Additional place of business services provides registration of any business entity under the gst law implies obtaining a singular number from the concerned tax authorities for the aim of collecting tax on behalf of the govt and to avail input decrease for the taxes on his inward supplies. Without registration, an individual can neither collect tax from his customers nor claim any input decrease of tax paid by him. A given pan based legal entity would have one gstin per state, meaning a business entity having its branches in multiple states will need to take separate state wise registration for the branches in several states.
But within a state, an entity with different branches would have single registration wherein it can declare one place as principal place of business and other branches as additional place of business. However, a business entity having separate business verticals (as defined in section 2 (18) of the cgst act, 2017) during a state may obtain separate registration for every of its business verticals.
In additional place of business services , consistent with the cgst act, suppliers of taxable goods and services are required to be registered under gst within the state or union territory, from where the taxable supply of products or services is formed . Further, additional place of business services provisions are provided within the gst act for obtaining gst registration for branches.
Gst registration should be obtained by a taxable person under gst in each of the state or union territory, from where the taxable supply of products or services is formed .
The first two numbers in gstin are tied to the state of registration. Hence, if a business is working in two different states, then the primary two numbers of the gstin would change, while the pan of the entity would remain an equivalent . Also, just in case of quite 1 gst registration within a state, the entity code would also change.
Gst registration also can be obtained for branches within a state for businesses having multiple business verticals. For gst registration to be issued for branches within a state, the subsequent conditions must be satisfied:
Have quite one business vertical. “business vertical” means a distinguishable component of an enterprise that’s engaged within the supply of individual goods or services or a gaggle of related goods or services which are subject to risks and returns that are different from those of the opposite business verticals.
The business must not be registered to pay tax under the gst composition scheme.
All separately registered business verticals must pay tax on supply of products or services to a different registered business vertical of an equivalent business and issue a tax invoice for such supplies.