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Microlesson · 5-min read

Casual Taxable Person & Non-Resident Taxable Person [Section 27]

## Special Provisions for CTP & NRTP [Section 27]

### Definitions

Casual Taxable Person (CTP)Non-Resident Taxable Person (NRTP)
Person who occasionally undertakes transactions in course or furtherance of business in a State/UT where he has no fixed place of businessPerson who occasionally undertakes transactions but has no fixed place of business or residence in India

### Comparison of Provisions

FeatureCTPNRTP
RegistrationCompulsory u/s 24Compulsory u/s 24
Application FormGST REG-01GST REG-09
Identification DocumentPAN is compulsoryPassport is required
Timing of Registration5 days before start of business5 days before start of business
ITCAvailable on inputs, input services & capital goodsAvailable only on imported goods
Composition SchemeNot availableNot available
Advance TaxMust submit advance tax based on estimated tax liability net of ITC at time of applicationMust submit advance tax at time of application

### Validity of CTP & NRTP Registration

The registration is valid for the lower of:

  • The period applied for in the application, OR
  • 90 days from effective date of registration

Extension: Can be extended by another 90 days (one-time extension).

### Exception — Long-Running Exhibitions

In case of a long-running exhibition (more than 180 days), the person cannot register as CTP. Such person must take normal taxpayer registration since CTP validity is limited to 180 days maximum (90 + 90).

Worked example

### Example 1

Example 1: Mr. X, based in Delhi, sets up a 10-day stall at a trade fair in Mumbai. Should he register as CTP?

Answer: Yes. He has no fixed place of business in Maharashtra and is making a one-off taxable supply there. He must register as CTP at least 5 days before the event.

### Example 2

Example 2: A US-based company, with no place of business in India, occasionally sells imported goods at trade exhibitions in India. Registration type?

Answer: NRTP (in Form GST REG-09, with passport, advance tax payable). ITC available only on imported goods.

### Example 3

Example 3: Mr. Y plans to exhibit goods in Goa for 200 days. Can he register as CTP?

Answer: No. Since duration exceeds 180 days (max CTP validity), he must take normal taxpayer registration.

### Example 4

Example 4: CTP estimates outward tax liability of ₹1,00,000 and ITC of ₹30,000 at time of registration. Advance tax payable?

Answer: ₹1,00,000 − ₹30,000 = ₹70,000 (advance tax is net of ITC for CTP).

⚠️ Common exam mistakes

  • Treating advance tax for CTP as gross of ITC — it is net of ITC.
  • Allowing NRTP to claim ITC on inputs/services — NRTP gets ITC only on imported goods.
  • Confusing forms — CTP uses REG-01, NRTP uses REG-09.
  • Forgetting the 180-day cap on CTP registration (90 + 90 extension); long-running exhibitions require normal registration.
  • Allowing composition scheme to CTP/NRTP — neither is eligible.
  • Confusing 'no fixed place of business in India' (NRTP) with 'no fixed place in that State/UT' (CTP).
Reference: Section 27 — CGST Act, 2017
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