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How has the GST registration process changed for new startups in 2025

Author: Online Chartered
by Online Chartered
Posted: Apr 21, 2025

GST (Goods and Services Tax) registration is mandatory for businesses that cross a certain turnover threshold or engage in interstate commerce. For startups, especially those looking to scale or build trust, registering for GST isn't just a legal requirement—it opens the door to broader market access, input tax credit benefits, and smoother B2B transactions.

If you're a new entrepreneur exploring GST registration in Surat, or anywhere in India, understanding the latest updates in the GST registration procedure is crucial.

Key Updates in 2025:

In 2025, the Indian government has introduced several reforms to make GST registration more startup-friendly:

  • AI-based Pre-verification: The system now uses AI to auto-verify PAN, Aadhaar, and address proofs—reducing manual intervention and speeding up approval.

  • GST Prime Portal Launch: A revamped portal, GST Prime, is more intuitive, mobile-friendly, and tailored for first-time registrants, including startups.

  • Auto-populated fields from MCA data: If you're registered under the Ministry of Corporate Affairs (MCA), key business details now sync automatically, saving time.

  • Video-based verification: In select states (including Gujarat), businesses can now verify their physical existence via a short video upload instead of waiting for in-person inspections.

  • Increased exemption threshold: The threshold for mandatory registration has been raised to ₹60 lakhs for most states (₹75 lakhs in special category states).

Compared to Previous Years:

Back in 2022–2023, the GST registration procedure often involved long delays, redundant document uploads, and physical site verification. Errors in PAN-Aadhaar linking or minor address mismatches could cause weeks of delay. The process was also less startup-centric, with little automation or hand holding.

Impact on Startups:

These 2025 reforms have significantly reduced onboarding time—from 10–15 days down to 2–3 days in many cases. Startups can now get registered and start billing sooner. The reduced paperwork and better portal UX are also a major relief for founders who are already juggling multiple tasks.

For startups seeking GST registration in Surat, the updated digital infrastructure and local facilitation centers have made the process much smoother and quicker.

Practical Tips:

  • Use a GST Suvidha Provider (GSP): Many GSPs offer simplified registration services, some even bundled with compliance packages.

  • Ensure clean documentation: PAN, Aadhaar, utility bills, and bank details must be clear and match across all platforms.

  • Register early: If you plan to scale or work with B2B clients, registering early builds trust and prevents future legal hassles.

  • Watch for state-specific updates: Some rules may still vary slightly by state, especially around site verification.

Personal Take:

Overall, 2025 has brought welcome changes to the GST registration ecosystem. The government's push towards digitization and AI-assisted services is making life easier for early-stage businesses. That said, more awareness and education around post-registration compliance could further help founders avoid penalties and filing errors.

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Author: Online Chartered

Online Chartered

Member since: Apr 18, 2025
Published articles: 1

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