Key Takeaways
- Small and low-risk businesses can now get GST registration in just 3 working days
- New simplified scheme launched on November 1 for SMEs
- Expected to benefit 96% of new GST applicants
- Available for businesses with monthly tax liability under ₹2.5 lakh
The GST department has launched a simplified registration scheme that enables small and low-risk businesses to obtain GST registration within three working days. The new system, operational from November 1, marks a significant reduction in processing time for small and medium enterprises.
Eligibility Criteria
Businesses can opt for this accelerated registration if the GST system identifies them as low-risk through data analysis, or if they self-assess that their monthly output tax liability won’t exceed ₹2.5 lakh. This amount includes CGST, SGST/UTGST, and IGST components.
GST Council Approval
The simplified registration scheme received formal approval from the GST Council during its September 3 meeting. The council, comprising finance ministers from both central and state governments, designed the scheme to include voluntary opting-in and withdrawal options for businesses.
Government Statements
Finance Minister Nirmala Sitharaman, speaking at the CGST building inauguration in Ghaziabad, confirmed that the new scheme would benefit approximately 96% of new applicants. She emphasized that “Task of the field formation is to operationalise it and ensure that there are no friction in the process.”
The minister also directed the CBIC to establish dedicated help desks at GST Seva Kendras specifically for registration assistance, ensuring taxpayers receive proper support during the application process.
Currently, over 1.54 crore businesses are registered under the GST system nationwide.
