Compulsory registration regardless of turnover
- Inter-state supplies of goods
- Sellers of goods through e-commerce operators (with limited relief for small intra-state sellers)
- Casual taxable persons and non-resident taxable persons
- Persons liable to pay tax under reverse charge
- E-commerce operators and those required to deduct TDS or collect TCS under GST
- Input service distributors
- Online information and database access services supplied from abroad to Indian consumers
Who doesn't need to register
- Businesses below the threshold making only intra-state supplies
- Those supplying only exempt or nil-rated goods or services
- Agriculturists supplying their own produce
- Service providers making inter-state supplies below ₹20 lakh
Voluntary registration
Businesses below the threshold can register voluntarily — useful when B2B customers want to claim input tax credit, for selling on marketplaces, or to export services under an LUT. Once registered, all GST obligations apply.
Worked example: online seller below the threshold
- 1A home-made products seller in Telangana sells ₹12 lakh a year on a marketplace, only within the state.
- 2Turnover is below ₹40 lakh, and intra-state e-commerce sellers of goods below the threshold can sell without registration under the relief available since October 2023, subject to conditions.
- 3Selling to buyers in other states through the marketplace would require registration.
Registration not mandatory while sales stay intra-state and below the threshold.
