Do Supermarket & Kirana Stores Need a GST Certificate and How Should You Apply?

Supermarkets and Kirana stores in India must obtain a Goods and Services Tax (GST) certificate based on their annual turnover/yearly revenue. Here are the guidelines:

1. a) If a supermarket or a kirana store’s yearly revenue surpasses the GST revenue limit they have to obtain GST registration and file GST for their sales. For normal category states the new revenue limit is 40 lacs and for special category states the limit is 20 lacs.
2. b) Supermarkets and Kirana Stores with many branches or locations may also need to register for GST separately for each branch if they operate as independent business entities.
3. c) Kirana store owners whose revenue is below the revenue limit can also voluntarily register for GST. This allows them to receive input tax credits on their purchases as well as other GST compliance benefits.

It’s essential for both supermarkets and Kirana store owners to monitor their turnover and understand the GST laws and regulations applicable in their region.

Here are the steps for a Kirana store owner in India to apply for Goods and Services Tax (GST) registration:

1). Determine Eligibility:

1. Check to see if your Kirana store fits the GST registration eligibility conditions, which may include a minimum revenue.

2). Gather Required Documents:

1. Collect the necessary documents and information before starting the registration process. Common documents include:

• PAN (Permanent Account Number) of the business owner or entity.
• Aadhaar card or other identity and address proof of the owner or partners.
• Passport-size photographs.
• Proof of business address (e.g., rent agreement, electricity bill, etc).
• Proof of business (Gumasta licence)
• Bank account details and cancelled cheque.
• In some cases, you may need additional documents, such as the Partnership Deed or Certificate of Incorporation if applicable.

3). Create a GST Account:

a). Visit the official GST portal (https://www.gst.gov.in/)

4). Fill Out the GST Registration Form:

1. On the GST portal, navigate to the “Registration” section and click on “New Registration.”
2. Fill out the GST REG-01 form with accurate and detailed information. You’ll need to provide details about your business, such as the legal name, trade name, address, and contact information.

5). Upload Documents:

1. Upload scanned copies of the required documents as part of the application process.

6). Verification:

1. After submitting the application, the GST portal will generate an Application Reference Number (ARN).
2. Your application will be verified by the GST officer, who may contact you for clarification or additional information.

7). GST Officer’s Visit:

1. In some cases, a GST officer may visit your Kirana store for a physical verification of the business premises.

8). GST Registration Certificate:

1. Once your application is approved, you will receive a GST Registration Certificate with your GSTIN (Goods and Services Tax Identification Number).

9). Filing GST Returns:

1. After obtaining GST registration, you will need to file regular GST returns based on your business turnover.

The GST revenue limit and other regulations may change over time, so it’s advisable to consult with a tax professional or visit the official GST portal of the Indian government for the most current information and requirements related to GST registration for businesses in India.

If you want to open your Kirana Store or any help in growing your business, get in touch with Kirana Friends Expert by calling or messaging us on 8010442222.

You can also download the Kirana Friends Application from the Google Play store by clicking on the link below and learn how to run your store more profitably.