✅ Important Precautions After GST Registration: A Simple Guide for Business Owners
So you’ve just registered your business under GST—great! But wait, your job doesn’t end there. In fact, it’s just the beginning. To stay compliant and avoid penalties, there are some important things you need to take care of after getting your GST number.
Here’s a simplified guide to help you understand what steps to take post-GST registration.
📝 Registration Essentials
- Update Bank Details
Add your bank account info on the GST portal within 45 days or before filing your first GST return, whichever comes first. - Display GST Certificate
Your GST certificate and number must be clearly visible at:- Your billing counter
- A prominent place in your business
- Show GST Number on Name Board
As per Rule 18, your GSTIN should be displayed on your business name board. - Reverse Charge (RCM)
If you receive services like freight or rent from unregistered persons, you may have to pay tax on their behalf. But this applies only to specific services—it’s best to consult a tax expert.
📚 Books & Billing
- Bill Books
- Must have your GST number printed
- Numbered serially every year starting from 01
- Record Keeping (for 5 years)
Maintain documents like invoices, challans, stock records, credit/debit notes, vouchers, etc. at your Principal Place of Business (PPOB). - Invoice Rules
- Generate e-way bill if invoice value is over ₹50,000
- Issue a bill for every sale over ₹200
- Mention 6-digit HSN code on every invoice
- Works Contract
Keep separate accounts for works contracts. - Warehouses & Transporters
Must maintain proper records—even if not registered under GST. - Advance for Services
If you receive an advance for services, raise a voucher and pay GST in the same month. (Advance for goods is exempt.) - Credit Notes Deadline
Credit notes for a financial year must be issued by 13th November of the following year.
🧾 Composition Scheme (Optional)
- Eligibility
- Businesses with turnover under ₹1.5 crore (goods) or under ₹50 lakhs (services) can apply.
- Tax rate is 1% of turnover with conditions.
- Returns
- Pay tax quarterly (18th of the following month)
- File GST-4 (Annual Return) by 30th June
- Note: Some types of businesses are not eligible. Refer to Section 10 of the CGST Act for details.
🕵️♂️ When GST Officers Can Visit
GST officers can inspect your premises only in 3 situations:
- Search & Seizure (Sec 67 – with authorization)
- Physical Verification (Rule 25 – details updated on GST portal)
- Audit (Sec 65 – with prior notice)
Outside of these, officers can’t conduct visits without valid reason.
📆 GST Return Filing Deadlines
| Return Type | Due Date |
|---|---|
| GSTR-1 | 11th of every month |
| GSTR-2B | Updated on 14th monthly |
| GSTR-3B | 20th of every month |
| GSTR-9 (Annual) | 31st December (mandatory if turnover > ₹2 Cr) |
| GSTR-9C | 31st December (mandatory if turnover > ₹5 Cr) |
💡 Late fees and interest apply if returns are delayed.
💰 Input Tax Credit (ITC) Tips
- Claiming ITC
You can claim ITC if:- It appears in GSTR-2B
- You have a valid invoice dated after 01/01/2022
- Restrictions (Section 17(5))
No ITC on:- Personal use items
- Club or gym memberships
- Beauty or medical treatments
- Passenger vehicles (under 14 seats)
- Construction of immovable property
- 180-Day Rule
You must pay vendors within 180 days or reverse ITC with interest. - Rule 86B – 1% Cash Rule
If monthly sales > ₹50 lakhs, at least 1% of tax must be paid in cash. - Common ITC Adjustment
If you have both taxable and exempt supplies, ITC must be adjusted proportionally as per Rules 42 & 43.
✅ Final Thoughts
While GST was introduced as a “Good and Simple Tax,” the reality is that it comes with its own set of complexities and constant updates. However, by staying informed, maintaining proper documentation, and filing your returns on time, you can keep your business compliant and stress-free.
If you’re ever unsure or need expert guidance, it’s always best to consult with professionals. KVSTAX Consultancy offers reliable GST services, compliance support, and personalized solutions to help you navigate GST with ease and confidence.
👉 Don’t take chances—reach out to experts like KVSTAX Consultancy to avoid penalties and ensure smooth operations.
📌 Disclaimer
The information provided in this blog is for general guidance and educational purposes only. It should not be considered as professional tax advice or legal opinion. For personalized assistance based on your individual or business tax situation, please consult with a qualified tax consultant or reach out to KVSTAX CONSULTANCY directly.