GST STATE CODE

What is gst state code ?

The Goods and Services Tax Identification Number (GSTIN) is a 15-digit alphanumeric unique identification number provided to a taxpayer whoever registered under the GST. The first two digits of a GSTIN represents the gst state code..

As per the GSTIN format, the first two digits represent the gst state code in which the business entity is registered under GST law. The state indicates the state in which a business entity is located, carries its business and thus is registered from that state under GST.

Each state in India is allotted a state code so as to make it convenient to identify the business entity. Accordingly, the gst state code, along with the alphabetical codes, for various states are as follows:

The gst state code list is used by a taxpayer while registering for GST and entering invoice details in GST Returns.

use of gst state code

In GST state code is used in:.

GST Identification Number (GSTIN)

in identifying “Place of Supply”

1. GSTIN starts with gst state code; first 2 digits are state code for example in GSTIN 08AAEPM0111C1Z8 starting 2 digit “08” is state code of Rajasthan.

2. “Place of Supply” is required to find whether IGST will be charged or CGST & SGST will be charged. If Supplier State Code & “Place of Supply” gst state code is different than IGST will be charged & if Supplier state code & Place of Supply state code is same than CGST & SGST will be charged.

Gst state code for taxpayer

“INDIA” is world’s largest federal nature democracy consist colorful States and Union Territories. Here Central and State / UT both needs revenue for their owned constitutional objects. In step of reforms in State level taxation system for levy taxes on sale or purchase of goods, the States and Union Territories has already implemented taxation system namely “Value Added Tax” and now preparing for “Goods and Service Tax” (GST). The Tax Payer's Identification Number (TIN) is new unique registration number that is used for identification of the dealers registered under VAT. It consists of 11 digit numerals and will be unique throughout the country. First two digit of TIN No. (out of 11 digit) is represented the gst state code. By this, on the basis of first two digit of TIN No. one can easily identify that TIN No is from which State. The given below is the list of State along with their State code and other relevant information. This arrangement of States code is designed by the Census of India and the same is adopted by the States/UT's. This may also help us in filing CST e‐ Returns. .

How to identify the gst state code

Every state has been assigned a code for it to become easier and detectable to know where the taxpayer/business entity is from. For example, if your GST Number is 22AAAAA0000B1Z5 the number 22 is the state code and represents the state of Chattisgarh. One can easily recognize the state or location of the business of the taxpayer through the GST number.

If you are a foreign entity conducting business in India, then registration on the GST portal is mandatory; however the tax identification of the country your business is located in needs to be provided which will then be used as the official number on all your invoices gst state code.