Demystifying GST: A Simple Guide for Indian Startups

The Goods and Services Tax (GST) is one of the most significant tax reforms in India's history. For startups, understanding its nuances is crucial for smooth operations and avoiding legal hurdles. This guide aims to simplify GST for you.

What is GST?

GST is an indirect tax that has replaced many indirect taxes in India such as the excise duty, VAT, services tax, etc. It's a single, comprehensive tax levied on the supply of goods and services.

When Do You Need to Register for GST?

GST registration is mandatory for any business whose aggregate turnover in a financial year exceeds ₹20 lakhs (₹10 lakhs for North Eastern and hill states). For businesses exclusively supplying goods, this threshold is ₹40 lakhs.

• Selling goods or services online (e-commerce).
• Engaging in inter-state trade.
• Being a non-resident taxable person.

Key Takeaways for Startups

Embracing GST compliance from day one sets a strong foundation for your startup. It not only ensures you stay on the right side of the law but also builds credibility with investors, customers, and partners. Use tools like Bizzify to automate reminders for filing dates and stay ahead of your compliance game.