The Goods and Services Tax is an indirect tax levied by the government of India on the supply of goods and services. Since GST is a mandatory tax, you need to understand its compliance and methods of filing. GST filings can appear daunting at first but once you have understood all aspects of GST, it becomes simple. One such aspect is the GST state code which is a unique code of every state that helps in determining the origin of goods and services. 

Let’s understand the GST state code in detail including its state jurisdiction, importance and a detailed state-wide code list. 

What is the GST State Code?

GST State code is a unique 15-digit alphanumeric code assigned to every state by the central government of India. The code is specifically assigned to determine the origin of goods and services for all the GST transactions. 

If you file GST, you will be given a unique GST code depending on the state you belong to. For instance: If you belong to Bihar, your unique identification consisting of 15 digits will have the first two numbers as GST State Code i.e 10. Similarly, if you file your GST in West Bengal the first two digits of your GST number will be 19. 

GST State Code: Exploring Its Importance

Now that you have understood what GST is, let’s get into its importance and how it plays a vital role every time you have to file GST:

• GST Registration

A GST registration is required for you to get GSTIN which helps while filing GST. Now, this GSTIN is allocated to you after carefully verifying your GST state code. The GST state code is provided based on the information you provide. This is done before GST registration to direct you to the appropriate tax collecting authority and helps the central government keep track of all the GST transactions.

• Return Report

As a regular taxpayer, it is mandatory to file a return report including invoice details, and GSTIN. This is mentioned under the monthly or quarterly filed GSTR-1/IFF. The details mentioned in the return report are then forwarded to the buyer’s GSTR-2A/ GSTR-2B. Now when these reports are filed, the state code helps in categorising whether the GST filed is by a state or union territory. The central government uses this information to determine state-wise tax liability.

• GST Invoice and GST e-Invoicing

GST invoicing and GST e-invoicing are filed by regular taxpayers. GST state code is a crucial part of this filing as it ensures the place of supply to accurately determine the GST tax rates depending on the state. This prevents the taxpayer from paying higher or lower GST. Before the use of the GST state code, there were many cases of errors in collecting state-based taxes. 

Understanding GST State Code Jurisdiction

If you have reached here you must have understood that every state has its own GST jurisdiction under which it collects and regulates GST from taxpayers. GST jurisdiction basically refers to the geographical area over which a particular state has authority when it comes to goods and services tax. 

Remember that the GST jurisdiction is based primarily on geographical area and PIN code of districts and different locations. The GST jurisdiction can be classified into two categories:

• State GST Jurisdiction

As the name suggests, state GST jurisdiction deals with the tax administration of a particular state or union territory. The jurisdiction covers the collection and administration of SGST (state goods and services tax) and UGST (union goods and services tax). 

• Central GST Jurisdiction

The central state jurisdiction deals with the administration and collection of goods and services tax that is linked to transactions between two states or union territories. It includes taxes like CGST (central goods and services tax) and IGST (integrated goods and services tax). 

Know Your GST Jurisdiction

Locating your GST jurisdiction is super easy and can be done through different state portals or GST websites. Here’s how:

GST Jurisdiction through CBIC

• Visit the official website of Indirect Tax and Customs and look for the ‘Services’ option.
• Once you click on the option, you will be redirected to a new page. Find the ‘know your jurisdiction’  menu. 
• This will take you to a page featuring the GST state code list. Find your state or union territory and select the zone. 
• After selecting the zone you have to mention the commissioner, division and range. 
• Once you have submitted the details, you will get your GST jurisdiction. 

GST Jurisdiction through GST Portal

• Visit the official GST portal.
• Here you have to find and select the ‘Search Taxpayer’ menu. 
• Under this, you have to select ‘Search by GSTIN/UNI’. 
• Enter your 15-digit unique GST number and ht search.
• You will be able to see the GST jurisdiction on the screen. 

Take a Look at GST State Code List

Here’s a list of GST State Code list of some states that can help you understand the concept of GST state code better: 

Additional Info: The GST code for central jurisdiction is 99.

Note: You can refer to the official website of Indirect Tax and Customs to find a detailed list of all the states and union territories. 

The Bottom Line 

Knowing the GST state code helps you sort taxes by understanding the actual amount you will be paying based on the state-wise tax amount. Additionally, the GST state code has simplified tax collection for state and central governments as well. For any queries regarding GST or GST state code make sure to check the updated rules and regulations from the official website of Indirect Tax and Customs.