Approval of GST Registration Within 3 Working Days from 01 November 2025: CBIC Notifies New Rules

The Central Board of Indirect Taxes and Customs (CBIC), vide Notification No. 18/2025 - Central Tax dated 31 October 2025, has introduced significant amendments to the Central Goods and Services Tax Rules, 2017 by inserting Rule 9A and Rule 14A, effective from 01 November 2025. These new rules are designed to simplify and expedite the approval process for GST registration through data-driven risk assessment and Aadhaar authentication.

1. Rule 9A - Approval of GST Registration within 3 Working Days (Automatic Approval Based on Risk Parameters)

Legal Provision

Rule 9A of the CGST Rules, 2017 provides for electronic and automatic approval of GST registration within three working days from the date of submission of application, based on data analysis and risk parameters.

Applicability

This rule applies to applicants seeking registration under:

• Rule 8 - Application for registration by a normal taxpayer,
• Rule 12 - Persons required to deduct or collect tax at source (TDS/TCS),
• Rule 17 - Entities eligible for Unique Identity Number (UIN) assignment.

Key Features

1. Automated Identification:
   The applicant’s details (PAN, Aadhaar, bank account, address, and business history) are verified electronically through data analytics and risk assessment tools integrated into the GST system.
2. Electronic Grant of Registration:
   If the applicant passes the automated verification, registration is granted electronically within three working days, without manual officer intervention.
3. Objective:
   To promote faster onboarding of genuine taxpayers, reduce administrative delays, and strengthen compliance monitoring through data-driven verification.

2. Rule 14A - Simplified 3-Day Registration for Small Taxpayers (Output Tax Liability ≤ ₹2.5 Lakh per Month)

Purpose

Rule 14A introduces a special, simplified registration mechanism for small taxpayers whose total monthly output tax liability does not exceed ₹2,50,000 (including CGST, SGST/UTGST, IGST, and Compensation Cess).

Key Provisions

1. Eligibility:
   • Applicants filing for registration under Rule 8 can opt for this scheme if their total monthly output tax liability does not exceed ₹2.5 lakh.
   • The option can be availed only if Aadhaar authentication is completed successfully.
2. Aadhaar Authentication:
   As per Section 25(6D) of the CGST Act, Aadhaar verification is mandatory for automatic approval. Applicants who are exempt under this section are not required to authenticate Aadhaar.
3. Single Registration Rule:
   Only one registration per PAN per State/UT is allowed under this option. Multiple registrations under the same PAN within one State are prohibited.
4. Grant of Registration:
   Upon successful Aadhaar authentication, registration shall be granted electronically within three working days from the date of submission on the GST Common Portal (www.gst.gov.in).

3. Declaration Requirement (for Small Taxpayers under Rule 14A)

Applicants opting for this simplified scheme must provide a self-declaration in Form GST REG-01 that:

“My total monthly output tax liability, including central tax, State/Union territory tax, integrated tax, and compensation cess, shall not exceed ₹2,50,000 per month.”

This declaration forms part of the online application - no separate upload is required.

4. Withdrawal from the Simplified Scheme

Once registered under Rule 14A, the taxpayer can declare output tax liability up to ₹2.5 lakh per month only.
If the output tax exceeds this limit, the taxpayer must mandatorily withdraw from this scheme before declaring such higher liability.

Procedure for Withdrawal

1. File Form GST REG-32 (Withdrawal Application) on the GST portal, either directly or via Facilitation Centres.
2. The application will undergo verification, including Aadhaar-based or biometric authentication, and verification of documents as per risk parameters.
3. Upon approval, the proper officer will issue a withdrawal order in Form GST REG-33.
4. Only after receipt of the withdrawal order can the taxpayer file returns showing output tax liability exceeding ₹2.5 lakh.

Conditions for Withdrawal (As per Notification)

• Before 1 April 2026: At least three preceding months’ returns must be filed.
• On or after 1 April 2026: At least one tax period’s return must be filed.
• All returns due from registration date till withdrawal application must be filed.
• No withdrawal is permitted if cancellation proceedings under Section 29 are pending.

If any amendment is required to registration details, it must be made first under Rule 19 (Amendment of Registration) before filing the withdrawal request.

5. Post-Withdrawal Compliance

After approval of withdrawal:

• The taxpayer may declare output tax exceeding ₹2.5 lakh from the first day of the succeeding month.
• No amendment in past returns can be made to exceed the limit prior to withdrawal.
• If cancellation proceedings commence before withdrawal approval, the withdrawal application will be rejected (Rule 9(5) on deemed approval will not apply).

6. Summary of Key Compliance Requirements

7. Legislative Intent and Impact

The introduction of Rules 9A and 14A marks a major reform in the GST compliance landscape.
These rules aim to:

• Facilitate faster registration and reduced manual intervention,
• Promote ease of doing business for small taxpayers,
• Strengthen Aadhaar-based verification to prevent fake or fraudulent registrations, and
• Establish a risk-based compliance framework ensuring genuine taxpayers areonboarded swiftly while high-risk cases are filtered for scrutiny.

In Summary

To get GST registration within three working days (effective 1 November 2025):

1. File Form GST REG-01 online.
2. Complete Aadhaar authentication.
3. If your monthly output tax is ≤ ₹2.5 lakh, select the Rule 14A small taxpayer declaration.
4. Ensure only one registration per PAN per State.
5. If output tax exceeds ₹2.5 lakh, withdraw via Form REG-32, get order in REG-33, then file returns accordingly.

For More Information Please Contact 

Dr. Muhammed Mustafa C T.
Senior Tax Consultant, BRQ Associates
???? +91 96331 81898
???? brqassociates@gmail.com | ???? www.brqassociates.com