Calculate Aggregate Turnover under GST

Sakshi Shah

Aggregate Turnover

Composition Scheme

GST

GST Registration

Last updated on March 16th, 2023

Aggregate Turnover means the total value of sales of a GST registered business having the same PAN and calculated on an all India basis. Under GST, you can calculate the aggregate turnover for the following purpose:

Aggregate Turnover – Determine eligibility for GST Registration

If the Aggregate Turnover of the business exceeds the threshold limit as prescribed in the GST Act, the business must compulsorily register under GST. Following the revised threshold limit for GST Registration:

Sale of Goods

Sale of Services

State	Up to 31/03/2019	01/02/2019 to 31/03/2019	From 01/04/2019
Manipur, Mizoram, Nagaland, Tripura	10 lacs	10 lacs	10 lacs
Uttarakhand, Assam, Meghalaya, Sikkim, Arunachal Pradesh	10 lacs	20 lacs	20 lacs
Himachal Pradesh	10 lacs	20 lacs	40 lacs
Jammu and Kashmir	20 lacs	20 lacs	40 lacs
Puducherry, Telangana	20 lacs	20 lacs	20 lacs
Other States	20 lacs	20 lacs	40 lacs

State	Up to 31/03/2019	01/02/2019 to 31/03/2019	From 01/04/2019
Manipur, Mizoram, Nagaland, Tripura	10 lacs	10 lacs	10 lacs
Uttarakhand, Assam, Meghalaya, Sikkim, Arunachal Pradesh, Himachal Pradesh	10 lacs	20 lacs	20 lacs
Other States	20 lacs	20 lacs	20 lacs

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Aggregate Turnover – Determine eligibility to avail benefit of Composition Scheme

If the aggregate turnover exceeds Rs.40 lakhs for goods (Rs.20 lakhs for special category states) but is up to Rs. 1.5 Cr (Rs.75 lacs for special category states), the business can register under the composition scheme to reduce compliances and pay tax at a specified rate of turnover. For services, if the aggregate turnover exceeds Rs.20 lakhs for services (Rs.10 lakhs for special category states) but is up to Rs. 50 lacs, the business can register under the composition scheme on GST Portal. In case of a composition scheme, the outward tax payable is calculated on the basis of turnover in the state.

How to Calculate Aggregate Turnover under GST?

Aggregate Turnover of a business is the total value of:

Taxable supplies
Exempt supplies
Export of goods or services
Inter-state supplies

To calculate aggregate turnover, the following points must be considered:

It excludes the value of inward supplies on which tax is payable by a person on a reverse charge basis.
It excludes the taxes – CGST, SGST, UTGST, IGST and Compensation Cess
Also, it excludes the value of goods or services not covered under the GST Act
It is the total value of turnover of all the business on the same PAN
It is the total value of turnover of the business on all India basis

Example 1

Mr.X living in Mumbai is a trader of goods. On the same PAN, he has a branch in Delhi. The details of his sales (excluding GST) during the FY 19-20 are:

Taxable goods from Mumbai = Rs.15,00,000
Exempt goods from Delhi = Rs.10,00,000
Exports from Mumbai = Rs.5,00,000
Non-GST Goods from Delhi = Rs.1,00,000
Total GST on above sales is Rs.1,50,000

Determine whether he is liable to register under GST.

Solution

Calculation of aggregate turnover:

Turnover of both Mumbai head office and Delhi branch should be combined since the business is on the same PAN

Taxable goods	Rs. 15,00,000
Exempt goods	Rs. 10,00,000
Export of goods	Rs. 5,00,000
Total Turnover	Rs. 30,00,000

Since the aggregate turnover is less than Rs.40 lacs for business situated in Maharashtra, registration under GST is not required.

Example 2:

If in Example 1, the head office was situated in Assam. Determine whether he is liable to register under GST.

Solution

Since the business is situated in a special category state i.e. Assam and the aggregate turnover exceeds Rs.20 lacs, he is liable to register under GST.

FAQs

What is the purpose of calculating aggregate turnover in GST?

Under GST, the aggregate turnover is required to be calculated for the following purpose:
1. Determine eligibility for GST Registration
2. Determine eligibility to avail benefit of Composition Scheme

What does aggregate turnover of a business in GST consists of?

Aggregate Turnover of a business is the total value of:
1. Taxable Sales
2. Exempt Sales
3. Export of goods or services
4. Inter-State Sales

The aggregate turnover of business in Gujarat is Rs. 30 lacs. The business makes an inter-state supply of goods to Maharashtra. Is GST Registration mandatory?

The aggregate turnover does not cross the threshold limit of Rs. 40 lacs for GST Registration in Gujarat. However, a business that makes the inter-state supply of goods must take compulsory registration under GST. Therefore, the taxpayer must apply for GST Registration since he/she is engaged in inter-state sales.

Got Questions? Ask Away!

Yesha says:

27/01/2021
Hey @HarshitShah

HarshitShah:

What are the types of registration under GST?

GST Registration is the application for GST Number or GSTIN(GST Identification Number). Under the GST(Goods and Service Tax) Regime, it is mandatory for to have GSTIN to collect, pay GST and claim the Input Tax credit.

For GST registration, the dealer has the following options:
- Compulsory Registration: Under certain scenarios, the businesses have to get registration under GST
When is Compulsory GST Registration needed?
- Voluntary Registration: The business does not have the liability to register under GST, however, can apply for GST Registration. This usually is when the businesses are willing to take advantage of the Input Tax Credit facility
- Registration under Composition Scheme: Composition scheme is a voluntary and optional scheme for registering under GST. Under the composition scheme, the compliance is simpler and lesser returns are to be filed. The tax is to be filed at a fixed rate. If the business turnover is in between INR 40 Lakhs and 1.5 Crores, they can opt for GST Registration under Composition Scheme
- No Registration: In the case, when your business does not fall under the conditions for compulsory registration you do not require GST Registration
Read more on GST Registration Types.

Hope this helps!
SonalYadav says:

27/01/2021

What documents do I need for a new GST number?
Yesha says:

28/01/2021
Hey @SonalYadav

To get a GST Number or GSTIN in India, you will be required to Register under GST(Goods and Service Tax)

Usually, you receive the GST Number within 4–7 days of GST Registration application is submitted.

Follow these steps to register under GST on GST Portal:[1]

PART A of the GST Registration Application
- Go to GST portal
- Navigate to Services > Registration > New Registration
- Click on ‘New Registration’ and enter the details
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- You will be displayed with a Provisional ID/GSTIN / UIN for the same PAN. Click on Proceed
- An OTP (One Time Password) is generated and sent on registered the Mobile number and Email ID. The OTP is valid for 10 mins. You can generate the OTP again in case the time exceeds 10 mins, or the OTP you entered is invalid.
  - You are required to enter both the OTPs received on the mobile number and email id.
- A TRN (Temporary Reference Number) will be displayed. The same TRN will be sent on your email id and mobile number.
  - You now have a 15 days window to complete and submit your GST Application using the TRN.
Now let’s start with the PART B of the GST Application
- Navigate to Services > Registration > New Registration
- Log in using the TRN
  - Interpret and Enter the CAPTCHA code
  - Verify using OTP. The same OTP is sent on email id and mobile number.
- Go to ‘My saved application’ page. Click on ‘edit icon’ under actions to continue filling in the application.
The PART B of GST Application has various tabs. You will be required to enter the relevant details and upload relevant documents.
- The First Tab is ‘Business Details’. If you want to apply for composition scheme under GST- select ‘Yes’ in the option for composition field. Click on save and continue after you fill in the details and upload the relevant documents.
Read More: Should I register under Composition Scheme?

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- The second tab is ‘Promoters / Partners’. Here enter personal information, identity & address details, also upload relevant proofs for the same.
- For ‘Authorized Signatory’ will be auto-filled if the authorized signatory in the earlier tab was selected.
- Next, add ‘Authorized Representative’ if you have a different authorized person for GST. In most cases, details in this tab are not required.
- The fifth tab is ‘Principal Place of Business’. Principal place of business is where the headquarters are located and books of accounts are maintained. Apart from the details, you will be required to upload the legal ownership document.
  - Add additional place of business (if any).
- The sixth tab is for ‘Goods and Service’. Add the details of goods and services supplied by the business. You can enter up to a maximum of 5 goods and 5 services.
  - Enter HSN / SAC and description.
- Next enter ‘Bank Account Details’. Sometimes bank account details are not asked during the GST Registration.
  - In such cases, bank account details should be added after GST registration is successful. The following message will be displayed when you log in into your GST account.
  - Now, you can add bank account details after ‘Amendment of Registration Non-Core fields’.
- The Authorized Signatory can add bank details and upload the relevant proof. They will be required to verify the proof by e-verification or DSC.
- In the eighth tab enter ‘State Specific Information’
- Finally, the last tab is for ‘Verification’. It can be done by
  - Submitting with DSC: DSC is for Digital Signature. You will be required to register the DSC on GST Portal. Sign the application using DSC token.
  - Submitting with EVC or e-Signature: For this option, you will receive an OTP, enter this OTP and submit the application.
- After the successful submission of GST Registration application, you will receive an ARN (Acknowledgment Reference Number). Use this ARN to track your GST Application.
Use Track GST Application by ARN tool

Usually, GST Number or GSTIN is allocated within 4–7 days from submitting the GST registration application.

Get GST Registration using Quicko.

Hope this helps!

Footnotes

[1] GST Registration Process online on GST Portal: Guide | Help Center | Quicko
Ridhima_Sharma says:

19/04/2021

Shweta_Saini:

I have not filed any GST returns for the past 2 financial years and my registration is lying under Composition Scheme from some time. How do I opt out?

Thanks!

Hey @Shweta_Saini

You can opt out of Composition Scheme from your account on GST Portal. Once the taxpayer type is updated to Regular in your profile, you can start filing GST Returns under the regular scheme. If you are facing any issues while making the withdrawal application, you can create a grievance on the GST Portal.

Do let us know if you have any further queries.
Joe_Fernandes says:

19/04/2021

I want to be able to claim input tax credit for GST paid. Should I opt for the GST composition scheme or regular scheme?
Ridhima_Sharma says:

19/04/2021

Joe_Fernandes:

I want to be able to claim input tax credit for GST paid. Should I opt for the GST composition scheme or regular scheme?

Hey @Joe_Fernandes

If you wish you claim Input tax credit, you should opt for GST Regular Scheme.

Read more about the difference here.

Learn by Quicko – 16 Mar 23

Composition Scheme v/s Regular Scheme under GST - Learn by Quicko

Factors to decide whether to opt for Composition Scheme or Regular Scheme under GST - sale type, input tax credit, GST rate, e-commerce sales

Estimated reading time: 3 minutes
Sundaraiah_Kollipara says:

15/05/2021

1.composite scheme dealer inward supplies detailes(purchases invoices ) uploaded manadatory show in gstr4 annual return.
2.composite dealer late fees and interest calculate procedure.
Kaushal_Soni says:

20/05/2021
Hi @Sundaraiah_Kollipara,

As per Rule 62(3)(a) of CSGT Rules, 2017 (Part A_Rules) A composition taxpayer has to furnish
- Invoice-wise details of inward supplies relating to both intra-state & interstate from registered and unregistered persons separately.
As per the instructions given below FORM GSTR-4 of CGST Rules, 2017 (Part B_Forms), the following information relating to inward supplies (rate-wise) needs to be provided
- Table 4A – Information will auto-populate relating to inward supplies from a registered supplier other than supplies where the reverse charge is applicable from the returns furnished by the suppliers in GSTR-1 and GSTR-5.
- Table 4B – Information will auto-populate relating to supplies from a registered supplier where the reverse charge is attracted from the returns furnished by the suppliers in GSTR-1.
- Table 4C – Information will auto-populate relating to inward supplies from an unregistered supplier.
- Table 4D – Information relating to the import of services.
But as per clarification by GST department, when the auto-population feature for inward supplies which was available on the GST portal was not working. Reporting in table 4A of GSTR-4 is not mandatory.

Further, late fee of Rs. 200 per day is levied if the GSTR-4 is not filed within the due date. The maximum late fee that can be charged cannot exceed Rs. 5,000. Interest is also calculated at rate of 18% p.a on tax liability.

You can read our below articles for more insights:
Learn by Quicko – 31 Mar 21

When should I file GSTR-4 under GST? - Learn by Quicko

Every dealer registered under GST Composition Scheme should file GSTR-4. It contains details of purchase, sale and payment of tax.

Estimated reading time: 2 minutes

Learn by Quicko – 31 Mar 21

CMP-08 - Meaning, Due Date, Late Fee, Steps to File - Learn by Quicko

Read about CMP-08 - Meaning, Due Date, Late Fee and Steps to File on GST Portal. GSTR-4 for Composite Dealer was replaced by GSTR-4 from FY 2019-20.

Estimated reading time: 6 minutes
Sundaraiah_Kollipara says:

02/06/2021

A retail pharmacy store dealer composite scheme registered in gst act recently.dealer purchase of medicines different tax rates(1 ,12,18 percent)and sale to counter sales through on Google pay and phone pay online mode and cash mode sales two types amounts received.my doubt: dealer how to accounting entry passed procedure in books
Nireka says:

04/06/2021

@AkashJhaveri @Kaushal_Soni @Divya_Singhvi @Laxmi_Navlani can you?

Continue the conversation on TaxQ&A

11 more replies