GST Portal Update: Registration Compliance for Metal Scrap Transactions will be live soon!

The GST Portal is gearing up for a significant update that will soon affect businesses involved in metal scrap transactions. With a focus on improving compliance and transparency, the government is introducing new registration requirements for traders and dealers in the metal scrap sector. This update aims to curb tax evasion and ensure that all parties involved in these transactions are properly registered under GST. 

Let’s understand the changes!

GSTN Advisory dated 13th October 2024

Advisory for Taxpayers: New GST Provision for Metal Scrap Transactions

Oct 13th, 2024

The government issued Notification 25/2024-Central Tax, on October 9, 2024, under GST Section 51 of the CGST Act, 2017 mandating compliance by businesses dealing with Metal Scrap. The GST portal will soon be updated to enable compliance of registration through FORM GST REG-07 by these categories of registered persons.

Thanking You,
Team GSTN

Key Highlights of the advisory

• Registration for metal scrap dealers: By way of Notification No. 24/2024-Central Tax dated 09^th October 2024 the Central Government has mandated that metal scrap dealers must obtain GST registration w.e.f. 10^th October, 2024. To implement the same, the GSTN has announced the enablement of registration forms.
• FORM GST REG-07: The updated GST portal will soon facilitate registration compliance for metal scrap dealers through FORM GST REG-07.
• Action Required: Affected businesses will need to complete the registration process as per the new guidelines to stay compliant with the updated GST regulations.

Conclusion

The recent update under Notification 24/2024-Central Tax marks a significant step towards enhancing transparency and compliance in the metal scrap industry. By mandating businesses to complete their GST registration through FORM GST REG-07, the government aims to strengthen the sector's tax framework and reduce the risk of tax evasion. As the GST Portal prepares to roll out these changes, all metal scrap dealers and traders must stay informed and take the necessary steps to ensure they meet the new compliance requirements. Timely registration will not only keep your business in good standing but also contribute to the overall integrity of the industry. Stay vigilant and ensure your business is ready for these important updates.

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