GSTIN stands for Goods and Service Tax Identification Number. It is a 15-digit alphanumeric code. In India, a unique GSTIN is assigned to every taxpayer who is registered under the GST authorities. This number helps the government in tracking the tax transactions and obedience of the taxpayer towards the government. The first two digits of the GSTIN represent the state codes assigned to states as per the 2011 Indian Census. The next ten characters are the PAN number of the person or the entity. The next character is assigned depending on the number of registrations of the entity within the state. This number is either an alphabet or any number between 1-9. The next character is Z by default. The last digit is a check code which is either a number or an alphabet.
Important Points to Remember During GST Verification
Given beneath are some essential point to maintain in mind whilst doing GST verification:
- Make sure that the GSTIN entered is legitimate and accurate as GSTIN is a fifteen-digit alphanumeric code that is unique for every taxpayer.
- It’s crucial to verify the GSTIN of the clients and suppliers often in order to make certain their compliance with GT regulations.
- Verifications using third-party websites are convenient but they may not have the latest data every time. So, the best way to verify the GST number is through the official GST portal.
Why It is Important to Verify the GST Number?
GSTIN is a completely unique identity number for groups assigned to them under the GST system of India. This variety enables in keeping song and facts of tax payments and compliances with the authorities. it’s far vital to verify and check the validity of the GST wide variety due to the following reasons:
- It helps you to check whether the GSTIN of the customers or suppliers is valid or not as well as, and it also saves us from getting associated with fake or crooked dealers.
- It helps us to ensure smooth functioning and the accurate generation of invoices of recipients with correct GSTIN by avoiding errors while filing GST returns.
- Verifying GST helps us to ensure whether we are claiming the correct input tax credit which is based on the GSTIN of the suppliers. This also avoids any kind of mismatch possible or credit reversal.
Different Modes of GST Verification in India
The different modes of GST verification are:
- Manual verification
- Third-party verification
- Automated System-Based verification
Steps to verify GSTIN
- Using the web browser, visit the official GST portal.
- After the homepage appears, click on the Search taxpayer option and click on GSTIN/UN from the dropdown list.
- Enter the GSTIN in the search box and click on the Search option.
- If the GSTIN is valid, the details of the taxpayer including their official name, trade name and other details appear.
GST Identification Number Format
The GST identification number is composed of 15 alphanumeric characters. The GSTIN follows a specific format for its validation. The first two digits represent the state code of the party. The next ten characters represent the PAN number of the proprietor. The next character represents the number of registrations that are under the same PAN number within a state and the character Z is the default. The final character acts as a check code which is either numerical or alphabetical that helps in error detection and correction. This structured format makes sure that the GST number is legit and accurate.
Process of Verification of GST Numbers Online in India
Verification of GST numbers online can be done either by the official GST portal or other websites that are reliable and provide service of GST verification. The following are the ways to do GST verification online:
Through the Official GST Portal
- Visit the official GST portal: www.gst.gov.in. through your web browser.
- When the homepage opens, click on the Search Taxpayer option on the menu bar and a dropdown list appears.
- Click on the option Search by GSTIN/UIN in the dropdown list.
- Enter the details and select the Search button.
- The details of the entered GSTIN appear which include trade name, type of taxpayer, official name of the business, the status of registration and place of business.
Third Party Verification
There are some third party websites that provide GST verification services. One has to be careful while using these web sites and should make certain that it’s far from a relied on and dependable internet site to avoid fraud. a number of the depended on and reliable web sites that provide GST verification are:
- Visiting trusted websites: Websites like Tally Solutions, Clear Tax and Tax2win are some trusted websites that are reliable enough and provide the service of GST verification. Through a web browser, visit any of these websites.
- Select the GSTIN verification section and enter the GSTIN for verification.
- To ensure online security, some websites may ask the person to enter a captcha code.
- Then the website displays the details of the entered GSTIN along with the details including status of registration, legal name and the name of trade.
Benefits of GST Verification in India
Some of the key benefits of verification of GST in India are:
- Verification of GST helps to ensure the legitimacy of the customers and suppliers, thus reducing risks of fraud.
- GST verification regularly ensures compliance of the parties with the GST regulations.
- This helps to claim the accurate input tax credit.
- Regular verification also helps avoid penalties and other legal issues.
Conclusion
Verification of GST numbers is a very important step in the authenticity of businesses and their transactions and also ensures the compliance of the entities. This is a step-by-step process that can be done online through various websites that provide this service. The best way to verify the GST numbers would be through the official GST portal. There are various third-party websites like Clear Tax and Tally Solutions which also offer the service of GST verification. Sometimes, third-party websites may not have the latest data while verifying the GST numbers. So, the best way for GST verification will definitely be the official GST portal.
FAQs
- What is the GSTIN number?
It is a 15-digit alphanumeric code. In India, a unique GSTIN is assigned to every taxpayer who is registered under the GST authorities.
- Why is it important to verify GSTIN?
Verifying GST helps us to ensure whether we are claiming the correct input tax credit based on the GSTIN of the suppliers. This also avoids any kind of mismatch possible or credit reversal.
- What is the accurate number for GST verification?
The GSTIN entered is valid and accurate as GSTIN is a fifteen-digit alphanumeric code that is unique for every taxpayer.
- What are the other websites for GST verification?
Visiting trusted websites: Websites like Tally Solutions, Clear Tax and Tax2win are some trusted websites that are reliable enough and provide the service of GST verification. Through a web browser, visit any of these websites.
- Why is it important to verify GST?
GST verification regularly ensures compliance of the parties with the GST regulations.
