• GST on paid apps in Google Play Store

Is it necessary to obtain GST registration for selling android apps in Google Play Store?

According to Google 
- "Google as a marketplace service provider, is responsible for deducting and depositing appropriate withholding tax and GST TCS (Tax Collection at Source), if any, on account of paid apps and games (including in-app purchases) sold by the developer."


And also according GST Notification no 65/2017, 
- "the persons making supplies of services, other than supplies specified under subsection (5) of section 9 of the said Act through an electronic commerce operator who is required to collect tax at source under section 52 of the said Act, and having an aggregate turnover, to be computed on all India basis, not exceeding an amount of twenty lakh rupees in a financial year, as the category of persons exempted from obtaining registration under the said Act:"

So if the aggregate annual turnover is less than 20 lakh then it's not mandatory to register for GST?
Please explain.
Asked 6 months ago in GST

Yes. It is not mandatory to register under GST if the turnover is less than Rs 20 L in a financial year.

B Vijaya Kumar
CA, Hyderabad
1001 Answers
124 Consultations

5.0 on 5.0

Hello,

 

If your annual turnover from selling Android apps on the Google Play Store is less than Rs 20 lakh, you are exempt from GST registration based on GST Notification No. 65/2017.

 

Hope you find the information helpful. You are free to contact me for further discussion.If you could spare two minutes of your time to write a review, It would be really grateful and very happy to read it.

 

Thank you.

Shubham Goyal

Shubham Goyal
CA, Delhi
210 Answers
4 Consultations

5.0 on 5.0

Voluntary GST Registration Cancellation

In certain cases, individuals or entities registered for GST may choose to voluntarily cancel their GST registration. The procedure for voluntary cancellation involves submitting a formal request to the GST Department, typically done through Form GST REG-16. Once your application is reviewed and approved by the GST Officer, they will issue an order for the cancellation of your GST registration, usually in Form GST REG-19.

Valid Reasons for Voluntary GST Cancellation:

  1. Discontinuance or Closure of Business: If you have ceased or permanently closed the operations of your business, you may opt for GST registration cancellation.

  2. Transfer of Business, Amalgamation, Merger, De-merger, Lease, or Other Pertinent Reasons: In cases where your business undergoes significant structural changes, such as merger, amalgamation, or lease, and the new entity is not required to be registered for GST, you can request cancellation.

  3. Change in the Constitution of Business Resulting in a Change of PAN: If there has been a substantial change in the constitution of your business, leading to a change in the Permanent Account Number (PAN), and the new entity is no longer eligible for GST registration, cancellation is an option.

  4. Turnover Reduces Below the Threshold Limit of GST Registration: When your business turnover falls below the threshold limit defined for GST registration in your region, you can initiate the cancellation process.

  5. Death of the Sole Proprietor: In the unfortunate event of the death of a sole proprietor, the legal heirs may opt to cancel the GST registration.

If you are already registered for GST and wish to cancel your registration, a valid reason to provide is a "Turnover Reduces Below the Threshold Limit of GST Registration." When the annual turnover of your business falls below the prescribed threshold set by the GST authorities in your region, it becomes an eligible reason for voluntary cancellation of your GST registration.

Hope you find the information helpful. You are free to contact me for further discussion.If you could spare two minutes of your time to write a review, It would be really grateful and very happy to read it.

 

Thank you.

Shubham Goyal

Shubham Goyal
CA, Delhi
210 Answers
4 Consultations

5.0 on 5.0

If you wish to continue in the business and expect to cross the threshold limit of Rs 20 L in the near future, you may retain registration. Otherwise, you may cancel the registration and give the reason that you're not expecting to have taxable turnover in the near future. 

B Vijaya Kumar
CA, Hyderabad
1001 Answers
124 Consultations

5.0 on 5.0

Yes it is not mandatory to register under GST if your turnover is less than Rs.20 LAkhs 

Poorvi Jain
CA, Indore
143 Answers
1 Consultation

4.8 on 5.0

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