REGISTRATION

REGISTRATION

1. WHY REGISTRATION IS NECESSARY?

Registration is identification of an assessee. Identification is necessary to deposit service tax, file returns and undertake various processes ordained by law relating to service tax. Failure to obtain registration would attract penalty in terms of section 77 of the Finance Act, 1994, read with rule 4 of Service Tax Rules 1994.

1. STATUTORY PROVISIONS

Section 69 of Finance Act 1994.

(1) Every person liable to pay the service tax under this chapter or the rules made there under shall, within such time and in such manner and in such form as may be prescribed, make an application for registration to the Superintendent of Central Excise.

(2) The Central Government may, by notification in the Official Gazette, specify such other person or class of persons, who shall make an application for registration within such time and in such manner and in such form as may be prescribed.

Service Tax (Registration of Special Category of Persons) Rules, 2005.

In exercise of the powers conferred Central Government made the rules Service Tax (Registration of Special Category of Persons) Rules, 2005.

Rule 3 of Service Tax (Registration of Special Category of Persons) Rules, 2005.

Registration. - (1) The input service distributor shall make an application to the jurisdictional Superintendent of Central Excise in such form as may be specified, by notification, by the Board, for registration within a period of thirty days of the commencement of business or the 16th day of June, 2005, whichever is later.

(2) Any provider of taxable service whose aggregate value of taxable service in a financial year exceeds nine lakh rupees shall make an application to the jurisdictional Superintendent of Central Excise in such form as may be specified, by notification, by the Board, for registration within a period of thirty days of exceeding the aggregate value of taxable service of nine lakh rupees.

(3) The provisions of sub-rules (2) to (8) of rule 4 of Service Tax Rules, 1994 shall be applicable to the persons or class of persons who make an application for registration under the provisions of these rules, with such modifications and alterations as may be prescribed by the Board.

III.       AUTHOR’S ANALYSIS

1. Who should apply for registration under service tax law?

Following persons should be registered:

1. Every person who provides taxable service and is liable to pay service tax.
2. Every person who has provided a taxable service of value exceeding Rs. 9 lakhs, in the preceding financial year, is required to register with the Central Excise or Service Tax office having jurisdiction over the premises or office of such service provider.

• In case a recipient is liable to pay service tax, he also has to obtain registration. [This is a case of reverse charge.]

7. The “Input Service Distributors”[1] are also required to register them as per Notification No.26/2005-ST dated 07.06.2005.

1. When should a prospective assessee obtain registration?

Assessee should obtain registration within time-limits as specified below:

1. When a person commences business of providing a taxable service, he is required to register himself within 30 days of such commencement of business.
2. In case service tax is extended to a new service, an existing service provider must register himself, unless he is eligible for exemption under any notification, within a period of 30 days from the date of new levy.

1. Procedure for registration
2. Fill the Form ST-1 in duplicate. (Form ST-1 is available on the departmental website www.cbec.nic.in). Enclose photocopy of PAN card and proof of address to be registered.
3. Copy of PAN card is necessary; as a PAN based code (ServiceTax Code) is allotted to every assessee.

• These forms are required to be submitted to the jurisdictional Central Excise office.

1. An assessee should get the registration certificate (registration number) within7 days from the date of submission of form S.T.1, under normal circumstances.
2. In case a registered assessee starts providing any new service from the same premises, he need not apply for a fresh registration. He can simply fill in the Form S.T.1 for necessary amendments he desires to make in his existing information. The new form may be submitted to the jurisdictional Superintendent for necessary endorsement of the new service category in his Registration certificate.
3. Any registered assessee when ceases to provide the taxable service shall surrender the registration certificate immediately.

 

Service provider providing more than 1 service

Where a person, liable for paying service tax on a taxable service,

(i)      Provides such service from more than one premises or offices; or

(ii)     Receives such service in more than one premises or offices; or,

(iii)    Is having more than one premises or offices, which are engaged in relation to such service in any other manner, making such person liable for paying service tax,

and has centralised billing system or centralised accounting system in respect of such service, and such centralised billing or centralised accounting systems are located in one or more premises, he may, at his option, register such premises or offices from where centralised billing or centralised accounting systems are located.

This registration is granted by the Commissioner of Central Excise in whose jurisdiction centralised billing or accounting is located.

[1] Rule 2(m) of CENVAT credit rules, 2004 "input service distributor" means an office of the manufacturer or producer of final products or provider of output service, which receives invoices issued under rule 4A of the Service Tax Rules, 1994 towards purchases of input services and issues invoice, bill or, as the case may be, challan for the purposes of distributing the credit of service tax paid on the said services to such manufacturer or producer or provider, as the case may be. In simpler words, An office of the manufacturer or provider of output service who receives invoices for the procurement of input services and issues invoices for the purpose of distributing the credit of Service Tax paid to such manufacturer or provider of output service is an “Input Service Distributor”.

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