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To check whether your business must register for GST in India, calculate aggregate turnover across India for all businesses linked to the same PAN, identify the threshold that applies to your supplies and state, then check separately for compulsory-registration rules and exemptions. A single outlet’s taxable sales figure is not enough to decide.
1. Work out aggregate turnover for the right PAN
GST registration thresholds are based on aggregate turnover in a financial year. Under the CGST Act, this is calculated across India for persons with the same PAN. It includes the value of taxable supplies, exempt supplies, exports and inter-State supplies. It excludes inward supplies on which the recipient pays tax under reverse charge and excludes GST and compensation cess. See the CGST Act, sections 2(6) and 22 and the CBIC sectoral FAQs.
In practice, gather supplies from every business or place of business linked to that PAN, including supplies in other states. Do not count only taxable sales, or calculate each state’s turnover in isolation. Keep the invoices and working papers that support your total.
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There is no single threshold that can safely be applied to every business. The relevant amount depends on the state and whether the person supplies services, goods exclusively, or a mix. The table summarizes figures in CBIC’s GST: An Update, dated 1 June 2019. They describe that update’s threshold framework, not a confirmed 2026 limit for every business. Check the current notification and your precise supply profile before relying on a figure.
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| Business profile | Threshold described by CBIC | What to verify |
|---|---|---|
| General threshold framework | ₹20 lakh in a financial year. | Whether your state and supply type fall under a different threshold. |
| Specified special-category-state cases | ₹10 lakh in the 2019 update. | Whether the state and supply category are among those covered under the applicable current rules. |
| Supplier engaged exclusively in goods | Up to ₹40 lakh in states that adopted the option, subject to conditions. | Whether you qualify as exclusively engaged in goods and whether the state’s current notification permits this threshold. |
| Goods suppliers in other state cases, or businesses supplying services as well | The update describes ₹40 lakh or ₹20 lakh for goods depending on state, and ₹20 lakh for services in specified lower-threshold states; there is no single figure for this row. | Apply the threshold for the state and supply mix; do not assume the exclusive-goods threshold applies to a mixed business. |
These figures come from CBIC’s 2019 update; the Act PDF linked above is amended as on 1 January 2022. Because threshold notifications and state choices matter, confirm the rules currently in force for your state rather than treating the table as a universal or current-state-by-state list.
3. Check for compulsory registration even below the threshold
Crossing the applicable turnover threshold is not the only route to liability. Section 24 of the CGST Act lists categories that may require registration regardless of the usual threshold, subject to applicable amendments, exceptions and notifications. Check whether the business acts as or is:
- a casual taxable person making taxable supplies or a non-resident taxable person;
- a person liable to pay tax under specified reverse-charge provisions or under section 9(5);
- an agent making taxable supplies on behalf of another taxable person;
- an input service distributor;
- a supplier through an e-commerce operator required to collect tax at source, or an e-commerce operator itself; or
- a specified overseas supplier of online information and database access or retrieval (OIDAR) services.
The statutory categories and procedure appear in sections 22–25 of the CGST Act. The CGST Act and rules also provide for exceptions and notified exemptions, so match the actual role and transaction to the current provision. Selling online does not, by itself, establish that every seller must register; nor should an inter-State sale be treated as an automatic answer without checking the applicable exemption or notification. CBIC’s GST FAQs provide additional registration explanations.
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Section 23 excludes, among others, persons engaged exclusively in making supplies that are wholly exempt or not liable to tax, and agriculturists to the extent of produce out of cultivation of land. CBIC’s 2019 threshold update also describes exemptions for certain small service suppliers making inter-State supplies or supplying through e-commerce platforms. Those exemptions are specific; they should not be extended to every small business, online seller or inter-State supplier. Check the applicable notification and the business’s exact facts.
5. Decide whether you are liable
- Identify the legal person and PAN. Determine which supplies belong to persons linked to that PAN.
- Total aggregate turnover. Include the all-India categories counted by the Act, and exclude the specified reverse-charge inward supplies and GST amounts.
- Choose the applicable threshold. Check the state, the goods-or-services mix and whether an exclusive-goods threshold is available under current rules.
- Test compulsory-registration rules and exclusions. Review the business’s role, transaction types and any applicable statutory or notified exemption.
- Keep the evidence. Retain the turnover calculation, supporting records and the notifications or advice used to determine the result.
If multiple states, reverse charge, e-commerce arrangements or unclear supply classification affect the answer, ask a qualified GST practitioner to review the current rules and your facts.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.6. Apply through the GST Portal if registration is required
The CGST Act generally requires a liable person to apply within 30 days from the date liability arises, in each state or union territory where registration is required. A casual taxable person has a separate instruction to apply at least five days before commencing business. These timing rules are described in the Act and the GST Portal’s normal-taxpayer registration guide.
- Go to gst.gov.in → Services → Registration → New Registration.
- In Part A, provide the taxpayer type, state and district, PAN and legal name, and the primary authorized signatory’s email address and mobile number. Validate the contact details using the OTPs.
- Use the temporary reference number to continue to Part B. Complete the requested business, promoter or partner, authorized-signatory, place-of-business, goods-and-services, authentication and verification details.
- Submit the application and follow the live portal instructions. The portal workflow can change, so use the current on-screen requirements.
According to the portal guide, when a normal-taxpayer application is filed within 30 days, registration is effective from the date the person became liable. If filed later, the effective date is the date registration is granted, while the liability date remains unchanged.
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