GST Rules, Limits & Compliance FAQs (2025-26)
Plain-English explanations of GST law, thresholds, ITC rules and how to avoid tax notices.
Q1.When is GST registration mandatory?
For goods, registration becomes mandatory once annual turnover crosses ₹40 lakh (₹20 lakh in special-category states); for services the threshold is ₹20 lakh (₹10 lakh in those states). Inter-state supply has no threshold — registration is required from the first rupee.
Q2.What is the Composition Scheme and who can opt for it?
Small manufacturers and traders with turnover up to ₹1.5 crore may opt in. Instead of monthly workings they pay a flat rate quarterly — 1% for traders, 5% for restaurants. A composition dealer cannot collect GST from customers or claim input tax credit.
Q3.Who needs e-invoicing?
If aggregate turnover in any previous financial year exceeded ₹5 crore, every B2B invoice must carry an IRN and a signed QR code generated from the Invoice Registration Portal.
Q4.What are the conditions for claiming input tax credit?
ITC can be claimed only when: (1) you hold a valid tax invoice from the supplier, (2) the goods have been received, (3) the supplier has filed GSTR-1 and the invoice appears in your GSTR-2B, and (4) the supplier is paid within 180 days of the invoice date.
Q5.When is an e-way bill required?
An e-way bill is mandatory when the consignment value carried in one vehicle exceeds ₹50,000. Some states also require it for intra-state movement above ₹1 lakh for specified goods (Delhi and Maharashtra, for example).
Q6.Can I file GSTR-1 and GSTR-3B from LensXT?
Yes. Every month LensXT compiles your invoices and credit notes into a portal-compliant GSTR-1 JSON file. Upload it to the GST portal and submit.
Koi Aur Sawal Ya Shanka Hai?
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