registration? 

Registration for the Goods and Services Tax (GST) is an online process that asks you to enter information about your business, such as your company’s name, address, and the goods and services it offers. 

You will be granted a unique GSTIN (Goods and Services Tax Identification Number) once you have registered for GST, which you must use on all invoices and for GST Return Filing

When do you need to get GST Registration for a Small Shopkeeper?

All shops with an annual turnover of Rs 40 lakhs (Rs 20 lakhs for special category states) or more are needed to register for GST. 

However, the small shopkeepers can also get Voluntary GST Registration to avail the benefits of GST Registration under Law

GST offers benefits to both your customers and you and to know more about the benefits, you must read our article at: Benefits of GST on Business and Consumers

The information on Voluntary GST Registration in detail is available at: GST registration on voluntary basis.   

What are the Special Category States as per GST Rules in India?

  • Arunachal Pradesh
  • Assam
  • Jammu & Kashmir
  • Manipur
  • Meghalaya
  • Mizoram
  • Nagaland
  • Sikkim
  • Tripura
  • Himachal Pradesh
  • Uttarakhand

Thus, if you own a shop in these states and your annual turnover exceeds Rs. Twenty Lakhs, you will need to mandatorily get GST Registration and do GST Return Filing

Which documents do you need to provide to get GST Registration?

  • PAN Card of the Business or Applicant
  • Identity and Address Proof of Shop Owner
  • Address Proof of the Shop
  • Bank Account Proof

For detailed guidance on document preparation and requirements for GST Registration, it’s best that you consult our business advisors through 8881-069-069 or

How can you comply with GST Rules and Regulations as a Small Shopkeeper?

Gone are the days when small shopkeepers had to face difficulties in managing their business. 

At present, small shopkeepers can get MSME Registration, utilise Online Bookkeeping and Accounting Services and modern invoice generator tools such as Instabill to grow their business rapidly while complying with the GST Rules and Regulations. 

In a Nutshell

GST registration may appear to be an intimidating procedure for a small shopkeeper, but it is critical for the growth and profitability of your business. By registering for GST, you will be eligible to claim input tax credits on GST paid on purchases, reducing your overall tax burden. Furthermore, registering for GST will offer your consumers trust in your company’s authenticity and may bring in new customers.

Take a call from Expert

GST Registration for small business in India

moreover, If you want any other guidance relating to GST Return Filing or GST Registration online , please feel free to talk to our business advisors at 8881-069-069.

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