GST Registration
GST Registration Threshold: When Do You Actually Cross It?
Last Reviewed: 28 July 2026
Reviewed by: IndiaBusiness.ai Editorial
Quick Answer
₹40 lakh annual turnover for most goods sellers, ₹20 lakh for services — with lower thresholds (₹20 lakh / ₹10 lakh) in special-category states. But marketplace selling and interstate trade can trigger the requirement regardless of turnover.
Thresholds by state type and supply
| Category | Standard states | Special-category states |
|---|---|---|
| Goods | ₹40 lakh | ₹20 lakh |
| Services | ₹20 lakh | ₹10 lakh |
| Marketplace / interstate | Required regardless | Required regardless |
The headline numbers — ₹40 lakh for goods, ₹20 lakh for services — apply to most states. Special-category states (several in the Northeast, plus a few hill states) use lower thresholds: ₹20 lakh for goods, ₹10 lakh for services. Confirm which applies to your state before assuming the standard numbers apply.
Turnover is calculated as aggregate turnover across all your business activities under the same PAN, not per product line or per state branch — a common point of confusion. It's cumulative from the start of the financial year, not a rolling 12-month window.
The threshold stops being the deciding factor the moment you sell on a marketplace or sell interstate — both of those require GST registration regardless of how small your turnover is. If either applies, the threshold question is moot.