Fast Track Registration Rules Explained

Central Goods and Services Tax Fourth Amendment Rules, 2025 — Complete Guide

The Government of India, through Notification No. 18/2025 – Central Tax dated 31.10.2025, has implemented a major reform in GST compliance.

Known as the Central Goods and Services Tax (Fourth Amendment) Rules, 2025, this notification focuses on faster GST registration, Aadhaar-based authentication, and simplified withdrawal procedures, effective from 1st November 2025.

These changes aim to make GST registration faster, transparent, and technology-driven, especially for startups, MSMEs, and small B2B suppliers.

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Key Highlights: Faster and Smarter GST Registration

1. Introduction of Rule 9A — Risk-Based Fast-Track Registration

Under Rule 9A, GST registration applications are now processed automatically within 3 working days through the GSTN’s risk analysis system.

This automated workflow reduces human intervention and speeds up approval for low-risk taxpayers.

Key Benefit: Faster turnaround time for GSTIN approval and reduced compliance delays.

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2. New Rule 14A — Simplified Registration for Low B2B Output Tax

Rule 14A allows small B2B suppliers—whose total output tax liability doesn’t exceed ₹2.5 lakh per month—to opt for electronic Aadhaar-based registration.

The process is entirely online, data-driven, and designed for minimal paperwork.

Eligibility Highlights:

• Supplier must deal in B2B taxable supplies.

• Monthly output tax must not exceed ₹2.5 lakh.

• Aadhaar authentication is mandatory (unless exempted).

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3. Restriction on Multiple Registrations under Rule 14A

Applicants registered under Rule 14A cannot apply for another GSTIN on the same PAN within the same State/UT.

This measure curbs misuse and ensures fair compliance under the simplified scheme.

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4. Aadhaar Authentication — Mandatory for Approval

Every Rule 14A applicant must complete Aadhaar authentication through OTP or biometric verification.

This ensures the genuineness of registration and prevents fraudulent GSTIN creation.

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Step-by-Step: New GST Registration and Exit Process

Step 1 – Apply Online

• File FORM GST REG-01 on the GST Portal.

• Select Rule 14A option (if eligible).

• Provide all basic business details and declaration.

Step 2 – Aadhaar Authentication

• Complete OTP or biometric verification online.

• Aadhaar must be linked to the PAN of the applicant.

Step 3 – Approval in 3 Days

• On successful verification and risk screening, the registration is approved electronically within 3 working days.

Step 4 – Operate Under Rule 14A Scheme

• Continue under the simplified regime as long as the output tax remains below ₹2.5 lakh per month.

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How to Withdraw from the Scheme (Exit Process)

If your output tax exceeds ₹2.5 lakh per month or you wish to opt out voluntarily:

1. File FORM GST REG-32 to request withdrawal.

2. File all pending GST returns for at least the last three months (or one tax period post-April 2026).

3. Ensure no pending amendment requests or cancellation proceedings exist.

4. Upon verification, the officer issues:

   • FORM GST REG-33 (approval), or

   • FORM GST REG-05 (rejection).

After withdrawal:

• Excess tax must be declared in the next return.

• Retrospective withdrawal is not permitted.

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Updated GST Forms You Should Know

Form	Purpose
GST REG-01	Updated to include declaration for Rule 14A applicants
GST REG-03/04/05	Updated for notices, clarifications, and orders under Rule 14A
GST REG-32	Newly introduced form for withdrawal from Rule 14A scheme
GST REG-33	New form for approving withdrawal requests

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Compliance Tips for Businesses

✅ Ensure PAN and Aadhaar are correctly linked before applying.

✅ Regularly monitor your output tax liability to stay within ₹2.5 lakh/month limit.

✅ Complete all pending returns before requesting withdrawal.

✅ Use Rule 14A if your business serves registered clients (B2B) and you want quick registration.

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Who Should Take Action?

Startups & MSMEs

Fast-track registration enables quick onboarding, better cash flow, and faster invoicing.

Tax Professionals

Stay updated with procedural changes to guide clients effectively on Rule 14A compliance.

Existing Taxpayers

If your turnover fluctuates near the ₹2.5 lakh threshold, plan your transition early to avoid compliance gaps.

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⚖️ Legal Reference

• Notification No. 18/2025 – Central Tax, CBIC (31st October 2025)

• Sections Covered: 164, 25, 29 of CGST Act, 2017

• Rules Amended: Rule 9, 9A, 10, 14A and associated registration forms

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Summary: Simplified GST Registration for a Digital India

The Central Goods and Services Tax Fourth Amendment Rules, 2025 is a game-changer for GST compliance.

With the fast-track registration process, Aadhaar authentication, and Rule 14A for small B2B suppliers, India moves closer to a fully automated, transparent, and MSME-friendly tax regime.

Businesses should embrace these updates early to ensure compliance, minimize delays, and benefit from smoother registration and withdrawal processes.

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