Daily Tip: If your small business is eligible for GST, make sure you register

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Do you have a GST registration for your business yet? 

Since its introduction in 2017, the Goods and Services Tax (GST) has simplified indirect taxation in India, but many SMEs across India still struggle to understand the system and whether they need to get a GST registration. 

We know the GST system can be confusing if you’re not familiar with it, so we put together a beginner’s guide to help SMEs easily understand and navigate the GST system. Find it here.

The following businesses require a GST registration to do business:

  • E-commerce aggregators
  • Individual suppliers on e-commerce aggregators
  • Individuals who pay tax as per the reverse charge mechanism
  • Agents of input service distributors and suppliers
  • Non-Resident individuals who pay tax in India
  • Businesses that have an annual turnover more than the threshold limit
  • Individuals who registered before the GST law was introduced

When you apply for small business financing, lenders require you to submit tax documents with your loan application, including your GSTRs, to conduct a thorough assessment of your business. Having these documents ready beforehand helps lenders approve your loan request quicker so that you’ll get the money in the bank sooner. 

If you already have a GST registration and need small business financing, CreditEnable is here to help! 

Start your small business financing application today.

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