GST verification is important before starting any business or transaction. It confirms that the vendor or business is registered under GST. Verification protects you from fraud, fake invoices, and legal issues. You can easily verify the GST number through the GST Portal and online tools. Here, in this blog, you will learn the steps to do GST Number verification and how to file a fake GST complaint.

What is GSTIN?

GSTIN refers to the Goods and Services Tax Identification Number. It is a unique 15 digits that identifies a number. Every taxpayer gets this number when they register for Goods and Services.

GST Number Format: (27ABCDE1234F1Z5)

• The first two digits contain the state code where the business is registered.
• The next 10 digits contain the PAN number of the business.
• The 13-digit number contains the Entity Code.
• 14-digit contains the Z default character.
• The last and 15th digit contains an alphanumeric code to detect errors in the GSTIN.

Importance of GST Number Verification

These are the reasons why checking the GST number is important:

Prevent Fraud: Verification confirms the authenticity of the supplier or vendor. It reduces the risk of doing business with fake and unregistered businesses.

Helps in Compliance: Verification helps businesses comply with GST regulations. It confirms that you are dealing with the registered business and vendors.

Build Trust: Verified GST number boosts customer trust and confidence in your business.

Required in invoices and Returns: Correct GST details are required for invoicing and filing GST returns.

Avoid Penalties and Notices: Verification helps in avoiding business with blacklisted or non-compliant dealers.

Verify GST Number from the GST Portal

Follow these simple steps to verify the GST Number:

• Go to the GST Portal.
• Enter the GST number in the search bar.
• Get details for verification.

GST Number verification by PAN

You can also check GST details by the PAN of the business. Just follow steps below:

• Just go to the GST portal
• Enter PAN number and fill in the captcha.
• Get the GST Number and click on the link.
• Again, fill in the captcha and get GST details of the business.

Consequences of Not Verifying GSTIN

Ignoring GST verification can lead to serious issues.

Loss of Input Tax Credit (ITC): You can’t claim Input tax credit from an unregistered or fake supplier. On applying for a claim, your application will be denied, which increases your tax burden.

Blacklisting Risk: If you work with the blacklisted or non-compliant vendors, your GST number can get flagged or scrutinized by tax authorities.

Legal Notices and Penalties: Incorrect GST details in returns or invoices can result in penalties, fines, or audits by the GST department.

Fake Invoices and Fraud: Without GST number verification, you can become prey to vendors issuing fake invoices. Which leads to fraudulent transactions and financial losses.

Bulk GSTIN Verification

Verifying the GSTIN of multiple vendors manually is a time-consuming process. It is inefficient and prone to errors. Here, businesses can use tools or services for verification. It will:

Time Saving Process: Bulk GST number verification helps in checking the legitimacy of multiple GSTINs. It eliminates the need for manual checks and saves time that goes into repetitive work.

Reduces Manual Errors: It reduces the typing mistakes and incorrect entries that can lead to wrong invoices or disallowed Input Tax Credit.

Easy API and Tool Integration: Businesses can use third-party APIs or GST software tools that easily integrate with accounting systems to automate and schedule bulk GSTIN checks.

How to File a GST-Related Complaint?

Follow these steps to file a complaint:

• Go to the GST Portal.
• Click on Help and the Taxpayer Facilities Tab.
• Find and click on Grievance Redressal.
• Click on Report Issue.
• File Complaint.

Conclusion

GST number verification is an important step for businesses before entering into transactions with vendors and clients. It protects your business from fraud and legal troubles. You can verify the GST number from the GST portal or through the API. You can follow the above step-by-step guide for easy verification. If you are a large enterprise that needs to verify multiple GSTINs, you can use the API or tools that offer bulk GST verification services. It will enhance the verification process.

FAQs

Ques: How to search the GST Number by PAN?

Ans: You can find the GST number by PAN from the GST portal website.

Ques: How can I verify a GST Number online?

Ans: You can verify your GST number online from the GST Portal.

Ques: What is Bulk GST Verification?

Ans: Bulk GST verification refers to the service that allows businesses to check multiple GST numbers simultaneously.

Ques: How to complain about a fake GST?

Ans: Go to self service page to report a complaint about fake GST.