GST registration is important for a partnership firm when it becomes obligated to register under the CGST Act, 2017. The process involves filing the firm’s details, partners, authorised signatory, and principal place of business on the GST portal.
Required documents include the partnership deed, PAN details, photographs, identity and address proofs, and proof of the business premises. The official GST registration checklist particularly specifies the partnership deed as proof of the constitution of the business.
Is GST Registration Required for a Partnership Firm?
No, not every partnership firm is needed to enrol. The liability arises when any of the below-mentioned conditions apply.
- The firm makes taxable inter-state supplies of goods or services.
- The firm sells goods through an e-commerce operator, unless it qualifies for exemption under Notification No. 34/2023-Central Tax
- ₹40 lakh for eligible goods suppliers, ₹20 lakh for services or mixed supplies; in specified special-category states, ₹20 lakh for goods and ₹10 lakh for services.
A firm under section 25(3) of the CGST Act can opt for voluntary registration if it is below the threshold. This applies when the firm’s customers are registered businesses that want to claim GST input tax credit (ITC) on purchases from the firm.
Documents Required for GST Registration of a Partnership Firm
The GST portal requires documents in three groups, which include the firm itself, each partner, and the business premises.
Firm-level Documents
These documents specify the legal and financial identity of the firm.
- Partnership deed, whether registered or unregistered
- PAN card of the partnership firm
- Authorisation letter signed by all partners, authorising one designated partner as the primary signatory for GST purposes
- Bank account proof showing the firm’s name, account number, and IFSC code (a cancelled cheque or the first page of a bank passbook)
Partner-level Documents
The below-mentioned documents are crucial for every partner named in the deed.
- Aadhaar and PAN card
- Passport-size photograph
- Address proof, if the Aadhaar address differs from the current address
Business Premises Documents
The documents are as per whether the firm owns or rents its principal place of business.
Owned Premises
Latest electricity bill, water bill, or property tax receipt in the name of the firm or any partner
Rented Premises
- Rent or lease agreement in the name of the firm
- A utility bill for the same address (electricity or water)
All documents for GST registration for partnership firm are required to be uploaded in JPEG or PDF format, and each file should not be more than 1 MB. Files that are outside such specifications are rejected at the upload phase before the submission of the application.
How to Complete GST Registration for Partnership Firms on the Portal?
On the GST portal at gst.gov.in, the registration process functions in two phases.
Generate Temporary Reference Number(TRN)
This phase takes a few minutes and produces a temporary reference number (TRN) valid for 15 days.
- Go to gst.gov.in and click ‘Register Now’ under the Taxpayers section.
- Select ‘New Registration’ and choose ‘Taxpayer’ as the type.
- Enter the state, district, firm name, PAN, email address, and mobile number.
- Verify the OTPs sent to the registered email address and mobile number.
- A TRN is issued and sent to both registered contacts.
Submit Application
The second phase should be finished within 15 days of obtaining the TRN, or it lapses.
- Log in to the GST portal using the TRN.
- Complete Part B of Form GST REG-01, which includes business details, partner information, principal place of business, and bank account details.
- Upload all crucial documents in JPEG or PDF format.
- Submit using a digital signature certificate (DSC) or e-verification code (EVC).
What Happens Next After Submitting a GST Registration Application?
The assigned GST officer has seven working days to process the application. If everything is in order, the officer will issue the registration certificate in Form GST REG-06, which includes the 15-digit GSTIN.
If clarification is required, a notice will be issued in Form GST REG-03. The firm must respond within 7 working days using Form GST REG-04 and provide supporting documents. Failure to respond will result in rejection through Form GST REG-05, after which the firm must reapply.
The typical reasons for rejection are a name mismatch between the PAN and the partnership deed, unclear or expired address proof, Aadhaar details that do not match PAN records, and an authorisation letter not signed by all partners listed in the deed.
Closure: After registration, a partnership firm is required to update its GST registration within 15 days of any change in business details, including a change in partners. SAG Infotech Gen GST Software helps tax professionals manage GSTIN details, return due dates, and partner information in one place, which lessens the possibility of missing an update or filing a return with outdated records.
