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Documents Required for GST Registration of Proprietorship

As you are aware, a sole proprietorship is a business in which a single person owns the company and is also in charge of its management. Sole Proprietorship does not need to be registered in India, and registration is voluntary rather than mandatory. To start a business in India, a sole proprietorship is not compulsory, but you may be required to obtain certain licenses such as GST registration or MSME registration, among others. The GST Registration Process is entirely online, with no physical documents required to be submitted to the GST Department. In order to complete the steps to get GST Registration, it is critical that you have all the documents ready and organized as per the strict requirements of the law. To obtain GST Registration, the proprietorship must electronically file an application in Form GST REG-01 with the following details and documents at the GST common portal, that is www.gst.gov.in.
Documents Required For Gst Registration Of Proprietorship
GST registration enables the state to identify indirect taxpayers more efficiently and ensure tax compliance throughout the country. To collect taxes on behalf of the government and claim an input tax credit for taxes paid on inbound products, any business entity must register under the GST law and obtain a unique number from the relevant tax authorities.

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Documents Required for GST Registration of Proprietorship

Proprietors must submit the below-mentioned documents to the GST portal.

Documents Of The Proprietor

  • Proprietor’s Permanent Account Number (PAN)
  •  Owner’s permission to obtain GST registration
  • Authorization / Declaration to the Authorized Signatory
  • Bank Account Information: A scanned copy of a canceled cheque with the business entity’s name, bank account number, MICR, IFSC, and branch information.
  • Photograph of the owner and the authorized signatory
  • Authorized Signatory’s Digital Signature Certificate

Registration Address Proof

For GST registration, an identifiable address must be provided. This is the most important document to identify before proceeding with the GST Registration. However, the GST Registration address does not have to be the same as the Proprietorship’s Registered Office address.
The documents that must be submitted may differ depending on the situation:

a) Applicant Proprietor's Address:

  • Any document proving ownership of the premises, such as the most recent Property Tax Receipt, a copy of the Municipal Khata, or a copy of the Electricity Bill can be presented.

b) If the premises are owned by another person:

  • Any document supporting the ownership of the premises, such as the most recent Property Tax Receipt, a copy of the Municipal Khata, or a copy of the Electricity Bill.
  • Consent letter from the owner of the premises to use the address for GST Registration.

c) If the premises is rented or leased:

  • A copy of the valid Rent / Lease Agreement in the name of the Proprietor / Proprietorship on stamp paper. The rental or lease must be for commercial purposes.
  • Any document supporting the Lessor’s ownership of the premises, such as the most recent property tax receipt, a copy of the Municipal Khata, or a copy of the Electricity Bill.

d) If the address is owned by a different company or LLP:

  • Any document supporting the ownership of the premises, such as the most recent Property Tax Receipt, or a copy of the Municipal Khata or a copy of the Electricity Bill.
  • Board Resolution by Company / Consent by LLP authorizing the use of the address as the company’s registered office.

f) If the address is in a Special Economic Zone:

  • If the applicant’s principal place of business is in an SEZ or if the applicant is an SEZ developer, the necessary documents/certificates issued by the Government of India must be uploaded.

Other Important Documentation Requirements

  • For commercial purposes, the Rent / Lease Agreement should be in the name of the Proprietor.
  • The rental agreement in the name of the partners / designated partners is not acceptable as proof of address.
  • If the rent/lease agreement is not available, an affidavit to that effect, along with any document in support of the possession of the premises, such as a copy of the Electricity Bill, will be accepted for GST Registration.
  • The hourly rate/weekly usage of a co-working space will not be accepted for GST registration.
  • If the address on the ownership document (Property Tax Receipt or Municipal Khata copy or copy of Electricity Bill) is insufficient, additional documents such as Aadhaar Card / Driving License / Passport / Voter ID in the name of the Owner with the complete address of the premises should be provided.

Conclusion

Once you enroll as a Proprietorship in the GST Registration, you must comply with certain requirements or your GST Registration may be canceled. You must file a monthly GST Return Filing as a Proprietorship Firm and pay taxes. If you skip it, you will be penalized per day.
GST online registration entails a number of time-consuming and complex procedures. Eligible applicants must first determine the type of GST they require, followed by the number of states in which they must register. We recommend that you seek professional advice to ensure that the GST registration process runs smoothly and without unnecessary delays. Make an appointment with one of the legal professionals at SetIndiaBiz to register your sole proprietorship under the GST regime.

About Setindiabiz

Setindiabiz is an organized team of experienced CA, CS, & Lawyers, duly supported by a pool of trained accountants & paralegal staff that provides quality & affordable compliance services to startups & small businesses in India. The views, statements and recommendations expressed in this article or post are only for the sole objective of providing information, and it does not constitute professional advice or recommendation of the company. Neither the author nor the company or its affiliates accepts any liability for any loss or damage arising from any information in this article or any actions taken in reliance thereon.

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