Important Steps to Follow for GST Migration

By Registrationwala

5th May 2017


Below mentioned are a few important things that every migrant must keep in mind while shifting from the current tax system to proposed GST system.

1. Creation of User ID and Password- to begin with, every current taxpayer is supposed to register themselves with the GST. In order to create the new identity, one must avail itself a provisional ID and password which will be given to them on the common portal. This can be gotten through dealers login which will be given to the taxpayer through State Vat Department of their respective states.

Once the provisional ID and password details are filled in the common GST portal, it will be prompted to ask further details of the concerned person such as Email ID and Mobile number where two different passwords will be sent respectively.

One must enter the one-time password of both email ID and password simultaneously in order to access the new User ID and password.

Five security questions are to be filled in, in thecase of any misuse or forgot password event. It is advisable to take a print out of the ID and password before submitting the list of security questions.

2. Details of Business –Once the password and ID are successfully set up one needs tologin into the GST common portal using the same. Next after login in one can get access to the provisional GST number on the dashboard itself. This number starts with the state code then followed by a 10 digit pan alongside 3 more system generated digits.

In the first tab, the registrant is expected to fill in information regarding various details concerningthe business. Details like PAN number, Legal Name are automatically generated on the tab.

Apart from the above-mentioneddetails along with the date of registration as provided underCentral Excise, Service tax, VAT, Luxury Tax, Entertainment Tax, IEC, CIN number etc are also to be filled in manually.

In addition to all the above-mentioneddetails, one is also expected to submit proof in lieu of the business conducted such as, Shop Act License/Factory License in case of individual, Partnership Deed in case of Partnership Firm, or Registration Certificate/Proof of Constitution in case of Society, Trust, Club, Government Department, Association of Person or Body of Individual, Local Authority, Statutory Body and Others etc.) shall be attached

These documents are to be scanned and be made available in JPEG or PDF format of size 1MB and less.

3. Details regarding Proprietor, Partner, Managing and Whole Time Director, Karta:

While filling in details regarding the Proprietor, Partner, Managing and Whole Time Director, Karta one must ensure that Full Name, Full Name of Father/ Husband, DIN Number, Date of Birth, Mobile Number, Gender, Designation, PAN Number, Aadhar Number shall be accurately entered.

Apart from the above mentioned, other important details such as Residential Address (Building/Flat No, Name of Premises, Road, Locality, State, District, Pin code etc.) and Scanned copy of Photograph (In JPEG format only with maximum size of 100 KB) is also required to be uploaded on common portal.

It is essential to make sure that all the details provided on the common portal must match the details provided in the PAN card. In event of mismatch of these details, it will hinder the validation process of the registrant.

4. Details of Authorized Signatory: - the above-mentioned information in point 3 holds valid for authorised signatory as well. After submitting these documents one must also provide a scanned copy of board resolution or authority letter evidencing appointment of such person as an authorised signatory. This letter should be accompanied by with acceptance letter that will be uploaded on GST common portal.

The format of uploading these documents should be restricted to pdf/jpeg format with amaximum size of 100KB. Each signatory will have a separate board resolution or authority letter.

The following people can be appointed as an authorised signatory for business entities. The maximum number being 10. They are as follows:-Proprietor, Partner, Managing and Whole Time Director or Karta.

A board resolution/authority letter is also required for Partner, Managing and Whole Time Director or Karta if they want to act as an authorised signatory.

5.      Details of Principal Place of Business: Information regarding the place of business also plays a major role in the migration process. Details such as Address (Building/Flat No, Name of Premises, Road, Locality, State, District, Pin code etc.), Official Email-Id, Mobile Number, Office Telephone Number, Nature of possession of premises (i.e. Own, Rented, Leased, Consent, Shared), Scanned copy of Proof of Principal place of business i.e. in PDF/JPEG format with maximum size of 1 MB should be made availed under the required tab.

Below mentioned is are the list of documents that can act as a proof of Principle place of business

(a)For Own premises –The ownership of the business premises can be supported by submitting documents like Latest Property Tax Receipt or Municipal Khata copy or a copy of Electricity Bill.

(b)For Rented or Leased premises – In the case of a rented or leased property, a copy of the valid Rent / Lease Agreement with any document in support of the ownership of the premises of the Lessor like Latest Property Tax Receipt or Municipal Khata copy or a copy of Electricity Bill should be submitted.

(c)For premises not covered in (a) & (b) above – If your business property does not fall under either of the categories, A copy of the Consent Letter with any document in support of the ownership of the premises of the Consenter like Municipal Khata copy or Electricity Bill copy will make do. For shared properties, also, the same documents should be uploaded.

One should also note that a principle place of business translates to that all the major activities of the business are carried out from this very centre. There may be cases where the registered office and principle place of business are different.

Apart from the above mentioned the nature of activities conducted on premises such as Factory / Manufacturing, Wholesale Business, Retail Business, Warehouse/Deport, Bonded Warehouse, Service Provision, Office/Sale Office, Leasing Business, Service Recipient, EOU/ STP/ EHTP, SEZ , Input Service Distributor, (ISD), Works Contract etc. should also to be mentioned at the time of registration.

6.  Details of Additional Place of Business:- other additional places apart from the primary place of business such as factory, office, godown, warehouse or any other place where the registering person stores his goods or provides or receives any goods and/or services are covered under this. Details pertaining to the principal place of business apply for this additional place too.

7. Details of Goods & Service supplied: - details regarding the goods and services supplied should be disclosed during this migration process. These details should be disclosed HSN wise of top 5 goods. HSN codes should be stated just like the one stated under existing central Excise Law.

The details pertaining to the service accounting code should also be disclosed under the details of services. To meet this purpose, service accounting codes will be treated same as stated under existing service tax law.

8. Details of Bank Accounts: - every new migrant and the existingtaxpayer needs to provide bank details such as top 10 bank account numbers along with IFSC code and Scanned Copy of thefirst page of Bank Statement/passbook of each bank account. A copy of bank statement can be scanned in PDF/JPEG format with amaximum size of 500 KB in thecase of bank statement and 100 KB in thecase of bank passbook.

9.  Verification:- after successfully completing all the 8 steps and filling in the application we proceed towards the verification process. A person can submit the application using Class-II or Class-III digital signature (DSA). It is mandatory for companies and Limited liability partnership for thefiling of an application with DSA is mandatory.

A taxpayer other than Company and LLP can also file an application by using e-signature option. i.e. by using Aadhar number of authorised person. GST Common portal shall send a request using inter-portal connectivity to UIDIA system to send theone-time password (OTP). UIDIA system shall send OTP to registered email ID & Mobile number registered against such Aadhar number.

Once the verification of GST common Portal System has been established an acknowledgement containing acknowledgement receipt number (ARN)will be generated within next 15 minutes after submission& that is the last step of enrollment for migration to GST.

The above-mentioned points highlight important information to be cautious while migrating from the current tax system to the proposed GST system. 

Click here GST Migration for Existing Tax Payers.


Important Steps to Follow for GST Migration