Who is Not Required to Register under GST
In our earlier blogs on registration under GST, we have learnt that persons whose turnover exceeds Rs. 10 Lakhs (in special category States) and Rs. 20 Lakhs (in rest of India) have to register under GST. However, certain persons are not liable to register under GST, irrespective of their turnover. This means that even if their turnover crosses Rs. 10 Lakhs/20 Lakhs, as applicable, these persons do not have to register under GST. In this blog, let us learn about these persons who are not required to register under GST.
An agriculturist is an individual or Hindu Undivided Family (HUF), who undertakes cultivation of land either:
- By his own labour
- By the labour of his family or
- By servants on wages paid in cash or kind, or by hired members under the person’s supervision or the personal supervision of any member of the family
Agriculturists supplying produce generated by the cultivation of land are exempted from registering under GST. Even if their turnover crosses the threshold limit, they are not liable to register under GST.
For example: An agriculturist supplying fruits and vegetables cultivated by him is not liable to register under GST.
2. Persons exclusively supplying exempt goods or services
Exempt goods or services include nil-rated goods and services, non-taxable goods and services and supplies notified as exempt by the Government.
Persons who exclusively supply exempt goods or services are among the persons who are not required to register under GST.
For example: Supply of alcohol for human consumption is a non-taxable supply under GST. Persons who exclusively supply alcohol are not liable to register under GST.
3.Persons exclusively making reverse charge supplies
Persons who exclusively make supplies on which the recipient is liable to pay tax on reverse charge, are not liable to register under GST.
For example: A Goods Transport Agency (GTA) exclusively providing transport service to notified persons, who are liable to pay tax on reverse charge, is not required to register under GST.
Hence, we have learnt the persons who are not liable to register under GST. These persons can make note that they are not required to register under GST, irrespective of their turnover.
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Author: Anisha K Jose
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