New Delhi, August 24
Aadhaar authentication facility, which was cleared by the Goods and Services Tax (GST) Council in March, has now been rolled out from Friday, a statement from the Union finance ministry stated.
New businesses can now opt for a quick authentication of their credentials using Aadhaar, the 12-digit biometric identification number and secure Goods and Services Tax (GST) registration without physical verification of their premises. The option for Aadhaar authentication was kept in abeyance temporarily on account of the pandemic.
“Aadhaar authentication for new registration would substantially enhance ease of doing businesses for genuine businesses,” said the ministry statement. A person opting for Aadhaar authentication for new GST registration would get it within just three working days, if no notice is issued and would not need to wait for physical verification.
However, in the case of those opting not to use Aadhaar, GST registration would be given only after physical verification of the business premise, which could take up to 21 days and in case a notice is issued, even more time.
The government has also introduced a system of deemed registration. If the concerned official has not taken any action within the specified time—that is, three days when Aadhaar is used and 21 days when Aadhaar is not used—then registration is deemed to have been granted. “If the registration application has neither been accepted, nor a notice for rejection has been issued, after the specified period, the application shall be deemed to be approved,” said the statement. At present there are over 12.2 million registered GST businesses in the country.
The ministry has stipulated process for “Aadhaar authentication for GST registration”: At the time of applying for GST registration, the applicant is given an option to select if he wishes to authenticate Aadhaar, the applicant can either select a YES or a NO for Aadhaar Authentication, if he/she clicks YES, an authentication link will be shared on GST registered mobile number and e-mail Ids, upon clicking the authentication link, a screen will come with declaration where the applicant needs to enter Aadhaar number and click on “validate” and on successful matching of the details in registration form with the UIDAI, an OTP will be sent on their email and mobile registered with the Aadhaar that has been entered by the applicant.
On entering the OTP in the box provided on the screen validation will be complete and a message of successful e-KYC authentication will be shown, for a person opting for Aadhaar authentication for new GST registration would get it within just three working days, where the applicant for GST registration chooses not to go through the process of Aadhar authentication, he may choose NO for this.
The GST registration application would then be sent to the jurisdictional tax authority that may carry out necessary documentary and/or physical site verification before approving registration and where no action is initiated by the Tax Authority within 21 days, the registration application shall be deemed as approved.