Amended and updated notes on section 24 of CGST Act, 2017. Detail discussion on provisions and rules related to compulsory registration in certain cases.
Chapter VI (Sections 22–30) of the Central Goods and Services Tax Act, 2017 deals with the provisions related to registration. Section 24 of CGST 2017 provides for compulsory registration in certain cases.
Recently, we have discussed in detail section 23 (Persons Not liable for registration) of CGST Act 2017. Today, we learn the provisions of section 24 of Central GST Act 2017.
Section 24 of the Central Goods and Services Tax Act, 2017 has been notified by the Ministry of Finance vide Notification No. 1/2017-Central Tax, G.S.R. 605(E), dated 19.06.2017. This notification was come into force from 22nd June, 2017 i.e. the commencement date of section 24 is 22-6-2017.
| Name of Act | The Central Goods and Services Tax Act 2017 |
|---|---|
| Enacted by | Parliament of India |
| Administered by | Central Board of Indirect Taxes & Customs |
| Governing body | GST Council |
| Number of Chapters | 21 |
| Number of Sections | 174 |
| You are reading: | |
| Chapter No. | VI |
| Chapter Name | Registration |
| Section No. | 24 |
| Section Name | Compulsory registration in certain cases |
| Updated 2024 Edition | GST Law Book PDF |
Section 24 of Central GST – Compulsory registration in certain cases1
Section 24 of CGST Act 2017 shall come into force on 22.06.2017 vide Notification No. 1/2017-Central Tax, G.S.R. 605(E), dated 19.06.2017.
Notwithstanding anything contained in sub-section (1) of section 22, the following categories of persons shall be required to be registered under this Act, ––
(i) persons making any inter-State taxable supply;
(ii) casual taxable persons making taxable supply;
(iii) persons who are required to pay tax under reverse charge;
(iv) person who are required to pay tax under sub-section (5) of section 9;
(v) non-resident taxable persons making taxable supply;
(vi) persons who are required to deduct tax under section 51, whether or not separately registered under this Act;
(vii) persons who make taxable supply of goods or services or both on behalf of other taxable persons whether as an agent or otherwise;
(viii) Input Service Distributor, whether or not separately registered under this Act;
(ix) persons who supply goods or services or both, other than supplies specified under sub-section (5) of section 9, through such electronic commerce operator who is required to collect tax at source under section 52;
(x) every electronic commerce operator who is required to collect tax at source under section 52;
(xi) every person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered person; and
(xii) such other person or class of persons as may be notified by the Government on the recommendations of the Council.
Relevant notifications for Section 24 of CGST Act 2017
- CG vide Notification No. 30/2019-Central Tax (Rate), G.S.R. 456(E) dated 28th June, 2019: In exercise of the powers conferred by section 148 of the Central Goods and Services Tax Act, 2017 (12 of 2017) (hereinafter referred to as “the said Act”), the Central Government, on the recommendations of the Council, hereby notifies the persons registered under section 24 of the said Act read with rule 14 of the Central Goods and Services Tax Rules, 2017, (hereinafter referred to as “the said rules”), supplying online information and data base access or retrieval services from a place outside India to a person in India, other than a registered person as the class of registered persons who shall follow the special procedure as mentioned below.
- The said persons shall not be required to furnish an annual return in FORM GSTR-9 under sub-section (1) of section 44 of the said Act read with sub-rule (1) of rule 80 of the said rules.
- The said persons shall not be required to furnish reconciliation statement in FORM GSTR-9C under sub-section (2) of section 44 of the said Act read with sub-rule (3) of rule 80 of the said rules.
As per section 2(107) “taxable person” means a person who is registered or liable to be registered under section 22 or section 24.
According to section 25(1), every person who is liable to be registered under section 22 or section 24 shall apply for registration in every such State or Union territory in which he is so liable within 30 days from the date on which he becomes liable to registration, in such manner and subject to such conditions as may be prescribed in Rule-8 {Application for registration) of Central GST Rules 2017. GST Registration in FORM GST REG-01.
Further, a person, though not liable to be registered u/s 22 or section 24 may get himself registered voluntarily, and all provisions of this Act, as are applicable to a registered person, shall apply to such person.
One of the ground for cancellation or suspension of GST registration is that the taxable person is no longer liable to be registered u/s 22 or section 24 or intends to optout of the registration voluntarily made under sub-section (3) of section 25.
In accordance with the provisions of section 139(3), the certificate of GST registration issued to a person u/s 13(1) shall be deemed to have not been issued if the said registration is cancelled in pursuance of an application filed by such person that he was not liable to registration under section 22 or section 24.
Rule-138(1): Where handicraft goods are transported from one State or Union Territory to another State or Union Territory by a person who has been exempted from the requirement of obtaining registration under clauses (i) and (ii) of section 24, the e-way bill shall be generated by the said person irrespective of the value of the consignment.
The CG has exempted intra-State supplies received by deductor u/s 51 from any supplier, who is not registered, from the whole of the central tax leviable thereon under sub-section (4) of section 9, subject to the condition that the deductor is not liable to be registered otherwise than under sub-clause (vi) of section 24 vide Notification No. 9/2017-Central Tax (Rate), G.S.R. 681(E) dated 28-06-2017.
- Section 24 of CGST Act 2017 shall come into force on 22.06.2017 vide Notification No. 1/2017-Central Tax, G.S.R. 605(E), dated 19.06.2017. ↩︎