GST & Taxation
14 Sep 2026
2 min read
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GST Registration for Startups: Mandatory Thresholds, Exemption & ITC Claims
Evian Global Editorial Team
Senior Regulatory & Tax Advisor
"Understand the aggregate turnover thresholds (₹40L for goods, ₹20L for services) and how claiming 100% Input Tax Credit safeguards your startup margins."
The Goods and Services Tax (GST) is an integrated consumption tax that eliminated cascading tax burdens across India. But when does your business legally need to register?
Turnover Thresholds
For suppliers of goods, registration is mandatory once annual aggregate turnover crosses ₹40 Lakhs (₹20 Lakhs for Special Category States). For service providers, the threshold is ₹20 Lakhs (₹10 Lakhs in Special Category States).
Why Voluntary GST Registration is Beneficial
- Legitimacy to sell on e-commerce platforms (Amazon, Flipkart)
- Claim 100% Input Tax Credit on laptops, server hosting, and office expenses
- Inter-state supply of goods without border tax frictions
