Chapter VI (Sections 22-30) of the Central Goods and Services Tax (CGST) Act, 2017 deals with provisions related to Registration. Section 22 of Central Goods and Services Tax Act, 2017 (12 of 2017) provides for persons liable for registration under CGST Act 2017.
Recently, we have discussed in detail section 21 (i.e. Manner of recovery of credit distributed in excess) of CGST Act 2017. Today, we learn the provisions of section 22 of the CGST Act 2017. Complete Details of CGST Section 22 – Persons liable for registration. You may CLICK HERE to download list of all sections of CGST Act 2017 in PDF format.
Did you know? CGST Act 2017 have been enacted by Parliament in the Sixty-eighth Year of the Republic of India to make a provision for levy and collection of tax on intra-State supply of goods or services or both by the Central Government and for matters connected therewith or incidental thereto.
Notes on Section 22 of CGST Act 2017
Section 22(1): Every supplier shall be liable to be registered under this Act in the State or Union territory, other than special category States, from where he makes a taxable supply of goods or services or both, if his aggregate turnover in a financial year exceeds twenty lakh rupees:
Provided that where such person makes taxable supplies of goods or services or both from any of the special category States, he shall be liable to be registered if his aggregate turnover in a financial year exceeds ten lakh rupees.
Section 22(2): Every person who, on the day immediately preceding the appointed day, is registered or holds a licence under an existing law, shall be liable to be registered under this Act with effect from the appointed day.
Section 22(3): Where a business carried on by a taxable person registered under this Act is transferred, whether on account of succession or otherwise, to another person as a going concern, the transferee or the successor, as the case may be, shall be liable to be registered with effect from the date of such transfer or succession.
Section 22(4): Notwithstanding anything contained in sub-sections (1) and (3), in a case of transfer pursuant to sanction of a scheme or an arrangement for amalgamation or, as the case may be, demerger of two or more companies pursuant to an order of a High Court, Tribunal or otherwise, the transferee shall be liable to be registered, with effect from the date on which the Registrar of Companies issues a certificate of incorporation giving effect to such order of the High Court or Tribunal.
Explanation: For the purposes of this section, ––
(i) the expression “aggregate turnover” shall include all supplies made by the taxable person, whether on his own account or made on behalf of all his principals;
(ii) the supply of goods, after completion of job work, by a registered job worker shall be treated as the supply of goods by the principal referred to in section 143, and the value of such goods shall not be included in the aggregate turnover of the registered job worker;
(iii) the expression “special category States” shall mean the States as specified in sub-clause (g) of clause (4) of article 279A of the Constitution.