The craze now for beauty parlors is unbelievable. Nowadays, personal grooming is an integral aspect of every stylish look. Taking a short course in the beauty industry and filling out a few paperwork forms, such as GST registration and Company Registration, is all it takes to open your own salon. If you are starting a Beauty Parlour Business in India or already have one, you must know about GST Registration for Beauty Parlors and how it can benefit your business.
Do you need GST Registration for Beauty Parlors in India?
As stated in the Goods and Services Tax Act of 2017, GST registration is required for any business providing a beauty service, hair service, or cosmetic service. Beauty Parlors having annual revenues greater than the government-mandated minimum, which is now Rs 40 Lakhs (or Rs 20 Lakhs in some North Eastern States) must get GST . Apart from that, if you provide services or sell products through e-commerce, you will also need to get GST Registration Mandatorily. Furthermore, if you pay taxes under Reverse Charge Mechanism or operate as an occasional taxable person, you must apply for GST Registration. If you are targeting Hair Saloon Business as primary business in your parlor, you must also read: How to Set Up Beauty Salon Business in India and How much GST rates apply on Hair & Beauty Salon?
What will be the benefits of GST Registration for Beauty Parlors in India?
There are innumerable benefits of GST Registration for Beauty Parlors in India. The most important ones are discussed in forthcoming paragraphs.
GST Registration acts as a Legal Proof.
If you wish to expand your business or require business loans from a bank, GST Registration will be beneficial as a legal proof and build a solid image. It’s obvious that banks prefer those businesses only who are legal and compliant with law and really are interested in continuing the business expansion. Therefore, GST proves all this and helps you build a solid image for borrowing.
It will make it easier for you to manage your business.
If you are managing online as well as offline clients, managing all of them will certainly not be an easy task. However, with GST Registration, you can easily generate e-invoices specially using Instabill. Moreover, you will be able to use online bookkeeping and accounting services and thus managing your books and taxes will be a breeze.
Avail Input Tax Credit
One of the most important benefits for parlors of GST is availability of Input Tax Credit. Parlors use lots of goods and services for furtherance of their business and they have to pay taxes on purchase of such items and utilities. However, with the aid of GST Registration and GST Return Filing, you can easily claim refunds for these taxes or reduce the tax liability.
GST Registration for Parlor will help in opening of a current bank account
A current bank account especially in Parlor business is an absolute necessity. Having a GST in your business name will easily allow you to open a current bank account online.
Complete Process of GST Registration for Parlors in India
- Our expert team will determine which form of GST is best for your company based on your specific needs.
- Depending on the specifics of the client’s business, we will then go forward with assisting you with understanding necessary paperwork preparation for GST registration.
- After we have gathered all the necessary data and documentation, our team of experienced and professional GST Experts will submit an application for GST on the official webportal of the government on your behalf.
- Once the application gets verified by the appropriate authority official, we will deliver your GST Registration Certificate and GSTIN to your inbox.
Conclusion
In conclusion, The tax system is now straightforward and manageable thanks to the Goods and Services Tax (GST). You may register for GST entirely online. If you are not eligible for GST Registration due to turnover criteria, you can also apply for voluntary registration under GST and avail its benefits.
Moreover, If you want any other guidance relating to Company Formation. Please feel free to talk to our business advisors at 8881-069-069.
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