Notwithstanding the turnover thresholds in Section 22, the following persons must mandatorily register under GST, even if their aggregate turnover is below the threshold:
## The 9 Compulsory Triggers
#
Person liable to register compulsorily
(i)
Person making inter-State taxable supply of GOODS. Exception: Threshold of ₹10/20 lacs is available for inter-state supply of notified handicrafts, provided PAN obtained & E-way bill generated.
(ii)
Casual Taxable Person (CTP) making taxable supply. Same handicraft exception as above.
(iii)
Person liable to pay tax under RCM on inward supplies received.
(iv)
Non-Resident Taxable Person (NRTP) making taxable supply.
(v)
Person required to deduct TDS u/s 51.
(vi)
Person making taxable supply as an agent for another taxable person.
(vii)
ECO required to collect TCS u/s 52.
(viii)
ECO required to pay tax on notified services u/s 9(5).
(ix)
Person supplying goods/services through ECO (where ECO is liable to collect TCS), except cases covered by Section 23 (i.e., turnover-based exemption for ECO suppliers in certain conditions).
## Important nuances
### 1. Inter-state supply of SERVICES is NOT in Section 24
Only inter-state supply of goods triggers compulsory registration. For inter-state services, the turnover-based ₹10/20 lacs threshold under Section 22 (read with Section 23(iv)) is still available.
### 2. Handicrafts carve-out
For both (i) and (ii), if it's notified handicrafts AND the person has PAN + E-way bill, the regular turnover threshold (₹10/20 lacs) is restored.
### 3. RCM nuance
It is the recipient liable to pay under RCM who must register, even if his outward supply is below threshold.
### 4. ECO ecosystem
ECO itself (TCS or 9(5)) → compulsory.
Supplier through ECO → compulsory by default, but specific reliefs under Section 23 allow turnover-based registration for service suppliers and (conditionally) goods suppliers.
Worked example
### Example 1
Example 1 — Inter-state goods seller below ₹40 lacs
Mr. A, Delhi, sells electronics worth ₹15 lacs/year, including ₹3 lacs to customers in Haryana (inter-state). His turnover is below ₹40 lacs but he makes inter-state taxable supply of goods → Compulsory registration under Section 24(i).
### Example 2
Example 2 — Handicraft seller
Smt. Devi makes hand-woven shawls (notified handicraft) in Himachal Pradesh and sells to customers in Punjab. Turnover ₹8 lacs. She has obtained PAN and generates E-way bill → Section 24 carve-out → She is NOT compulsorily liable; can use ₹20 lac threshold. No registration needed.
### Example 3
Example 3 — Service provider inter-state
Mr. B (Chennai) provides consultancy worth ₹18 lacs, including ₹4 lacs to clients in Bangalore. Inter-state supply of services does NOT trigger Section 24. He uses Section 22 threshold (₹20 lacs) → No registration needed.
### Example 4
Example 4 — RCM recipient
A small advocate firm (turnover ₹5 lacs) hires legal services from a senior advocate. The firm must pay GST under RCM. Even though their outward turnover is well below threshold, they must register under Section 24(iii).
⚠️ Common exam mistakes
Confusing inter-state supply of GOODS with inter-state supply of SERVICES — only goods trigger Sec 24(i).
Forgetting the handicrafts exception that restores the turnover threshold (with PAN + E-way bill).
Missing that a person liable under RCM must register, even if his own outward turnover is below threshold.
Believing only the supplier liable for RCM must register — actually, it's the RECIPIENT paying under RCM.
Ignoring TDS deductor's registration obligation under Sec 51.
Skipping registration for agents who supply on behalf of principals.
Bare-Act text Section 24 · CGST Act, 2017 · click to expand
Section 24 of the CGST Act, 2017 — Compulsory registration in certain cases. Notwithstanding anything contained in sub-section (1) of section 22, the following categories of persons shall be required to be registered under this Act: (i) persons making any inter-State taxable supply; (ii) casual taxable persons making taxable supply; (iii) persons who are required to pay tax under reverse charge; (iv) persons who are required to pay tax under sub-section (5) of section 9; (v) non-resident taxable persons making taxable supply; (vi) persons who are required to deduct tax under section 51; (vii) persons who make taxable supply of goods or services or both on behalf of other taxable persons whether as an agent or otherwise; (viii) Input Service Distributor; (ix) persons who supply goods or services or both, other than supplies specified under sub-section (5) of section 9, through such electronic commerce operator who is required to collect tax at source under section 52; (x) every electronic commerce operator who is required to collect tax at source under section 52; (xi) every person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered person; and (xii) such other person or class of persons as may be notified by the Government on the recommendations of the Council.