Telangana VAT registration is a mandatory for dealers based in the State of Telangana, who matched to particular conditions as listed in the Telangana Value Added Tax Act, 2005. Let us have a look at Telangana VAT Registration and Telangana VAT returns filing and TS VAT Payment procedures this article.
Telangana VAT Registration
Value Added Tax Registration is the first step towards enforcement of the sales tax provisions in the State. As per the provisions of Telangana VAT Act, every dealer is required to apply for registration under the Act if assessee falls under any of the clauses mentioned in the Act is liable to get registered under the VAT Laws. The biggest benefit of TG VAT registration is that only VAT registered dealer is eligible to get input tax credit. Further, dealer registered for TG VAT only can issue a tax invoice which entitles the purchaser to receive the input tax credit number dealer, who is liable to pay tax under Act, shall carry on business as a dealer unless he has been registered and possesses a certificate of registrations.
Types of Registration under the Telangana VAT Act
According to Chapter IV of Telangana VAT Act (Section 17 to Section 19), individuals following types of registration are envisaged:
- VAT Registration.
- New VAT Registration.
- Migration (from TOT to VAT) Type Registration.
- Compulsory VAT Registration.
- Start up Registration.
- Voluntary VAT Registration.
- TOT Registration.
- Section 17 (1) furnishes that every dealer other than a casual dealer shall be liable to be registered under the provisions of the Act.
Eligibility for VAT Registration
- Any dealer intending to conduct a business or doing business may apply to be registered for Telangana VAT.
- However, all individuals conducting a business must register for TG VAT from the date they commence business if assessee believes their taxable turnover will exceed a threshold of Rs. 50 ,00,000/- in 12 consecutive calendar months.
- All individual dealers must register for VAT if their taxable turnover exceeds Rs. 10,00,000/- for the preceding three consecutive calendar months.
- Regardless of individual dealer taxable turnover, the following dealers must register for Telangana VAT at the commencement of their busing single.
- Every single dealer registered or liable to be registered under the Central Sales Tax Act 1956, or sales in the course of inter-state trade or any dealer making purchases or commerce or dispatches any goods to a place outside the State otherwise than by way of sale.
- Every individual dealer executing any works contract exceeding Rs. 5,00,000/- for the State Government or a local authority and any dealer executing works contracts and opting to pay tax by way of composition.
- Every dealer is importing goods in the course of business from outside the territory of India.
- Every individual residing outside the State but carrying on business within the State.
- Every individual dealer liable to pay tax at Special rates specified in Schedule VI of the Andhra Pradesh VAT Act 2005.
- Every commission agent, del credere agent, auctioneer or any other mercantile agent by whatever name called, who carries on the business of buying, selling, supplying or distributing goods on behalf of his non-resident principal.
- Every Individual availing an industrial incentive in the form of a tax holiday or tax deferment.
Telangana VAT Payment Due Date
Let us have a look at the Telangana VAT Payment due dates. Telangana VAT payment due date is the 20th day of each month. If in a case Assessee is Failure to file VAT return on time could sustain a penalty and interest on any tax due not paid by that date. Also, even in a case of no transaction, persons or entities having Telangana VAT registration must file an NIL return. Failure to file an NIL return by the 20th day of the following month will also incur a penalty.
Telangana VAT/TOT/CST registration
A dealer seeking Registration under the Telangana VAT or CST Act, now has a choice to utilize any of the following facilities to apply for registration.
- Through TS – IPass: A dealer can file VAT/CST registration application through the TS -I Pass portal & also upload the Documents online.
- Through Online mode: A dealer can file VAT/CST registration application ONLINE on the CTD Portal and also scan & upload the Supporting documents through the CTD Portal.
- Through Courier/ Registered Post: A dealer can file an application Online/Offline and send the supporting documents to the Office of the Concerned registering Authority through Courier or Registered Post.
- In person before the Central registration Unit (CRU) or the Concerned Registration Authority: A dealer can submit his application and all supporting documents before the Registration Authority in person.