CA Vijay R Singh, FCA Chartered Accountant · ICAI M.No. 153926 · FRN 136869W
Short answerThe limit is ₹40 lakh annual turnover for a goods supplier (₹20 lakh in special-category states) and ₹20 lakh for a service provider (₹10 lakh in some special-category states). Cross it and registration is mandatory; some businesses must register even below it.
Goods vs services
Goods suppliers: ₹40 lakh. Service providers: ₹20 lakh. Special-category states have lower limits. Turnover is measured PAN-wide across India.
Below the limit but still required
If you supply inter-state, sell online, or are liable under reverse charge, you must register even under the threshold. Confirm current limits.
This answer is general information for businesses, not tax advice. Tax rates, thresholds and forms change with each Finance Act — please confirm the current position for your own facts, or speak to us, before acting.
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