Business

What is the consent letter for GST registration?

The Goods and Services Tax (GST) is a value-added tax that was implemented in India on the 1st of July 2017. For business owners compliance with GST laws is mandatory since only with a GST registration are they legally authorized to collect taxes from the people who buy their products or services.  Additionally only a GST registered business is considered a legal supplier of a product or a service.

Thus, in this article, you will get to know how exactly to prepare a GST consent letter.

What is a GST consent letter registration?

A consent letter for GST registration is a written document where the owner of premises on which business is being carried out states that he doesn’t have any objection to the business being carried out on his premises. Hence it is a No Objection Certificate (NOC).

If you are one of those freelancers or entrepreneurs, who carry out work from home and don’t have a registered commercial space to do their business, then filling up GST registration might be quite overwhelming for you. The good news is that you can get through the process without much trouble. The consent letter can be in any format. It could be as simple as a signed letter from the owner. However, you should seek professional help while preparing such letters to avoid any queries or confusion with your GST authorities in future.

Who signs the consent letter? 

The GST consent letter from the owner of the premises is a valid document. It needs to be signed by the owner and stamped with a govt seal. Typically the GST officer could direct to use a stamp paper for consent letter however, it is not a mandatory requirement. 

In addition to a consent letter, you also need to upload a proof of address like an electricity or telephone bill.

How to upload the signed consent letter

With these steps you can upload your consent letter for NOC:

  1. Visit the GST portal
  2. Navigate to Registration under services
  3. Select New Registration
  4. In the form select
  1. Consent
  2. Nature of possession whether it is a rented property or owned by a friend or family
  1. Upload the consent letter

Note: The consent letter could be uploaded in a PDF or a JPEG format, however, its size cannot be more than 1 MB.

What happens if you don’t submit a consent letter?At the time of GST registration, while filling the form GST REG-01 if you forget or miss the consent letter or the accompanying address proof, a GST officer will contact you through an email or on phone. Once you receive this communication you can attach the consent letter or the address proof to your application.  Unless you send it your GST registration process may be halted and you won’t be able to download GST certificate that you get after successful registration. If you want to learn more about registering and downloading your GST certificate then click here.

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