How to Register for Service Tax (ST 2) online?

Introduction

Unlike other registration, Service tax registration is more simple and convenient as compared with other registrations. Service tax registration applies to service providers
only. 

Service tax, though looks simple, but it is very complex and a single misinterpretation of law can lead to heavy fines and penalties.

Let us discuss the registration process in this part of article.

Nature of Registration

Service tax registration is off two types; voluntary and Mandatory.

• Voluntary registration is done at the sole discretion of owner. It is done mostly due to practical business needs. Foreign companies or big corporate requires service tax registration as their basic Know Your Customer (KYC) documents.
  Though it is not mandatory by law, but it is always recommended to have service tax registration because it adds value to your business.

• Mandatory registration is done when it is mandatory as per law. When the total value of service provided exceeds the limit of rupees nine lakh in any financial year, then service tax registration becomes mandatory. 

Registration Process

Let us now understand the service tax registration procedure in detail:

• Documents Required: This is the most important part of service tax registration because mostly registrations are rejected due to incomplete documents. Hence, we need to understand the requirements of documents and then proceed towards registrations.
  
  Find List of Documents required for Service Tax Registration here.
   
• Create Log in on ACES website: After you gather all the required documents, then you will need to log in into the government website and fill the application form ST-1. ST-1 is the application form to apply for services tax registration. Please note, you need to fill all the details appropriately otherwise your form will be rejected and no service tax number will be allotted.
  
  The aces.gov.in page looks like the below image: 
  
  
  
  Do fill the form and apply for the registration.
   
• Arrange all documents along with ST-1: After filing the ST-1, you need to arrange all the documents along with ST-1 with a proper covering letter. Stamp and sign all the documents neatly. The following person should sign the documents:
   

  In case of Sole-proprietorship	Proprietor
  In case of Partnership/LLP	Any authorized partner/designated partner
  In case of Pvt Ltd, OPC and Public Limited	Any director authorized via Board resolution

• Courier all documents: The arranged file should either be couriered or delivered in person to the concerned jurisdictional officer within 7 days of filing the ST-1 application.
   
• Check for Approval: After sending all the documents properly, keep checking for approval. If your application is approved, then the jurisdiction officer will issue the ST-2 (registration certificate), otherwise he will mark your application for resubmission.

Keep a check for resubmission, because then you will need to clear the remarks. If remarks are not cleared within a prescribed time, then the application may be rejected and the registration will stand cancelled.
 

• Approved: Once the application is approved, then you can download the ST-2 from the aces log in details. The ST-2 is not stamped nor signed but the same is totally valid. Don’t worry about the signature. Further, in case you need a signed or stamped copy, then you will need to visit the Service Tax office.

The ST-2 reference copy - (Annexure I)

 

Conclusion

Service tax registration is simple, but if not filed with total care, then it might be rejected.

Click here to register for Service Tax Registration in India.