CGST Section 22 – Persons Liable for Registration [Updated 2019]

CGST Section 22 – Persons liable for registration

CGST Section 22 (1)

Every supplier shall be liable to be registered under this Act in the State or Union territory, other than special category States, from where he makes a taxable supply of goods or services or both, if his aggregate turnover in a financial year exceeds twenty lakh rupees:

Provided that where such person makes taxable supplies of goods or services or both from any of the special category States, he shall be liable to be registered if his aggregate turnover in a financial year exceeds ten lakh rupees.

[1][Provided further that the Government may, at the request of a special category State and on the recommendations of the Council, enhance the aggregate turnover referred to in the first proviso from ten lakh rupees to such amount, not exceeding twenty lakh rupees and subject to such conditions and limitations, as may be so notified.]

CGST Section 22 (2)

Every person who, on the day immediately preceding the appointed day, is registered or holds a licence under an existing law, shall be liable to be registered under this Act with effect from the appointed day.

CGST Section 22 (3)

Where a business carried on by a taxable person registered under this Act is transferred, whether on account of succession or otherwise, to another person as a going concern, the transferee or the successor, as the case may be, shall be liable to be registered with effect from the date of such transfer or succession.

CGST Section 22 (4)

Notwithstanding anything contained in sub-sections (1) and (3), in a case of transfer pursuant to sanction of a scheme or an arrangement for amalgamation or, as the case may be, demerger of two or more companies pursuant to an order of a High Court, Tribunal. Manner of recovery of credit distributed in excess. Or otherwise, the transferee shall be liable to be registered, with effect from the date on which the Registrar of Companies issues a certificate of incorporation giving effect to such order of the High Court or Tribunal.

Explanation: For the purposes of this section, –

(i) the expression “aggregate turnover” shall include all supplies made by the taxable person, whether on his own account or made on behalf of all his principals;
(ii) the supply of goods, after completion of job work, by a registered job worker shall be treated as the supply of goods by the principal referred to in section 143, and the value of such goods shall not be included in the aggregate turnover of the registered job worker;
(iii) the expression “special category States” shall mean the States as specified in sub-clause (g) of clause (4) of article 279A of the Constitution [2][except the State of Jammu and Kashmir] [3][and States of Arunachal Pradesh, Assam, Himachal Pradesh, Meghalaya, Sikkim and Uttarakhand” shall be inserted].


[1] Proviso inserted by the Central Goods and Services Tax (Amendment) Act, 2018. – Date of Amendment : 29-08-2018,    Effective from : 29-08-2018,    Retrospective Effect : No

[2] Inserted by THE CENTRAL GOODS AND SERVICES TAX (EXTENSION TO JAMMU AND KASHMIR) ACT, 2017.

Date of Amendment : 23-08-2017, Effective from : 08-07-2017, Retrospective Effect : Yes

[3] Words inserted by the Central Goods and Services Tax (Amendment) Act, 2018. – Date of Amendment : 29-08-2018, Effective from : 29-08-2018,    Retrospective Effect : No

1 thought on “CGST Section 22 – Persons Liable for Registration [Updated 2019]”

  1. Ours is a housing society registered under societies act. Although per head contribution is much below Rs 5000/- but total receipts exceeds Rs 20,00,000/-
    Apart from that we do not provide any services which attracts GST like club facility etc.
    Please enlighten us on the applicability for registration under GST.

    Regards
    Deepika

    Reply

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