CBIC Mandates Aadhaar Authentication for GST Registration Across All States and UTs

Background:

Previously, the CBIC issued Notification No. 27/2022 – Central Tax on December 26, 2022, stating that Aadhaar authentication for GST registration would not apply across all States and Union Territories, except for Andhra Pradesh, Gujarat, and Puducherry.

Following the 53rd GST Meeting of the GST Council on June 22, 2024, in New Delhi, it was recommended to implement biometric-based Aadhaar authentication for registration applicants on a pan-India basis. This initiative aims to strengthen the registration process and combat fraudulent input tax credit claims linked to fake invoices.

Notification:

The CBIC has now rescinded Notification No. 27/2022 – Central Tax as per Notification No. 13/2024 – Central Tax dated July 10, 2024. This change applies to all States and Union Territories, effective from July 10, 2024, with the exception of actions taken prior to this rescission.

Effect of the Notification:

With the rescission of the earlier notification, Aadhaar authentication is now required for GST registration across all States and Union Territories.