Should i pay gst and income tax
GST Registration is required if the turnover is more than 40 lakh rupees per year. Income tax should be paid if the annual income of a person is more than 2.5 lakh rupees.
Do I have to pay GST and income tax?
GST is charged on top of your pricing and is not taken out of your profits (as it never formed part of your profits to start with), and income tax is based on your annual taxable income and comes out of your salary or wage if you are an employee or out of profits that you earn if you are a sole trader.
Is GST exempted from income tax?
Businesses and individuals who are supplying goods can claim GST exemption if their aggregate turnover is less than INR 40 lakhs in a financial year. For hilly and north-eastern States of India, the limit has been revised to INR 20 lakhs.
Do I have to pay GST if I earn under 75000?
Basically, if you are expecting to generate under $75,000 in your business for a financial year period, then you do not have to register for GST. Once your business exceeds this threshold, or even if you anticipate it might, then you must register for GST.
Is GST necessary for small business?
However, any business whose turnover exceeds Rs 40 lakh in a financial year is required to register under GST. This limit is Rs 20 lakh for service providers. This higher threshold under GST has brought compliance relief to many small businesses, including startups in India.
Is it necessary to have GST number?
Is GST registration mandatory? Yes, you are required to obtain GST registration once your turnover exceeds the specified threshold limits.
Do I have to pay GST if I make less than 30 000?
You have to start charging GST/HST on the supply that made you exceed $30,000. You exceed the $30,000 threshold 1 over the previous four (or fewer) consecutive calendar quarters (but not in a single calendar quarter).
What are the disadvantages of GST?
Disadvantages of GST
- GST Scheme has increased the cost of operation. …
- Increased tax liability on SMBs. …
- Enhance burden of compliance. …
- Penalties for non-GST-compliant firms.