GSTIN stands for Goods and Services Tax Identification Number. It is a unique 15-digit alphanumeric identifier assigned to every individual or business entity that is registered under the Goods and Services Tax (GST) in India. The GST is a comprehensive indirect tax that replaced various indirect taxes like VAT, excise duty, and service tax in India.
The GSTIN is used for the identification of taxpayers and helps in streamlining the taxation system. Each state in India has a unique two-digit code within the GSTIN, and the structure of the GSTIN is as follows:
- The first two digits represent the state code. Like UP state code is 09
- The next ten digits are the PAN (Permanent Account Number) of the taxpayer.
- The thirteenth digit indicates the number of registrations within a state for the same PAN.
- The fourteenth digit is a Z by default.
- The fifteenth digit is a checksum digit for verification purposes.
For example, a hypothetical GSTIN could look like this: 09ABCDE1234F1Z5, where “09” is the state code, “ABCDE1234F” is the PAN, “1” indicates the number of registrations, “Z” is fixed, and “5” is the checksum digit.