Street Vendors In India, To register for taxes as a street vendor in India, the following steps should be followed:
Obtain the necessary licenses:
Street vendors must acquire licenses from the relevant local authorities, such as municipal corporations or local bodies, to conduct their business operations. They might also need to secure other permits, including health permits, fire safety certificates, and police clearance certificates.
Obtaining a PAN card is necessary for street vendors if their annual turnover exceeds Rs 5 lakhs, obtaining a Permanent Account Number (PAN) from the Income Tax Department is mandatory.
Register for GST:
Street vendors must register for the Goods and Services Tax (GST) and obtain a GST registration number if their annual turnover exceeds Rs. 20 lakhs (or Rs. 10 lakhs in specific states). GST, which stands for Goods and Services Tax, is a tax impose on the supply of goods and services in India. It is a value-added tax that is levied at each stage of the supply chain, from the manufacturer to the end consumer. GST is designed to replace multiple indirect taxes, such as excise duty, service tax, and sales tax, with a single tax structure, thereby streamlining the taxation system and promoting ease of doing business.
Maintain accurate records:
It is crucial for street vendors to maintain proper records of their business transactions, such as sales invoices, purchase bills, and expenses. This ensures the filing of accurate tax returns and facilitates the claiming of tax credits.
File tax returns:
Street vendors need to file their tax returns regularly, whether on a monthly, quarterly, or annual basis, depending on their turnover and tax registration. They can conveniently file their returns online via the GST portal or the Income Tax Department portal.
Fulfill tax obligations, Street vendors must promptly pay their taxes, such as GST or income tax, to avoid penalties and interest charges.
It is recommend for Street Vendors In India to seek assistance from tax professionals or accountants to ensure compliance with the applicable tax laws and regulations.
To Visit https://www.gst.gov.in/
