What is tin number?
Any business that wants to offer products or services has to get a Tax Identification Number (TIN) under CST or VAT. For transactions between two states, it is commonly referred to as the VAT number.
As part of their VAT registration, businesses were required to get TIN, as well as additional identifying registrations. Therefore, TIN was assigned by each state's commercial tax agency to trace VAT transactions throughout India.
Now, all states have their VAT legislation that mandates the use of TIN. With the advent of GST, GSTIN replaced TIN as the primary taxation identity number.
The TIN, or Tax Identification Number, is an 11-digit number provided to each VAT-registered entity. The two initial numbers or letters signify the state code, while the remaining nine numbers vary per state.
In the same way that taxpayers are individually identified with PAN, TIN was provided to corporate entities to track their financial operations across India.
As a result, the purpose of providing a TIN is to collect taxation data for a business. This is because businesses operate in several states and perform intrastate and interstate transactions.
If you are looking for state/city wise to apply for TIN, then we’ve got you covered:
How To Apply For A TIN Number?
TIN applications, like PAN applications, can be submitted online or offline. This is done to make the application process easier for candidates. Each state's Commercial Tax Department is in charge of granting TINs to registered businesses.
Because the Tax Identification Number (TIN) is required for reporting VAT, it is automatically issued at registration. The TIN is a one-of-a-kind identification number for VAT-registered enterprises.
This is an efficient method of tracking transactions done by enterprises in the country.
TIN Registration Online
A TIN may be applied online at NSDL by a qualifying corporate organization. Fill out the TIN Number application form and follow the procedures on the company's website to get a TIN Number.
When the taxpayer submits the application form, a unique 15-digit acknowledgement number is generated on the NSDL dashboard.
The taxpayer must save and print this acknowledgement number. They must sign it and email it together to the NSDL with any associated attachments, such as:
- The due diligence certificate
- Evidence that the qualifying criteria have been met
- The application fee is payable by check or demand draft made payable to NSDL – ERI
TIN Registration Offline
Each state has its unique registration procedure for offline TIN registration.
- First, the applicant has to gather the necessary documentation from the website of the relevant state's business tax agency.
- Then one has to fill out the application, attach images to the relevant locations, and sign it.
- Next, they must submit the signed application together with the documents mentioned.
- After the tax authorities review the application and verify the information on the application form, they issue a VAT registration to the business entity that filed the application.
- This registration is accompanied by issuing an 11-digit unique number that acts as the business entity's VAT/TIN/CST number.
Why Is TIN Required?
The Tax Identification Number (TIN) is a one-of-a-kind number granted to firms by the specific state’s Commercial Tax Department, where the applicant has applied.
The TIN is used to sell and acquire goods and services inside and across states. To register for VAT, exporters, manufacturers, merchants, and dealers of goods and services must first get a TIN. To complete all kinds of transactions, whether VAT, CST, or TIN, just one identification number TIN is necessary.
Who Needs It?
All manufacturers, exporters, merchants, and dealers needed a TIN. Individuals who do business in different states need to register for VAT. Regardless of taxable sales, there is a certain category of merchants who must register for VAT from the commencement of their firm.
Although GSTIN has mostly superseded TIN, some businesses will still need to register for a TIN and VAT if you fall into one of the following categories:
- Importing goods for commercial reasons from outside India.
- Any dealer who engages in interstate trade/commerce by sourcing, selling, or exporting any products subject to the special rates as forth in Schedule VI of the appropriate state VAT Act 2005 to a destination outside the state.
- Residing outside a state but conducting business there and registering or attempting to register under the Central Sales Tax Act of 1956.
- Anyone who obtains an economic incentive from the government or a local authority as a tax exemption or delay for work worth more than Rs 5 lakh. And every firm that enters into collective bargaining agreements and chooses a tax scheme based on a proportion of revenue.
- Any commission agent, auctioneer, broker, etc., regardless of title. They must, however, engage in the procurement, sale, delivery, or distribution of commodities on behalf of their non-resident principal.
- A new TIN is assigned as part of the registration process when new VAT registration is submitted.
Documents Required to Apply for TIN
- A self-attested copy of the rent/lease agreement (registered) is required as proof of ownership of a commercial property or for property taken on rent/lease. Note - If you have an unregistered agreement, you can pay the document registration fee using a Challan at the CTO office.
- At least one document confirming that the author is a sole proprietor, manager, director, or partner.
- Self-attested copy of the most recent Electricity Bill of the business premises.
- Public Sector, Recognized Educational Institution, Government, or Public Limited Company Photo Identity Card; Driver's Licence; Passport; Telephone Bill; Bank Statement; EPIC Card; Electricity Bill.
- If relevant, a copy of the company's, partnership firm's, society's, or trust's bylaws.
- Bank Statement as evidence of the bank account number.
- Copy of the PAN card.
Frequently Asked Questions
Q1. How can I get my TIN number online?
A qualified corporate entity may apply for a TIN online at NSDL. This may be accomplished by following the directions on its website and filling out the TIN Number application form.
The NSDL dashboard presents a unique 15-digit acknowledgement number when the taxpayer submits the application form.
Q2. Can I get a TIN number online for the unemployed?
Yes, you can. The NSDL-TIN website allows you to apply for TAN online. The form may then be filled out and submitted online. When you press the "submit" button, the screen shows an acknowledgement with a unique 14-digit acknowledgement number.
You must print, sign, and return this acknowledgement to NSDL at the location indicated on the NSDL-TIN website, along with a processing charge of 55 + service tax (as applicable). Payment can be made using a DD/cheque made payable to NSDL-TIN in Mumbai or with a credit card, debit card, or net banking.
Q3. How much does TIN ID cost?
Every individual will have just one TIN for the rest of their lives. A TIN card can also serve as identification and may be required by private or public organisations such as the LTO when applying for a driver's licence. A TIN is also available for free.
Q4. How long does it take to get a TIN number?
Normally, it takes 15 days to process an application if it is deemed to be in order. The Tax Identification Number (TIN) is a one-of-a-kind number granted to firms by the specific state’s (where the applicant has applied) Commercial Tax Department in the state.
The TIN is used to sell and acquire goods and services both inside and across states.
To register for VAT, exporters, manufacturers, merchants, and dealers of goods and services must first get a TIN number. To complete all related transactions, whether it is VAT, CST, or TIN, just one identifying number TIN is necessary.
Q5. Are TIN and VAT the same?
NO. The TIN, or Tax Identification Number (TIN), is an 11-digit number provided to each VAT-registered entity. The first two characters of the TIN reflect the state code, while the remaining nine numbers vary per state. TIN was provided to corporate enterprises in order to track their financial operations across India.
VAT was a multi-stage tax that was collected on the value added to a specific commodity at each stage of the manufacturing process. The tax was incurred and paid by the end consumer under VAT because registered dealers in the value chain were able to claim the input tax credit.
The VAT paid on inputs or purchases may be deducted in proportion to the VAT collected from the client. As a result, the dealer was only required to pay VAT on the additional value added to the products in the value chain by such a dealer.
Q6. How to find tin number?
The TIN number will be mentioned in all the invoices that your business generates as well as on receipts in some cases. You can also find a Tax Identification Number online at https://www.tinxsys.com - this is just a one-time process but you may have to submit paperwork in order to get it done which should not take more than two weeks.