GSTIN
What is GSTIN?
A Goods and Services Tax Identification Number (GSTIN) is a unique 15-character alphanumeric number issued to every business or person registered on the Goods and Services Tax (GST) portal. It serves as the taxpayer’s official identification number for GST compliance and is used on tax invoices, GST returns, e-invoicing, e-way bills and other GST-related transactions. GSTIN is state-specific, which means a business operating in multiple states generally requires a separate GSTIN for each state where it is registered.
Why is GSTIN important?
GSTIN enables the government to track every taxable transaction and compliance linked to a registered business. For businesses, it is the basis for claiming input tax credit (ITC). A buyer can claim ITC on a purchase only if the supplier’s GSTIN is valid and correctly mentioned on the invoice. Without a valid GSTIN, a business cannot legally collect GST from its customers or claim ITC on its purchases.
How does GSTIN work?
1. A business registers under GST
Once a business completes GST registration and the application is approved, the GST department issues a unique 15-character GSTIN linked to the business’s PAN and state of registration.
2. The GSTIN is used in all GST transactions
The GSTIN must be quoted on tax invoices, GST returns, e-way bills and other prescribed GST documents. It enables the tax authorities to identify the supplier and recipient involved in a transaction.
3. It helps match transactions for GST compliance
The GST portal uses GSTIN to match purchase and sales details reported by businesses. This matching supports accurate tax reporting and allows eligible businesses to claim ITC.
Structure of a GSTIN
A GSTIN contains 15 characters:
- First 2 digits: State code
- Next 10 characters: PAN of the taxpayer
- 13th character: An alphanumeric digit representing the number of registrations a business holds in the same state under the same PAN
- 14th character: Default alphabet ‘Z’
- 15th character: Check code used for validation.
A business operating across multiple states receives a separate GSTIN for each state, even if it operates under the same PAN.
Example
A Delhi-based trading company with PAN AABCT1234E registers under GST in Delhi. Its GSTIN would be structured as 07AABCT1234E1Z5, where 07 is the state code for Delhi, AABCT1234E is the company’s PAN, and the remaining characters follow the standard format. If the same company opens a branch in Karnataka, it receives a separate GSTIN beginning with 29, the state code for Karnataka.
Key Points to Remember
- GSTIN is a unique 15-character identification number allotted to every GST-registered taxpayer.
- The first two digits represent the state code, and characters 3 to 12 represent the taxpayer’s PAN
- It is mandatory on GST invoices, returns and other prescribed GST documents.
- Businesses operating in multiple states generally require separate GSTINs for each state.
- GSTIN helps businesses claim ITC and verify supplier registrations.
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Try TallyPrime free →FAQs
Yes. Anyone can verify the validity and registration status of a GSTIN through the GST portal using the GSTIN search facility.
GSTIN is a taxpayer’s 15-digit registration number, while GSTN or Goods and Services Tax Network, is the organisation that operates the GST portal.
Yes. The GST portal allows taxpayers to search for all GSTINs linked to a specific PAN by entering the 10-digit PAN and selecting the relevant state.
Yes. Eligible businesses can voluntarily register to obtain a GSTIN and claim ITC and conduct inter-state trade.
You can find it on your GST registration certificate, GST returns, GST invoices or the GST portal. It can also be retrieved from the GST portal using the business PAN.
