What are the benefits of GST registration?

What are the benefits of GST registration?

Benifits of GST Registration

Without registration, a person can neither collect tax from his customers nor claim any input tax credit of tax paid by him. Registration will confer the following advantages to a taxpayer: He is legally recognized as supplier of goods or services.

There are many benefits of GST registration, which include:

1. Stronger Than Competitors – GST registration provides a valid business registration so you can easily show proof of legitimacy to other businesses and individuals.
2. Get Input Tax Credit – GST registered holders can use Input Tax Credit while purchasing goods or services. So, if you are a B2B business, you need to register for GST from the very beginning.
3. Sell Anywhere in India – GST registered holders can sell their products or services anywhere in India. Hence, there is no limit like VAT/CST. You can easily send goods interstate.
4. Open a Checking Account – GSTIN holders can easily open a checking account on the basis of their GST Registration Certificate.
5. Online selling – If you want to go e-commerce, you can easily sell through e-commerce portals like Amazon and Flipkart based on your GSTIN registration number.
6. Government Project Tenders – If you are a contractor and want to apply for any type of government tender, all government projects require only a valid company with GST number.
7. Accept large projects from MNCs – MNCs will not do this unless they are legitimate businesses with valid proof of business.
8. Build Confidence Among Customers – Issuing a valid GSTIN tax invoice will build trust among customers and enhance brand value.