In India, every business registered under the GST is assigned a unique 15-digit GSTIN (Goods and Services Tax Identification Number), which is a mandatory disclosure on all invoices, bills, and receipts. However, the use of fake or inactive GSTINs is a growing concern for both consumers and businesses. Some businesses use invalid or inactive 15-digit GSTINs to collect tax from customers without remitting it to the government.

As some entities use fake GST numbers to dupe customers, checking the authenticity of a GSTIN is a crucial step before transferring money or claiming input tax credit.

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What You Need To Know About GSTIN Format?

The Goods and Services Tax Identification Number or GSTIN is 15 characters long. The first two digits represent the state code, followed by the next ten digits, which are the business's PAN. The 13th digit indicates the number of registrations the business has within that state, while the 14th digit is the letter "Z" by default. The 15th digit is an alphanumeric check code used for system validation.

How To Verify GST Number? Check Here

Here’s the step-by-step guide to verify the GST number:

Step 1: Visit the official GST portal at www.gst.gov.in.

Step 2: Look for the 'Search Taxpayer' tab on the homepage and then select 'Search by GSTIN/UIN'.

Step 3: In the search box, type the 15-digit GSTIN you want to verify. Proceed by entering the Captcha code shown on the screen.

Step 4: Double-check the GSTIN and click the 'Search' button.

Step 5: The portal will display the complete details of the business, including the legal name of the business, registration status (active/inactive), effective date of registration and type of taxpayer (regular, composition, etc), state jurisdiction.

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Why Is GST Number Verification Important?

GST Number verification is crucial for both consumers and businesses, as dealing with fake or invalid GSTINs can lead to financial losses. For individuals, it guarantees that the GST paid on a bill actually reaches the government, while for businesses, it is essential for claiming Input Tax Credit (ITC) and maintaining tax compliance.