Process of Aadhar authentication for GST Registration

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The GST council has introduced Aadhaar authentication compulsory for all classes of registration subject to some exceptions. The council via the notification no 62/2020- central tax dated 20th August 2020 to bring the Aadhaar authentication in force from 21st august 2020.

What is Aadhaar authentication?

It is a process through which the Aadhar details of the Aadhar holder is submitted to the Central Identities Data Repository for verifying its authenticity. This is introduced so as to keep a check on the malpractices that is happening in the Goods and service Tax.

Who is required to get Aadhaar authentication?

As per section 25(6C) of the CGST Act, the Aadhaar authentication is compulsory for the following class of persons:

1. Individuals
2. Authorized signatory of all types
3. Managing and authorized partner
4. Karta of the Hindu undivided family

Exceptions to the rule:
1. If an individual is not a citizen of India
2. To class of person other than the following class of persons, namely:

a. Individuals
b. Authorized signatory of all types
c. Managing and authorized partner
d. Karta of the Hindu undivided family

Process of Aadhar Authentication:

Step 1: At the time for applying for registration, the applicant will be given be provided an option to authenticate Aadhar number under the head named ‘Aadhar authentication’.

Step 2: After clicking the Aadhar authentication tab, the applicant will be provided an option of ‘yes’ or ‘no’. If the applicant choses to press no, then physical verification of the place business will be done before granting registration.

Step 3: The applicant must then fill in the rest of the details and submit the application

Step 4: Once the application is submitted a verification link will be sent to the mobile number and E-mail IDs of all the persons mentioned in the application form. The Applicant or the relevant person has to press the link in 15 days.

Step 5: On clicking the verification link, a window for Aadhaar Authentication will open where they have entered Aadhaar Number and the OTP received by them on the mobile number linked with Aadhaar.

Step 6: Once the OTP is submitted a pop-up message saying ‘Aadhar’ has been successfully verified will appear.

Timelines for grant of registration:

In case of successful authentication of Aadhaar, registration will be deemed approved within 03 working days
If Aadhar authentication is not opted for or if authentication fails in validation and no SCN is issued within 21 days by tax official, registration will be deemed approved


The major benefit of Aadhar authentication is the reduced the time limit for grant of registration to 3 or 4 days. The persons availing new registration are advised to avail this option as its quicker or else the whole physical verification is time consuming and might lead to a delay in registration.

Disclaimer:“Information contained herein is for informational purposes only and should not be used in deciding any particular case. The entire contents of this document have been prepared on the basis of relevant provisions and as per the information existing at the time of the preparation. Though utmost efforts have been made to provide authentic information, it is suggested that to have better understanding and obtaining professional advice after thorough examination of particular situation.”

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Prepared By

Harshitha S Nadig

Article Assistant

Date: 11/12/2020