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3 most common GST Migration/ Registration errors and how to solve them

Last Updated on 25-Jun-2017

Starting today, GST registrations have started all over again. In case you haven't migrated to GST yet, now is a good time to complete this activity. Unfortunately, most users have faced challenges during the GST migration process but fear not, they are all easily solvable.

Here are the three most common errors that people are facing during their migration process and their solutions

Error No 1 - “Your RC is cancelled”

This is the most common problem faced by the service tax assesses who were registered and were allotted GST provision login ID and password before 30th April 2017. But due to some reason they could not migrate to GST.

The reason for this type of error is that provisional id and password were not used before 30th April 2017 and hence were deactivated by the department. As a result one is not able to migrate to GST.

Solution

Don’t worry you are not required to go the Range Officer to get a new ID, there is a simpler solution to this problem available. The most preferred solution to the above error (as suggested by the department) is to write a mail with the subject “Provisional ID required for GST Migration” to < cbecmitra.helpdesk@icegate.gov.in >

The content of the mail is information in the tabular format as shown below:-

Registration No PAN No Legal Name on PAN Trade Name of Assessee State Status (Awaited/Cancelled)

Most importantly, This email to the CBEC has to be sent from the registered mail of the assesse.


Error No 2 - Digital Signature Error/ Digital Signature does not work on the GST portal/ “Fail to establish connection to the server”.

The issues with respect to the digital signature not working or something like “Error Occurred” on the GST website when one tries to sign the GST application, are numerous. There are so many people with the same issue due to this reason. Unfortunately, the solution to this is not as straight forward as it was in the previous GST query. One has to ensure the following things are in order

  1. Browser - Preferably use internet explorer. The suggested version of the IE is 10or more, but believe me IE 11 works perfectly.
  2. Download msigner from the portal - Ensure that you download the latest msigner from the GSt portal link itself and not from any third party website.
  3. * Digital Signature of Class II works just perfectly* - One can also use Class III DSC on the portal.
  4. Run as Administrator - Make sure that you run the msigner “Run as administrator”. This option will be available when you right click on the msigner icon.
  5. Run Internet Explorer as Administrator - Just like you run the msigner as administrator it is equally important to run the Internet Explorer as Administrator.

Error No 3 - Which HSN Code should I choose for my products

The full form of HSN code means Harmonized System Nomenclature. HSN code number is widely used in many countries to classify goods for taxation purpose, claiming benefits etc. Under the India GST, we also require the goods to be mentioned in order of their HSN code, and not like in the previous Sales tax regime. This aspect and classification is also very important and landmark in itself. The reason being if the X goods are sold by one company then the buying company cannot claim and say that it purchased the good Y. Accordingly, can impact on the input availment. Hence it is important to mention the correct HSN code of the goods in which you deal.

Also not only the rate of goods are also determined according to their HSN code, but there so many benefits in terms of drawbacks, DEPB’s credit etc which are linked to the HSN code of the goods. Basically it is the code for the identity of the goods.

Solution

Even though the exact solution of this concern would be based on case to case, we try to provide you the basic caution that one must take before migrate / register to GST.

  • It is important to first understand the exact list of all the major goods sold or proposed to be sold by one person.
  • Then the next step is to search for the HSB Code for the same, here comes the headache part of this issue as there could be more than one HSN code where that good falls.
  • To be sure before you migrate/register to GST, have a word with the supplier as well in this regard.
  • Must do, please check the GST tax rate before you register for a particular goods. Unknowingly you might register for a good with higher tax rate.

So here are the three most common errors that we have heard from our clients. Hope these solutions work for you as well.

If you are facing any other challenges, please feel free to drop in a comment below and we'll try and suggest a solution.



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About the author

Ankit Gupta

Ankit Gupta, CA (Chartered Accountant) has spent considerable time in the industry providing solutions to the business fraternity. His early career saw him working in top level CA firms and US multinationals where he polished his understanding of finance and law. An alumni of Shaheed Bhagat Singh College (Delhi University), he has since spent time working with numerous services companies, traders, retailers and manufacturers. Being a keen follower of technology, he spends considerable time exploring technology solutions for the Indian businesses. Apart from work, he loves spending time with his wife & son.