Do you need GST registration right after company incorporation?

Is GST registration part of company incorporation?

No. Incorporating a Pvt Ltd, LLP or OPC creates a legal entity with a PAN and TAN. GST is a separate registration under the CGST Act, 2017, and a new company has no GST liability until it crosses a turnover limit or falls into a compulsory category. Many companies incorporate months before their first invoice and have nothing to file for GST in that gap.

Being a company does not change the rules. Companies get the same threshold as anyone else under Section 22 and the same compulsory categories under Section 24.

When does a new company have to register for GST?

A company must register if any one of these applies:

• Turnover crosses the threshold (Section 22). Generally ₹40 lakh for goods and ₹20 lakh for services, lower in special category states. Turnover is counted across all your supplies under the same PAN, not state by state.
• You make inter-state supplies of goods (Section 24). There is no general turnover limit for this. Small exceptions exist, for example certain handicraft suppliers and job workers. Inter-state services are exempt from registration up to ₹20 lakh (₹10 lakh in special category states) under Notification 10/2017-Integrated Tax.
• You sell goods through an e-commerce operator that collects TCS (Section 24). This covers Amazon, Flipkart and similar marketplaces. A narrow enrolment-number route exists for small intra-state goods sellers; we explain it in our guide on selling on Amazon without GST.
• Other Section 24 categories, such as liability to pay tax under reverse charge, deducting tax at source, acting as an agent or input service distributor, or supplying online information services from outside India.

Once you become liable, the law expects you to apply within 30 days.

Can you apply for GSTIN during company incorporation?

Yes, and it is optional. The MCA's AGILE-PRO-S form (INC-35), filed along with SPICe+, lets a new company request a GSTIN together with EPFO, ESIC, a bank account and, in some states, professional tax registration. The MCA's FAQ describes the GSTIN part as optional. Confirm on the MCA portal before you file, as the form's options get updated.

The convenience is real, but it is not a reason to take GST you do not need. A GSTIN taken at incorporation creates return-filing duties from day one (see below).

When should a new company register for GST immediately?

Register straight away if you:

• plan to sell on Amazon, Flipkart or other TCS-collecting marketplaces;
• will sell physical goods to customers in other states, including through your own website;
• have business customers who will only buy against a GST invoice so they can claim input tax credit (ITC);
• are buying stock or services in volume and want ITC to start flowing from the first purchase;
• expect to cross the threshold within the first few months.

When can a new company wait on GST?

Waiting is usually fine if:

• you are pre-revenue and still building the product or setting up operations;
• you provide services, sell only within your own state, and expect to stay under ₹20 lakh;
• you sell goods only within your state, outside marketplaces, and stay under ₹40 lakh;
• your customers are consumers who do not need GST invoices.

Keep a running total of turnover and check it each month, because the 30-day clock starts the day you become liable. An unregistered company cannot charge GST, so you also cannot pass tax on to customers for sales made before registration.

What happens if you take GST voluntarily with no sales?

Your obligations start with the GSTIN, not with your first sale. Expect to file monthly or quarterly returns even for nil-turnover periods, and late fees apply for missed nil returns. You also need to keep the registered address and bank details current.

You can apply to cancel a voluntary registration at any time on Form GST REG-16. The rule that blocked cancellation for one year after voluntary registration was removed from Rule 20 of the CGST Rules with effect from 23 January 2018. Before you cancel, file all pending returns and account for tax on stock held, and file the final return after cancellation.

Can you claim ITC on stock bought before GST registration?

Partly. Under Section 18(1)(a), if you apply within 30 days of becoming liable, you can claim ITC on inputs held in stock, and inputs inside semi-finished or finished goods, as on the day before you became liable. Under Section 18(1)(b), a voluntarily registered person can claim the same on stock held on the day before registration is granted.

• You declare the stock in Form GST ITC-01, generally within 30 days of becoming eligible.
• A CA or cost accountant certificate is needed if the claim exceeds ₹2 lakh.
• The credit applies to goods in stock, not to services you consumed earlier, such as legal fees or rent. Capital goods follow separate rules with a reduction for each quarter since the invoice date.
• Invoice age limits and other Section 16 conditions apply, so keep valid tax invoices.

For how ITC works day to day, see our guide on ITC for e-commerce sellers.

What documents does a company need for GST registration?

• Certificate of incorporation and company PAN
• MoA and AoA (or LLP agreement for an LLP)
• Board resolution or authorisation letter naming the authorised signatory
• PAN, Aadhaar, photo and address proof of directors or partners and the signatory
• Proof of the principal place of business: rent agreement with consent, or ownership proof, plus a recent utility bill
• Bank account proof (cancelled cheque or statement)
• Digital Signature Certificate (DSC) of the authorised signatory, since companies and LLPs sign the application with DSC

Our guide on documents required for company registration covers the incorporation paperwork that most of this builds on.

How long does GST registration take for a new company?

Under CBIC Instruction No. 03/2025-GST, an application that has completed Aadhaar authentication and is not flagged as risky should be approved within 7 working days. Physical verification, which applies when authentication is not done or the application is flagged, extends this to 30 days. Since 1 November 2025, applicants who expect their monthly output tax on supplies to registered persons to stay within ₹2.5 lakh can opt for the Rule 14A route, which aims at approval within 3 working days. Biometric Aadhaar checks are also being applied more widely, so check the GST portal when you apply.

What we'd check in your case

We start with questions, not forms: what you sell, where your buyers are, whether you use marketplaces, and what you have already bought. From that we tell you whether to register now, wait, or take the AGILE-PRO-S option, and we quote a fixed price in writing. If you do not need GST yet, we will say so. See our GST registration service, or if the company is not formed yet, our business registration options.

Not sure whether your plan triggers GST? Message us on WhatsApp with what you will sell and where, and we will reply within 3 hours.

Related questions

See our service: GST registration for online sellers →

Sources

• MCA - AGILE-PRO-S (INC-35)
• CGST Section 18 - Availability of credit in special circumstances
• CGST Rule 40 - Manner of claiming credit in special circumstances
• CGST Rule 20 - Application for cancellation of registration
• TaxGuru - Section 24 compulsory registration cases
• GST Council - Notification 10/2019-Central Tax (threshold)
• TaxAJ - GST registration Rule 14A explainer

General information based on rules as of November 2026, not legal or tax advice for your specific case. Rules change; we confirm what applies to you before any filing.