As of 2023-24, there are around 82 million taxpayers in India. Even after a huge number of people rely on GST, understanding its complexities might be challenging, but it is required for businessmen and consumers alike.
The guide below will give you a better understanding of the how to check the GST Number, a complete process making the transactions smoother and more transparent. Starting from verifying the authenticity of the GST numbers and discussing the tools involved in verification, this complete guide will simplify the verification process for you. It will also help you make an informed and efficient decision.
Why is GST Verification Necessary?
GST verification is necessary for several reasons. Each of them contributes to the increased efficiency of the tax payment system.
- Prevention of Fraud: It ensures that all businesses have registered and are valid. According to a 2021 report by the tax authorities, there was tax evasion of Rs 40,000 crore since the initiation of GST. To prevent fraud, it is important to verify the GST number. If your GST got suspended find out ways to activate it.
- Transparency: GST number verification ensures transparency in the verification process, which builds trust in businesses, creates a healthier business environment, and reduces the risk of tax evasion.
- Ensures Conformity: Getting the GST no. check ensures that the businesses are following the GST rules and regulations. As of 2023, there were over 14 million registered GST taxpayers. GST no. verification is important to keep a check on all these taxpayers.
Also read:- LUT In GST – Registration, Eligibility Criteria, How to Apply & Filing
Steps For GST Verification Online
Earlier, the Government made it mandatory to verify the GST number physically in offices. To make the whole process of GST no. verification easier, you can now do the verification process online in very little time. Here are the steps for verification:
- Visit the official GST website- www.gst.gov.in
- Enter the 15-digit GST number under the ‘search taxpayer’ tab for any business.
- After submitting the number, all the details associated with the business will appear.
- Verify the required details such as business name, type of taxpayer, registration status, etc.
Benefits Of GST Verification
GST verification comes with a lot of benefits. GST verification has significant uses and advantages. Let us explore them one by one:
- Helps in Accurate Tax Reports: For financial planning, GST verification helps maintain proper and accurate tax reports, which in turn helps in better financial management.
- Prevention of Penalties: Incorrect GST practices can have severe consequences which include fines and penalties. The verification would prevent further penalties. Here are some proven strategies to avoid GST penalties.
- Audits and Inspections: By confirming GST details as accurate and updated, the GST no. verification helps the authorities hold easier and more regular audits. This helps streamline the taxation process and reduce the burdens of administration.
- Accurate Input Tax Credit: GST verification ensures that businesses claim ITC from legitimate suppliers and reduces the risks of financial losses due to incorrect ITC claims.
GST Verification Tools / Resources
To verify GSTIN, businessmen and individuals can use a variety of tools to check the accuracy. Here is a guide to all the tools and resources:
- Official GST Portal: This is the primary site for verifying GST. It allows users to verify GSTIN numbers and check filing status and registration details. As of 2023, the portal handles around 1.5 transactions every day.
Also Read:- GST Express Software – Key Features & Benefits For MSMEs
- Third-party Verification Tools: Tools such as Zoho GST, Cleartax, and Tally can also be used for this. They help automate GSTIN verification, perform bulk verifications, and integrate with accounting systems. This is an ideal site for businesses handling large volumes of transactions.
- Mobile Applications: Mobile applications such as GST Checker and GST Verify provide quick verifications through mobile phones. Their user-friendly interface makes the process simpler and gives instant results.
- Government Resources: Government resources like the CBEC GST App update you with the latest GST rules, news, and information. It also provides you with the necessary guidelines and contact details in case you need any help.
How to do GST Verification by PAN?
To verify GST details using a PAN (Permanent Account Number), you can follow these steps:
- Visit the GST Portal: Go to the official GST website (https://www.gst.gov.in).
- Navigate to the Search Function: Look for the “Search” option in the main menu.
- Select ‘GSTIN/UIN Search’: Click on the “Search” drop-down and select “GSTIN/UIN Search”.
- Enter PAN Details: Input the PAN of the taxpayer you wish to verify in the provided field.
- Captcha Verification: Complete the captcha to confirm you are not a robot.
- Submit the Form: Click on the “Search” button.
- View Results: The system will display the GST details associated with that PAN, including GSTIN, legal name, state, and registration status.
Takeaway
GST Verification is important for businessmen to navigate the complexities of the GST system. It helps them stay registered and prevent fraud from fake GSTINs, which could lead to serious penalties. It also ensures that all businesses abide by the rules of GST.
The increasing rate of GST registrations shows the importance of a GST number check. For people’s convenience, GST number verification online has made the whole process easier to access, less time-consuming, and simpler.
The adoption of practices such as regular checkups, maintaining detailed records, and automating the process have made it more efficient and transparent. One should stay updated and aware of the latest GST regulations and know about the advanced verification tools that help create a transparent tax ecosystem.
Apart from GST verification, some businesses also face financial problems in managing and securing funds. During these times, Indifi can become the savior. It provides financial solutions to meet the unique issues of the business. It provides loans, working capital, and support to help the business overcome the hurdle and fulfill its objectives.
FAQs
1. Why is GST verification necessary?
It ensures that all registered businesses are valid and follow GST regulations. It also ensures transparency in the verification process, which builds trust in businesses, creates a healthier business environment and reduces the risk of tax evasion.
2. What is a GSTIN?
GSTIN is a 15-digit unique number allotted to each taxpayer who has registered themselves under the GST regime.
3. How can Indifi help the business during financial challenges?
It provides financial solutions to meet the specific needs of the business. It provides loans, working capital, and support to help the business overcome hurdles and fulfill its objectives.
4. What is the fees for GST verification?
There are no fees to register for GST. However, if businesses don’t finish the registration, they may face a penalty of either 10% of the owed amount or ₹10,000, whichever is higher. If a business avoids paying taxes, they could be fined the full amount they owe.
5. What is GST Verification API?
The GST Verification API is a digital tool that allows businesses and developers to validate and retrieve information related to a Goods and Services Tax Identification Number (GSTIN) in real-time.
By integrating this API into business systems, users can instantly verify the authenticity of a GSTIN, ensuring that suppliers, vendors, or partners are legally registered under India’s GST framework.
The API provides access to key information such as the registered business name, GSTIN status (active or inactive), registration type, and location.
This helps businesses streamline compliance checks, claim input tax credits (ITC), and avoid dealing with fraudulent entities. It is particularly useful for large-scale businesses that require bulk GST verification.