How to apply GST Registration of OPC

 

Introduction :

The Government of India added Goods & Services Tax with the goal of digitalizing the oblique tax device and bringing all oblique taxes below one roof. The Government is constantly striving tough to reap its objectives. After the advent of GST in July 2017, loads of upgrades were made through the Government making GST registration and go back submitting compliances simpler. The complete registration device has been made on-line leaving no scope for corruption and authentic hurdles. Even one-individual corporations also can check in for GST easily and about Gst registration in jammu and kashmir

Before we pass to the principle topic, you should recognize what’s the that means of One Person Company (OPC). In easy words, ‘One Person Company’ is a enterprise that is owned through a unmarried individual. Do you realize that in advance there has been a demand of minimal of two shareholders to shape a enterprise? Therefore, a unmarried individual has no choice to shape a enterprise besides a sole proprietorship. But now even a unmarried individual can shape a enterprise having a separate prison entity that is called a “One Person Company”.

What is One Person Company?

One Person Company is a enterprise that is fashioned through simplest one member. Such member acts as a shareholder in addition to director of the enterprise. The One Person Company is stated to have a prison entity wonderful from its shareholder. One Person Company can personal property and incur liabilities and the shareholder of the enterprise shall now no longer be at risk of repay money owed of the One Person Company. According to Section three(1)(C) of the Companies Act, 2013, OPC is dealt with as a ‘Private Limited Company’ but there are sure relaxations from compliances withinside the case of OPC
Who can shape One Person Company?
Any Indian Citizen (Natural individual) who’s Resident in India can come to be a member of the One Person Company and shape OPC. Earlier there has been the restrict on a non-resident to shape a One Person Company. But the Budget 2021-22 has made amendments and now Non-Resident Indians also can shape One Person Company.

Who can not shape One Person Company?
A Minor individual, Foreign Citizen and someone incapacitated to settlement are confined from forming a One Person Company. Minor can not come to be a member or nominee of OPC and he can not even preserve a percentage with a useful hobby in OPC.

Can someone come to be a member of multiple OPC?
A Member of 1 OPC can not come to be a member of some other OPC concurrently at a given factor in time. However, there may be no restrict on individuals of OPC to come to be shareholders of a non-public constrained enterprise.

Can OPC have multiple director?
OPC can not have multiple member however there may be no restrict at the OPC from having multiple director. A One Person Company could have a most of up to fifteen directors.

What is the One Person Company’s minimal capital requirement?
One Person Company may be registered even with “Nil” paid-up capital. However, the legal percentage capital shall now no longer be much less than Rs. 1 Lakh.

Who can come to be a director in One Person Company?
Any herbal individual above the age of 18 years and who’s protecting DIN can come to be a director withinside the enterprise. Even a overseas countrywide also can come to be a director of One Person Company.

What are the advantages to contain OPC?
There are numerous advantages of incorporating an OPC that are as below:

The legal responsibility of the member of OPC is constrained not like in the case of a sole proprietorship wherein the legal responsibility of the proprietor is unlimited.
OPC has a demand of simplest one shareholder and director
Holding of Annual General Meeting (AGM) isn’t always obligatory withinside the case of OPC.
The OPC is needed to behavior at the least Board Meetings in a year (with an opening of as a minimum ninety days in meetings) simplest
No Paid-up capital requirement, a minimal authorized capital of Rs. 1 Lakh is simplest wanted.
What are the regulations imposed upon the OPC?
Following regulations are imposed through the Companies Act, 2013 upon the OPC:

One Person Company can not perform Non-Banking Financial Investment sports consisting of funding in securities of any frame corporate.
One Person Company can not be included or transformed right into a enterprise below segment eight of the Act.
No such enterprise can convert voluntarily into some other form of enterprise until 2 years have expired from the date of incorporation.

 

When OPC shall follow for GST registration?
The regulation regarding GST registration is likewise relevant to One Person Companies just like some other commercial enterprise entity. In the subsequent cases, One Person Company shall follow for obligatory GST registration:

If the yearly turnover of OPC from the deliver of products is extra than Rs. forty Lakhs (Rs. 20 Lakhs in sure states)
If the yearly turnover of OPC from the rendering of offerings is extra than Rs. 20 Lakhs (Rs. 10 Lakhs in sure states)
If the OPC is making an inter-kingdom deliver of products or offerings
OPC performing as a informal taxable individual
If the OPC is engaged withinside the deliver of products or offerings via e-trade portals.

What are the files wanted for GST registration of an OPC?
Following files are required in case of GST registration of One Person Company:

Incorporation Certificate of One Person Company
Copy of E-PAN of One Person Company
MOA and AOA of OPC
KYC of each director of OPC (Aadhar and PAN)
Copy of cancelled cheque or financial institution statement
Letter of Authorization (Board Resolution) in favour of a director to use and check in recognize of GST registration
Copy of Utility Bill together with Electricity Bill, Water Bill, Property Tax Receipt etc.
Rent Agreement or NOC from the proprietor/ landlord (in case of rented premises)
Email-identityentification and cellular numbers of directors

 

What is the system of GST registration for OPCs?
The technique of GST registration is straightforward and on-line. You can follow for GST registration via the authentic portal of the GST branch www.gst.gov.in. Having a GST registration contains many advantages consisting of the gain of GST enter tax credit. The technique of GST registration is as follows:

Login to the GST Portal and click on on ‘New Registration’ below Services>Registration
Select State of the taxpayer, District and input PAN of OPC together with e mail identityentification and cellular range to generate Temporary Reference Number (TRN)
On submission, the OTP verification web page can be displayed. Enter Mobile OTP & Email OTP. On a hit OTP validation, TRN can be generated
Login to the GST portal once more the use of TRN and publish the vital statistics and files withinside the GST registration software shape displayed at the portal
On a hit submission, an acknowledgement can be acquired at the registered e mail cope with and cellular together with the Application Reference Number (ARN)
GST officer will confirm all of the files submitted through the enterprise. If the files are located to be in order, he shall be given the software and provide GST registration.

What is the timeline for OPC Registration?
The complete technique of OPC registration with MCA takes almost 15 days. The first step is the call approval which takes three-four days on average. DSC and DIN of the proposed director typically take 1 day. Documentation & take a look at takes 2-three days. After submitting the software for registration of 1 individual enterprise, the processing of the software takes round four-five days earlier than the incorporation certificates is granted. Applying for GST registration shall take 2-three days extra after incorporation.

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