One GST for Multiple Business: Rules and Registration Process! 

The implementation of GST in India marked a shift towards a simplified and transparent taxation model, benefiting both entrepreneurs and the economy. But, entrepreneurs often question, one GST for multiple businesses- is it really feasible? 

Until January 2019, only a single business had one GSTIN. In today’s GST regime, entities owned by the same person or organization are permitted to share a common GSTIN, subject to conditions. But, there are multiple conditions and scenarios. 

In this article we’ll answer a common question: can two businesses have one GST, and what are the rules behind it? Let’s scroll down to know more in detail. 

Can I Use One GST Number for Multiple Business?

Yes, you can leverage one GSTIN to register multiple businesses having similar operations. For Businesses, led by the same legal entity in one state can be classified under the same GST number. 

When Can Two Businesses Have One GST? 

Using one GSTIN for multiple businesses implies certain scenarios, check them below:  

• GST rules allow a single number only if the businesses are established within the same state.
• GST requires the businesses to be treated as separate operational divisions.
• Businesses can be linked to one GSTIN provided they are owned and registered under the same legal entity.

Example of One GST for Multiple Businesses! 

Let’s say, you have a catering business located in Pune and your event management company is located in Nashik. It means both the businesses are located in Maharashtra as two different business verticals and are owned by you, i.e. the single entity. 

These businesses are liable to apply for a single GSTIN to leverage seamless tax administration. 

What Rules Apply for Adding One GST for Multiple Businesses? 

• All the registered businesses for which you are opting a single GSTIN should be located within the same state. 
• A single Permanent Account Number is mandatory to register one GST for multiple business.  
• Businesses leveraging the composition schemes can’t be registered to a single GST number. 
• All the taxable supplies between the internal branches must have accurate taxable invoices for the transactions. 
• Separate books of accounts are required for every business vertical in GST number.”
• All the businesses should work together as a single entity. 
• All the business verticals or branches should be owned by the same person or a group. 
• The designated documents like ID proof, address proof, business registration certificate, PAN card, etc., are a must. 
• Every business vertical should have a separate GSTIN, which will be linked to a single GST after registration. 

How to Register Multiple Business Under One GST? 

1. Open the GST portal online at www.gst.gov.in and proceed by logging in with valid credentials. 
2. Click on the registration section and opt for ‘Amendment of Registration – Non-core Fields’ 
3. Now, check the “Additional Places of Business Section” and insert the below details:
   1. Business name
   2. Trader Name
   3. Address
   4. Principal Place of Business 

4. Enter HSN codes for goods and SAC codes for services in the designated fields. 
5. Support your information with the below documents:
   1. Business Registration Certificate
   2. PAN Card 
   3. Address Proof
   4. Owner’s ID Proof

6. Now add the state-specific details like: 

• Professional Tax employee code only if it is applicable 
• State Excise License Number 
• Tax Registration Certificate 

7. Now, the last step to register one GST for multiple businesses is verification and submission of all the details. Verify all the details, select the checkbox, and submit the form through Digital Signature Certificate (DSC). Once the GST officials check and approve the form, your business vertical in GST will be added to the same GSTIN. 

How One GST for Multiple Businesses Simplifies Compliance? 

1. Registering multiple business under one GST is the best way to save heavy documentation, time, efforts, and reduce paper work. 
2. Single GSTIN for multiple businesses enables seamless tracking of taxes and ITC across all business verticals. 
3. It is a cost-effective solution that eliminates the need to pay taxes for multiple GSTINs, thus saving money. 
4. You can check the performance under one GST for multiple business seamlessly. 
5. No need to follow multiple tax rules as all the business verticals are tied to one GST number. 
6. Managing financial records for the same GSTIN becomes easier and eliminates the risk of errors. 
7. Claiming ITCs from purchases across business vertical in GST turns out to be simpler. 

One GST for Multiple Businesses: Challenges & Solutions! 

Avoid These 5 Mistakes While Managing Multiple Business Under One GST 

1. Mix financial records of different business verticals can be confusing. 
2. Incomplete documentation of business records can cause tax liabilities. 
3. Neglecting compliance deadlines and regulations will lead to penalties. 
4. Neglecting to take professional assistance from a CA or tax consultant.
5. Forgetting renewal dates of licenses and registrations will impact your business negatively. 

Let’s Conclude

Most of the entrepreneurs with more than one business often juggle between questions like Can I use one GST number for multiple business, what is the process, etc. The clear answer is yes, a single GSTIN can be used for more than one business vertical. But, it has several different conditions like the business should be located within the same state, should have a common PAN card and be operated by the same legal entity. 

The above blog takes you through the registration process, challenges, solutions, and key mistakes to avoid while opting one GST for multiple businesses. Save this article as your go-to-guide and refer to it whenever you plan to have a single GSTIN. 

When multiple businesses are involved, managing GST can quickly become difficult and time-intensive. Get a GST software that drives seamless tax operations, ensures accurate computations, and manages your financial records seamlessly. Don’t scroll away, Munim GST Return Filing Software has got you covered. Get started today and manage your taxes efficiently. 

FAQs on One GST for Multiple Business 

1. Is GST Required for Every Business? 

Yes, GST registration is essential for businesses in India to adhere to the tax framework. 

2. Can we have 2 GST on the same PAN? 

Yes, with a single PAN card you can register for two GSTINs within the same state or a union territory. 

3. Which documents are needed to ensure one GST for multiple business? 

• Business Registration Certificate
• PAN Card 
• Address Proof
• Owner’s ID Proof

4. Why should I add multiple business under one GST? 

• To ensure streamlined compliance 
• Reduce tax liabilities 
• To reduce paperwork 

5. Do I need to file separate GST returns for multiple business under one GST number? 

No, businesses registered with the same GST number don’t need to file separate returns. 

6. Can I Run two businesses under the same GST number? 

Yes, running two businesses under a single GSTIN is possible only if they are operated by the same legal entity. 

7. Can a proprietor have two GST Numbers? 

Yes, a proprietor can apply for two GSTINs, one for the product and the other for the service.