TaxTMI 
TaxTMI 
TaxTMI 
Two firms on one PAN
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....wo firms on one PAN<br> Query (Issue) Started By: - Rajesh Kumar Dated:- 9-3-2023 Last Reply Date:- 16-3-2023 Goods and Services Tax - GST<br>Got 5 Replies<br>GST<br>Dear experts, I want to know that is there any implications if an individual opens two firms on his PAN ? If yes, can he make sale and purchase between both firms ? Is there duty evasion possibility? Reply By Amit Agrawal: The Rep....
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....ly: Sub-section (4) & 5 of Section 25 are relevant in the context of the query raised: "(4) A person who has obtained or is required to obtain more than one registration, whether in one State or Union territory or more than one State or Union territory shall, in respect of each such registration, be treated as distinct persons for the purposes of this Act. (5) Where a person who has obta....
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....ined or is required to obtain registration in a State or Union territory in respect of an establishment, has an establishment in another State or Union territory, then such establishments shall be treated as establishments of distinct persons for the purposes of this Act." W.r.t. third question about 'duty evasion possibility', I am of the view that one should NEVER indulge in duty-e....
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....vasion or even, looking into possibility of duty-evasion. Reply By Shilpi Jain: The Reply: Opening 2 firms in one PAN - pls note that you would not be able to take GST registration if oth these firms are operating from the same premises. If operating from different premises registration can be taken and supplies between them will be liable Also, for considering the turnover for checking regist....
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....ration requirement, the turnover of the PAN (INCLUDING THE SUPPLIES BETWEEN THE 2 GSTINS) is to be checked rather than the individual GSTIN. Reply By Shilpi Jain: The Reply: So I am not sure of what kind of tax evasion are you referring to Reply By Ganeshan Kalyani: The Reply: Sec 25 of CGST Act permits to obtain more than one GSTIN under one PAN provided the place of business is different. R....
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....eply By Padmanathan Kollengode: The Reply: Request the querist to elaborate the query further. What do you mean by "opens two firm" on his PAN? are you referring to taking two GST registration? Also what is the actual intention of the same and making purchase and sales between them?<br> Discussion Forum - Knowledge Sharing ....