B2B (Business-to-Business)
Services and products offered to other businesses, such as HR tech tools, accounting software, or logistics platforms.
B2C (Business-to-Consumer)
Direct-to-customer models including e-commerce, personal finance apps, wellness platforms, and online learning.
B2G (Business-to-Government)
Startups providing solutions for public sector use — common in edtech, healthtech, or civic tech spaces.
Goods
GST rates vary by category (5% to 18%). For example, packaged food items may attract 5%, while electronic devices are typically taxed at 18%.
SaaS and Digital Platforms
Attract 18% GST, usually under HSN Code 997331 for online digital services or 9984 for telecom and broadcasting services.
Professional and Advisory Services
GST at 18%, under HSN Code 9983 for business consulting and technical support.
Training and Educational Services
May be exempt if provided by recognized institutions. Otherwise, 18% GST typically applies
Eligible ITC
ITC is not available for goods or services used for personal consumption.
Restrictions
No ITC on items used for personal consumption or goods/services exclusively for exempt supplies.
Capital Goods
ITC is allowed if used entirely for business purposes. Partial business use may limit claims.
GST Registration
Mandatory if annual turnover exceeds ₹20 lakhs (₹10 lakhs in special category states).
Returns Filing
GSTR-1: Monthly or quarterly reporting of outward supplies.GSTR-3B: Summary return for tax payments and ITC claims.GSTR-9: Annual return if turnover exceeds ₹2 crores.
Audit Requirements
Mandatory GSTR-9C audit if turnover exceeds ₹5 crores.
Reconciliation:
Regular matching of ITC in GSTR-2A/2B with books.
Penalties for Non-Compliance
Late or Non-Filing
Wrong ITC Claims
Penalty up to 100% of the wrongly availed tax amount.
