APOB aka Additional Place of business is the place of business where taxpayer accomplish business related activities within the State, in addition to the PPOB (Principal Place of Business). A supplier needs to register in each state from which he is supplying goods or services. In other terms, if a supplier has their business branches in different states – he/she would be required to take separate registration for each of these states. But within a state, a supplier can declare one place as the principal place of business (PPOB) & the other branches as additional place of business (APOB).
In any tax system, registration is the most important and fundamental requirement for identification of taxpayers ensuring tax compliance in the economy. APOB services provides registration of any business entity under the GST Law implies obtaining a unique number from the concerned tax authorities for the purpose of collecting tax on behalf of the government and to get Input Tax Credit for the taxes on his inward supplies. Without registration, an individual cannot collect tax from his customers and cannot claim any input Tax Credit of tax paid by him.
A business entity who have their branches in multiple States will have to take separate State wise registration for each branch in different States. But within a State, an entity with various branches would have single registration wherein it can declare one place as a principal place of business (PPOB) and other branches as additional place of business (APOB). If business entity having different business verticals (as per the definition in the section- 2 (18) of the CGST Act, 2017) in a state may obtain separate registration for each of its business verticals.
The documents provided to successfully complete APOB are:
1) Rent Agreement- 12 months
2) No Objection Certificate (NOC)
3) Electricity Bill
Through these documents, any individual can smoothly register with GST registration in that particular state.
GST Registration for Additional Branches & Business Services
According to the CGST Act, suppliers of taxable goods & services need to be registered under GST in the State / Union territory, from where the taxable supply of goods or services is made. Further, Additional Place of business services provisions have been provided in the GST Act for obtaining GST registration for branches.
GST registration should be earned by a taxable person under GST in each of the State or Union Territory, from where the taxable supply of goods or services is made.
The first two numbers in GSTIN are related to the state of registration. So, if a business is operating in two different states, then the PAN of the entity would remain the same but first two numbers of the GSTIN would change.
In case of more than one GST registration within a state, the entity code would also change.
GST Registration for Branches Within (APOB)
Having multiple business verticals? GST registration can also be obtained for those who have branches within a state for businesses having multiple business verticals.
For GST registration for branches within a state, these conditions must be satisfied:
Having more than one business vertical: –
The business should not register to pay tax under the GST Composition Scheme.
All separately registered business verticals need to pay tax on supply of goods or services to another registered business vertical of the same business and issue a tax invoice for such supplies.