November 7, 2023

Standard Operating Procedure (SOP) for processing of GST Registration application at Seva Kendra

Presently, application for obtaining any new GST registration, in form GST REG-01, is assigned to either center jurisdiction or state jurisdiction by the GST portal itself. Then, the Assigned Jurisdictional officer is required to process such application and need to carry out physical verification, if required, and decide on whether to allow GST registration or not.

However, Center and State officers are having a lot of GST related responsibilities already such as revenue collection, compliance monitoring, scrutiny of returns etc. Due to this cases of deemed approval of GST registration as also increased. Further, registration of fake and non-genuine taxpayers has also increased substantially.

Therefore, CBIC has established a centralized GST registration cell (“Seva Kendra”) to receive and process the request of new GST registration. In line with same, CBIC has issued Standard Operating Procedures for processing of GST registration application by Seva Kendra vide F.3(486) GST/Policy/ 2023/ T22) dated 23^rd June, 2026.

Standard Operating procedure issued by CBIC is as follows:

1. Relevant Statutory Provisions

Every application for Regular GST registration, i.e., other than Non Resident Taxpayer (NRTP), TDS, TDS, Online Information and Data Access or Retrieval Service Provider etc., if filed in Form GST REG-01.
Separate GST registration is required in the same state for unit located in SEZ and unit located outside SEZ.
For other GST registrations, applicants are required to file an application for GST registration in following forms:

TDS and TCS Application	GST REG-07
Non-Resident taxpayers	GST REG-09
OIDAR Applicant	GST REG-10
UIN	GST REG-13

PAN mentioned in application is validated through CBDT Database and phone number and email ids are validated through OTPs.

2. Verification of the Application

The proper officer shall issue the GST registration within 7 days from date of submission of application if application and accompanying documents are in order.

Physical verification shall be carried out in following cases:
- Applicant fails to undergo or don’t opt for Aadhar authentication;
- The Applicant is identified for physical verification by common portal through data analysis and risk parameter;
- Proper officer deems it fit to carry out physical verification

In case of physical verification, the registration shall be granted within 30 days of submission of application, after physical verification of the place of business.

Where application is found to be deficient:
- Proper officer may issue a notice within 7 working days from the date of submission of the application and the applicant shall furnish the clarification within a period of 7 working days.
- Where physical verification is required, the notice is to be issued in within 30 days.

The ARNs marked for Physical Verification are to be processed by Seva Kendra officer within 30 days. Please note that these are a total of 30 days and not 30 working days.

3. Approval or Rejection of Application

Upon furnishing complete clarification, the application shall be approved within 7 working days from the date of the receipt of such clarification.
Where no reply is furnished or proper officer is not satisfied with the clarification, the proper officer shall reject the application.

4. Deemed approval of GST registration

Where GST registration is not granted within above mentioned time period then the application for grant of registration shall be deemed to have been approved.

5. Timelines for processing of GST Applications

GST registration application shall be concluded in below time bound manner:

a. For Aadhar Authenticated Applications

Initial processing of GST registration application including deficiency in Form GST REG-03	7 working days from date of submission of application
Reply to Deficeney	7 working days from date of receipt of notice
Grant of GST registration	7 working from date of receipt of reply

b. Non-Aadhar Authenticated case: The applications need to be processed within 30 days from the date of submission.

6. Procedure for processing of GST Registration application

Proper officer shall examine the application for GST registration filed as soon as the application is reflected in the Task List.
While examining the application, the proper officer shall ensure that:
- The applicant does not have an active GSTIN on the same address;
- In case the applicant is having any inactive/ canceled GSTIN in the same State then whether the earlier registration was cancelled by the Department suo-moto or on the request of the taxpayer.
- In case of GSTIN Cancelled by Department, whether the reasons for cancellation are still in place. If so, then the application is liable to be rejected or the details of the same should form part of the physical verification report.

Once the application is allocated to the Proper Officer, such application shall be completely processed by same proper officer till final approval/ rejection except in the case of leave or transfer.
In case, the applicant is granted any previous GST registration and there is any tax liability pending on his part, a query to produce NOC may be raised before considering the approval or rejection of new GST registration.
After grant of GST registration, the credential of the taxpayer shall automatically be transferred to the jurisdictional ward for all other purposes.
The Centralized GST Registration Cell (Seva Kendra) shall only deals with new GST registration applications. Any application related to amendment/ cancellation shall be handled by the concerned proper officer. Similarly, Ward Officers shall not deal with any fresh application for registration. If any application reflects on the GST portal of wrong authority, the same shall be transferred to the concerned authority.

7. Procedure for Physical Verification

Aadhar Authenticated Application: Physical verification is not required for AADHAAR authenticated applications. However, if the proper officer believes that the applicant appears to be fake or non genuine, he may conduct a physical verification after recording the reasons for the same.
Non-Aadhar Authenticated Application: In case of NON-AADHAAR Authenticated applications, physical verification is required in following cases:
- Application is categorized as High-Risk in the system;
- The applicant deals in evasion prone commodities; or
- Proper officer has reasons to believe that the applicant appears to be fake or non-genuine.

Time limit for processing of non-AADHAAR authenticated applications is 30 days, if warranted, the Physical Verification of the Place of Business of the taxpayer should be completed within 21 days.

The verification of documents during physical verification shall be carried out as per FORM REG -30 (Physical Verification Report) and PV report should be submitted within 3 days of visit.

It is advised to use online app or any other mode as may be prescribed by the GST authorities or mandated by GST Law for submitting field visit report.

An illustrative list of Information and documents to be verified during physical verification:
- In case of manufacturing activity, whether capital goods, if required for manufacturing activity, have been installed.
- Electricity connection, electricity bills paid in the relevant period.
- Whether the size of the premises is commensurate with the activity to be carried out by the applicant. (Coloured pictures should be included in verification report).
- Whether premises are self-owned or rented. Documents relating to ownership/ registered lease of the said property.
- In case of doubt, enquiry may also be made from the landlord/ owner of the property in case of rented/leased premises.
- No. of employees already employed and record of their employment.
- AADHAAR and PAN of the applicant and its proprietor, partners, Karta, Directors as the case may be and the authorized signatories. E.g.: Bank’s letter for up-to-date KYC.
- ITRs of the company/ LLP from the date of incorporation or for last three financial years, whichever is less and ITRs of proprietor/partners/ Karta, etc. in other cases.

The above list is only indicative and the GSTI may call for any other documents/information on case-to-case to ensure that no bogus/ non-genuine person may obtain GST Registration.

8. Reporting requirements in Seva Kendra

The duties and responsibilities of the each grade of officials is defined respect to Seva Kendra functioning.
Deemed Approval Report:
- Detailed report of GST registration granted on deemed basis is required to be given on a weekly basis for further action by ward officials.
- Wards officials may decide to carry out field verification, if required. Further, ward officials are advised to monitor the functioning of deemed taxpayer for at least 6 months and take action accordingly as per GST Law.
- A Monthly Report of deemed registrations shall also be prepared stating the reasons for deemed approval must be submitted to Joint Commissioner.

Registration Report: The Assistant Commissioner/GSTO are need to compile a report containing the details of total GST registration application received and granted/rejected on a weekly basis.

DISCLAIMER: The views expressed are strictly of the author and VJM & Associates LLP. The contents of this article are solely for informational purpose. It does not constitute professional advice or recommendation of firm. Neither the author nor firm and its affiliates accepts any liabilities for any loss or damage of any kind arising out of any information in this article nor for any actions taken in reliance thereon.

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