GST registration limit and turnover threshold, explained plainly.

The registration thresholds

Whether you must register for GST depends first on your aggregate turnover in a financial year, and on whether you supply goods, services, or both. The thresholds differ by category of supply and by state.

These are the thresholds as they stand — GST law has changed limits before, so verify the current limit on the GST portal (gst.gov.in) before treating a number here as final for a registration decision. Our GST registration guide walks through the actual application process once you know you need to register.

What counts as "aggregate turnover"

Aggregate turnover is not just your sales invoice value — it's a specific, PAN-wide computation used only to test whether you cross the threshold:

• The value of all taxable supplies you make (excluding the GST charged on them).
• Exempt supplies — even goods or services that don't attract GST are counted for this test.
• Exports and inter-state supplies between your own branches under the same PAN.
• It is computed on an all-India basis for a single PAN — turnover from every branch, unit or vertical you run under that PAN is added together, not tested separately.
• It excludes inward supplies on which you pay tax under reverse charge.

This trips people up most often when they run more than one line of business, or more than one branch, under the same PAN — each doesn't get its own ₹40 lakh or ₹20 lakh allowance. See our broader GST guide for how this fits into the return-filing cycle.

When registration is mandatory regardless of turnover

Several situations require GST registration from the very first rupee of business — the turnover threshold simply doesn't apply:

• Inter-state taxable supply — if you sell goods or services across state lines, you generally need to register even at zero turnover history.
• Selling through an e-commerce operator — sellers on platforms like Amazon or Flipkart typically need GST registration irrespective of turnover (with a narrow services exception).
• Liability under reverse charge (RCM) — if you're required to pay tax on inward supplies under RCM, registration is compulsory.
• Casual taxable person — someone supplying goods or services occasionally in a state where they have no fixed place of business, such as at an exhibition.
• Non-resident taxable person, input service distributors, and a few other specified categories.

If any of these apply to you, don't wait for turnover to decide — get GST-correct invoicing and filing set up from day one. Our GST billing software handles CGST/SGST/IGST split and HSN codes automatically once you're registered.

Voluntary registration — pros and cons

You can register for GST even if you're comfortably under the threshold. It's a genuine trade-off, not a free upgrade:

• Pros — you can claim input tax credit on your purchases, larger B2B customers are often more willing to work with a GST-registered vendor, and it signals a certain scale of business.
• Cons — you take on monthly or quarterly return filing, GSTR-2B reconciliation, and GST-correct invoicing on every bill, even to customers who don't need a tax invoice.

If you're not sure which way it nets out for your business, our Chartered Accountants can walk through the numbers with you before you decide. If you do register, the composition scheme may also be worth comparing if your turnover stays modest.

Frequently asked questions