Govt Launches Simplified GST Registration Scheme For Small Businesses

(MENAFN- KNN India) New Delhi, Sep 4 (KNN) The government on Wednesday announced a Simplified GST Registration Scheme aimed at easing compliance for small and low-risk businesses.

The reform, introduced by the Central Board of Indirect Taxes and Customs (CBIC), seeks to reduce paperwork, shorten processing time, and encourage entrepreneurship.

Under the new system, eligible applicants will be granted GST registration within three working days.

Businesses classified as low-risk through data analysis and risk parameters will qualify, along with firms whose input tax credit (ITC) claims do not exceed Rs 2.5 lakh per month.

Officials said the scheme is expected to benefit nearly 96 percent of new applicants, making registration faster and more convenient.

Applicants choosing to withdraw from the simplified option will still have access to the existing registration process.

The initiative is intended to expand formalisation among small businesses and enhance India's ease of doing business rankings.

Unveiling the broader set of GST reforms, Finance Minister Nirmala Sitharaman said the changes go beyond tax rate reductions.

“This reform is not just about rate cuts. It's also about simplifying processes, reducing compliance burden, and improving ease of living. Every tax on the common man's daily-use items has been reviewed, and in most cases, rates have come down drastically,” she said.

Sitharaman added that labour-intensive industries, farmers, and the agriculture and healthcare sectors would see particular benefits.

“We have fixed inverted duty issues, corrected classifications, and ensured more predictability in GST. Refunds, return filing, and registration are all being simplified,” she noted.

(KNN Bureau)

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