IN TRANSIT SALE AND PAN INDIA GST REGISTRATION

[CA.ANCHAL RASTOGI]

Q.1 If a Company in U.P. buys material from a Company in Maharashtra and sells the same from the source of purchase in Maharashtra directly to dealers in Maharashtra and adjoining state. Does the company in U.P. have to take a separate GST registration in Maharashtra? OR can it buy on IGST billing and sell on IGST billing too, without taking a separate registration?

Q.2 If the U.P. company has to take a separate registration, does the principle of one GST number India wide for one company get defeated?

[Nash Industries I Pvt Ltd]

1. Bill to UP. Both IGST transaction. No separate registration required

2. It is one nation one tax and not one GST number pan India. Separate registration required for each state and also different registration depending on the business vertical even if within the same state.

Regards,

S.Ramaswamy

[Ganeshan Kalyani]

No need for separate registration in your query no. 1.

[Surender Gupta]

GST which is called as one nation one tax, is a state specific tax therefore if you are conducting business activity which is subject to GST witnin a state, you need to obtain fresh registration in that state if not take an earlier. In your case it is not clear that you are operating from Maharashtra or not. If you are receiving and making supplies within the state of Maharashtra from a fixed location, you need to obtain registration in the state of Maharashtra, indeed.

However if you are instructing the suppliers in Maharashtra to supply the goods on your behalf to the parties within the state of Maharashtra or outside the Maharashtra and you have fixed place of business in the state of Uttar Pradesh and no fixed place of business within the state of Maharashtra, there is no need to seek GST registration in the state of Maharashtra.

All you need to ascertain the nature of your business first.

[wig sinbad]

I humbly submit that this discussion may be rekindled after going through Chapter 5, sec 10 and sec 11(for goods export/ import ) of the IGST Act

AI Summary

GST registration: state-wise registration required where business operates; IGST billing does not remove state registration requirement. GST registration in a State is required where a taxpayer has a fixed place of business there and makes supplies from that location. If the UP company merely procures goods in Maharashtra for onward inter state supply without a fixed establishment in Maharashtra, separate registration need not be taken and IGST treatment may apply. The national single tax principle does not eliminate the need for separate state registrations or registrations for different business verticals.