Casual Taxable Person and Non Resident Taxable Person
Mr. A is a resident of Delhi and is engaged in sale of garments and holds a GST registration in Delhi. He comes to know that an exhibition is being organized by his friends in Chandigarh. He decides to hire a stall to sell his garments in Chandigarh. How will he comply with GST in such a case? Whether he has to take a GST registration in Chandigarh or he can manage through GST registration of Delhi? Well this is a precise case where he will be required to obtain a casual person registration in Chandigarh.
A casual taxable person is a person who makes a supply of goods or services from a State where he has no fixed place of business. Since in our given case, Mr. A had no fixed place of business in Chandigarh, he becomes a casual taxable person.
A Non-resident taxable person is very much similar to a casual taxable person with the only difference that a non-resident taxable person does not have any fixed place of business in India.
An important point worth noting is that both a casual taxable Person and a Non Resident Taxable Person are compulsory required to obtain registration before making a taxable Supply irrespective of any threshold limit.
The chart below breaks down the legal provisions to explain the difference.
Casual Taxable Person
Non-Resident Taxable Person
Now if you are a looking to obtain any of the above mentioned registration, you will have to follow the below process:
- Application for registration has to be filed atleast 5 days prior to commencement of business in form GST REG-01 along with requisite documents.
- Amount equivalent to estimated Tax liability for the period for which registration is sought is required to be deposited along with application of Registration.
- Based on period specified in the application for registration, a registration would be granted for a maximum of ninety days. Such period may be extended by not more than 90 days by making a request.
- Request for extension of registration period is to be made in Form no. GST REG-25.
- Where extension is sought, additional amount of tax equivalent to estimated tax liability is required to be deposited.
- Amount Deposited will be credited to the electronic credit ledger and can be utilsed for payment of tax, interest and penalty.
- Return of Outward supplies, Return of Inward supplies and Monthly returns will be required to be filed for the period for which registration is held.