What happens if you go over GST threshold?

After hitting the annual threshold, you will have 21 days to register for GST. Once registered you will be required to collect GST, submit a BAS, and you will be able to declare GST tax credits.

What is crossing the threshold in GST registration?

There has been no change in the threshold limits for service providers. Persons providing services need to register if their aggregate turnover exceeds Rs.20 lakh (for normal category states) and Rs.10 lakh (for special category states).

How much is the general penalty under GST?

An offender not paying tax or making short payments must pay a penalty of 10\% of the tax amount due subject to a minimum of Rs. 10,000. Consider — in case tax has not been paid or a short payment is made, a minimum penalty of Rs 10,000 has to be paid. The maximum penalty is 10\% of the tax unpaid.

When did GST threshold change?

The most significant change to the GST base since its introduction from 1 July 2000 was the 2007-08 Budget announcement to increase, with effect from 1 July 2007, the GST registration threshold for businesses from $50,000 to $75,000 and the GST registration threshold for non-profit bodies from $100,000 to $150,000.

How is the GST turnover calculated to determine if the threshold is expected to be met?

Projected GST turnover is the likely gross income of your business for the current month and the next 11 months. As Leanne and Jenette’s projected gross business income is the same each month, they need to multiply the business’s gross income for May by 12 to see if it has reached the GST turnover threshold of $75,000.

What do you mean by threshold limit for registration?

Threshold limit means limit which allows the person to do business without obtaining registration under GST. Persons liable to pay GST under reverse charge (no threshold limit).

What is Threshold Limit?

The maximum concentration of a chemical allowable for repeated exposure without producing adverse health effects.

What is the minimum turnover for GST?

A business whose aggregate turnover in a financial year exceeds Rs 20 lakhs has to mandatorily register under Goods and Services Tax. This limit is set at Rs 10 lakhs for North Eastern and hilly states flagged as special category states.

What is the criteria to pay GST?

In the GST Regime, businesses whose turnover exceeds Rs. 40 lakhs* (Rs 10 lakhs for NE and hill states) is required to register as a normal taxable person. This process of registration is called GST registration. For certain businesses, registration under GST is mandatory.