In a recent document released by the Central Board of Excise and Customs (CBEC), the Board explained the concept of Casual Taxable person under the Goods and Services Tax (GST) law.
According to the document, “Casual taxable person” means a person who occasionally undertakes transactions involving supply of goods or services or both in the course or furtherance of business, whether as principal, agent or in any other capacity, in a State or a Union territory where he has no fixed place of business.
A casual taxable person making taxable supply in India has to compulsorily take registration irrespective of the threshold limit for registration.
A casual taxable person cannot exercise the option to pay tax under composition levy. He has to apply for registration at least five days prior to commencing his business in India.
A casual taxable person has to make an advance deposit of tax in an amount equivalent to his estimated tax liability for the period for which the registration is sought.
There is no specific form for the purpose of registration of casual taxable persons and they can use normal form GST REG-01 which is used by other taxable persons.
A casual taxable person, before applying for registration, declare his Permanent Account Number, mobile number, e-mail address, State or Union territory in Part A of FORM GST REG-01 on the common portal, either directly or through a Facilitation Centre notified by the Commissioner.
The casual taxable person is required to furnish outward and inward supplies of goods or services along with the monthly returns in each month. The returns must be filed electronically through the common portal, either directly or through a Facilitation Centre notified by the Commissioner.
The casual taxable person is eligible for the refund of any balance of the advance tax deposited by him after adjusting his tax liability. The balance advance tax deposit can be refunded only after all the returns have been furnished, in respect of the entire period for which the certificate of registration was granted to him had remained in force.
Read the full text of the Concept Note below.
