THE CENTRAL GOODS AND SERVICES TAX ACT, 2017
REGISTRATION
Section 22: Persons liable for registration.
(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.
2[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.]
* 3[Provided
also that the Government may, at the request of a
State
and on the
recommendations of the Council, enhance the aggregate turnover from twenty lakh
rupees to such amount not exceeding forty lakh rupees in case of supplier who is
engaged exclusively in the supply of goods, subject to such conditions and
limitations, as may be notified.
Explanation.'' For the purposes of
this sub-section, a
person
shall be considered to be engaged exclusively in the
supply of goods even if he is engaged in
exempt supply
of services provided by
way of extending deposits, loans or advances in so far as the
consideration
is
represented by way of interest or discount.']
(2) Every person who, on the day immediately preceding the
appointed day
, is
registered or holds a license under an
existing law
, shall be liable to be
registered under this Act with effect from the appointed day.
*(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.
(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, de-merger of two or more companies pursuant to an order
of a High Court, Tribunal 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
1[except the State of Jammu and Kashmir]
2[and States
of Arunachal Pradesh, Assam, Himachal Pradesh, Meghalaya, Sikkim and Uttarakhand].
1. Inserted Vide: CGST Ordinance
2. Inserted Vide: Section 11 of CGST Amendment Act 2018 vide Notification No. 02/2019 – Central Tax (w.e.f. 01.02.2019)
3. Inserted Vide: Section 94 of Finance Act 2019 vide Notification No. 01/2020 - Central Tax (w.e.f. 01.01.2020)