Apr 11th, 2025
To inform that GSTN has implemented phase-wise changes in Table 12 of GSTR-1 or GSTR-1A. For the same, various advisories have been issued time to time, which are available on the GST Portal. GSTN is going to implement Phase-III of Table 12 of GSTR 1 & 1A from the April 2025 tax period onwards. Which implies:
For detailed advice on the above issue, kindly refer to the Advisory dated Jan 22nd, 2025, issued by GSTN, which is available on the GST Portal at https://services.gst.gov.in/services/advisoryandreleases/read/574.
In the Central Goods and Services Tax Rules, 2017,–
“Explanation, – No refund shall be available for any tax, interest and penalty, which has already been discharged for the entire period, prior to the commencement of the Central Goods and Services Tax (Second Amendment) Rules, 2025, in cases where a notice or statement or order mentioned in sub-section (1) of section 128A, includes a demand of tax, partially for the period mentioned in the said sub-section and partially for a period other than mentioned in the said sub-section.”
“Provided further that where the notice or statement or order mentioned in sub-section(1) of section 128A of the Act includes demand of tax, partially for the period mentioned in the said sub-section and partially for the period other than that mentioned in the said sub-section, the applicant instead of withdrawing the appeal, shall intimate the appellate authority or Appellate Tribunal that he does not wish to pursue the appeal for the period mentioned in the said sub-section and the relevant authority shall, after taking note of the said request, pass such order for the period other than that mentioned in the said sub-section, as he thinks just and proper.
Explanation, – For the removal of doubt, it is clarified that the appeal application shall be deemed to have been withdrawn to the extent of the said intimation for the period from the 1st July, 2017 to the 31st March, 2020 or part thereof, for the purpose of sub-clause (3) of section 128A.”
References have been received in the Board regarding difficulties being faced by the applicants in getting a GST registration, mainly on account of nature of clarifications being sought by the officers with respect to information submitted in the application FORM GST REG-01 and seeking of additional documents which are not prescribed in the List of Documents appended to FORM GST REG-01. While on one hand, there is a need to prevent registration of fraudulent firms created for passing on input tax credit (ITC) without any underlying supply, on the other hand, there is a need to ensure that genuine applicants seeking registration are not unduly harassed.
It is noted that varied practices are being followed by the officers in respect of verification of documents and details provided in FORM GST REG-01. It has also been observed that while processing the application, avoidable clarifications are being sought by the officers, leading to a delay in getting registration as well as rejection of applications.
An analysis of the information/clarifications/documents sought in FORM GST REG-03 reveals that these were mainly on account of proof of principal place of business, constitution of business, identity details of authorized signatory, owner etc.
Guidelines for processing of application for registration were earlier issued vide instruction No. 03/2023-GST dated 14th June, 2023. However, as there have been a number of changes in the back office and due to the increasing number of registration-related complaints, a comprehensive instruction is being issued to take care of the latest developments and to provide clarity to the officers for the processing of registration applications. Accordingly, in supersession of the aforesaid instruction, the following instructions are being issued.
An indicative list of documents has been prescribed in FORM GST REG-01 for submission along with the registration application. The officers handling registration applications should go through the documents list referred to above and should strictly adhere to the following instructions in respect of the processing of registration application:
Documents to be sought from the applicant while processing applications:
iia. In cases where premises is rented, the applicant is required to upload the valid Rent/Lease agreement along with any one of the documents, mentioned in the indicative list of documents in FORM GST REG-01 to establish the ownership of the premise by the lessor. The list includes the latest Property Tax receipt or Municipal Khata copy or copy of Electricity Bill. However, it has been observed that additional documents of the lessor are being sought by the field formations, such as his PAN card, Aadhar Card, photograph of the lessor in front of/or inside the property, etc. It is hereby advised that any one of the documents mentioned in the said list or similar documents such as water bill or any document prescribed under the State or the local laws which clearly establishes the ownership of the premises by the lessor should be sufficient proof of the principal place of business.
(iib) It is further advised that in cases where Rent/Lease Agreement is not registered, then the agreement along with any one of the documents mentioned in the above list and a copy of the identity proof of the lessor should be sufficient. In case where Rent/Lease Agreement is registered, the agreement along with any one of the documents mentioned in the above list should suffice and no identity proof of the lessor should be sought. However, in case the electricity or water connection is in the name of the applicant tenant, the document evidencing the same, along with the rent agreement, should be accepted as valid proof and no additional documents pertaining to the lessor should be sought.
(iii) For premises not covered under (i) and (ii) above, such as where the ownership of premises is with spouse, relative etc., a consent letter in plain paper by the concerned owner of the premises along with a copy of the identity proof of the person granting consent along with any one of the documents as mentioned in list of documents appended to FORM GST REG-01 in support of ownership of the premises of the consenter should suffice. The list includes the latest Property Tax receipt or Municipal Khata copy or copy of Electricity Bill. Any one of these documents or similar documents such as water bill or any document prescribed under the State or the local laws which clearly establishes the ownership of the premises by the consenter should suffice and no additional documents from the applicant should be sought.
(iva) In respect of shared premises, where a Rent/Lease agreement is available, the applicant may upload a copy of the agreement along with any one of the documents in the said list relating to the ownership of the premises, which includes the latest Property Tax receipt or Municipal Khata copy or copy of Electricity Bill. In cases where the Rent/Lease Agreement is not registered, then the agreement along with any one of the documents mentioned in the above list and a copy of the identity proof of the lessor should be sufficient. In case the Rent/Lease Agreement is registered, the agreement along with any one of the documents mentioned in the above list should suffice and no identity proof of the lessor should be sought.
(iv) In cases where Rent/Lease agreement is not available, the applicant may upload a consent letter in plain paper from the consenter along with his identity proof of the consenter and any of the said documents in support of ownership of the premises of the consenter. In such cases, any one of the documents mentioned in the said list or similar document prescribed under the State or the local laws which clearly establishes the ownership of the premises by the consenter should suffice and no additional document should be sought from the applicant for proof of ownership of the premises by the consenter.
(v) In case of rented/leased premises, where rent or lease agreement is not available, an affidavit to that effect along with any document prescribed in the FORM GST REG-01 in support of the possession of the premises of the applicant such as copy of Electricity Bill in the name of the applicant should suffice. It may be noted that in such cases, the said affidavit is to be executed on non-judicial stamp paper of minimum value in the presence of First-Class Judicial Magistrate or Executive Magistrate or a Notary Public.
(vi) If the principal place of business is located in the Special Economic Zone or the applicant is a Special Economic Zone developer, necessary documents/certificates issued by the Government of India are required to be uploaded.
It has been observed that various unwarranted documents are being sought by raising presumptive queries. Some of the common queries raised are that residential address of the applicant/Managing Director/Authorized Signatory is not in the same city or the State where the registration has been sought; HSN code of goods mentioned by the applicant in Registration application is banned or prohibited for sale in the State where the applicant wishes to conduct business; the kind of activities mentioned in the registration application cannot be conducted from the particular premises etc. Officers handling registration applications should not ask any presumptive query which is not related to the documents or information submitted by the applicant.
(i) As mentioned above, FORM GST REG-01 prescribes a list of documents to be uploaded by the applicant in respect of photograph, constitution of business, principal place of business, bank account, etc. The proper officer shall carefully scrutinize the said documents to ensure that the documents are legible, complete and relevant. Further, the details or information furnished by the applicant in the application should also be carefully examined by the proper officer to check completeness of the same, to correlate and cross-verify the same with the uploaded documents and to check the authenticity of the applicant. The details of the address of the principal and additional places of business and the corresponding documents uploaded with the application as proof of address may be closely scrutinised to verify the completeness and correctness of the address of such places of business. Further, to the extent possible, the authenticity of the documents furnished as proof of address may be cross-verified from the publicly available sources, such as websites of the concerned authorities, such as land registry, electricity distribution companies, municipalities and local bodies, etc.
(ii) Where applications have not been flagged as risky on the common portal based on data analysis and risk parameters and the same are found to be complete and without any deficiency, the officers should approve the application within 07 working days of submission of application.
(iii) Where applications fall under the following conditions, the registration shall be granted within thirty days of submission of the application after physical verification of the place of business:
(iv) In cases mentioned above, where physical verification is to be carried out, the proper officer shall immediately initiate the process for physical verification of the place of business in accordance with provisions of rule 9 of CGST Rules read with rule 25 thereof. In this regard, the concerned officer must ensure that the physical verification report along with the other documents, including photographs, is uploaded on the system in FORM GST REG-30 at least 05 days prior to the expiry of the time period of 30 days from the date of submission of application. The officer carrying out physical verification shall ensure the following:
(v) The proper officer may seek clarification or information or document(s) in FORM GST REG-03 in the following cases:
(vi) The proper officer shall issue a notice to the applicant electronically in FORM GST REG-03 only based on above mentioned grounds, within 07 working days from the date of submission of application in cases where the applications have not been flagged as risky as mentioned in para 8(ii) above or within 30 days from the date of submission of application in cases where the applications have been flagged as risky as mentioned in para 8(v) above. However, while processing the registration applications, if any document apart from the listed documents is required to be sought, the officer shall seek the same only after the approval of the concerned Deputy/Assistant Commissioner. It must be ensured that no application for the grant of registration is approved on a deemed basis for want of timely action on the part of tax officers. The officer shall also ensure that no documents in addition to those mentioned above and no clarification/information/documents on the basis of presumptive grounds shall be sought from the applicant. Further, the officer shall also ensure that queries are not raised for minor deficiencies which are not relevant for establishing Proof of Place of Business or Constitution of Business etc.
(vii) The applicant is required to furnish a reply in FORM GST REG-04 within 07 working days from the date of receipt of notice issued in FORM GST REG-03. The proper officer shall carefully examine the clarification, information or documents furnished by the applicant in FORM GST REG-04. Where the proper officer is satisfied with the reply furnished by the applicant in FORM GST REG-04, he shall approve the application for registration within 07 working days from the date of receipt of such reply. However, where the proper officer is not satisfied with the clarification, information or documents furnished by the applicant, he may, for reasons to be recorded in writing, reject such application and inform the applicant electronically in FORM GST REG-05 within 07 working days from the date of receipt of reply.
(viii) In cases where no reply to the notice is furnished by the applicant within 07 working days from the date of issuance of notice in FORM GST REG-03, the officer may, for reasons to be recorded in writing, reject such application and inform the applicant electronically in FORM GST REG-05 within 07 working days from the date of expiry of time limit of filing reply.
