Principal and Additional place of business

Principal place of business

Principal Place of Business (PPOB) is the primary location within the State where you perform business activities. The principal place of business is the address where you keep business's books of accounts and records and is often where the head of your firm or at least top management is located.

The principal place of business can be a warehouse, delivery centers, office, and/or manufacturing facilities.

Additional place of business

Business-related activities may happen in different states and in different places within the state. To manage these activities, you require GST registration in all such states. Also, if there are multiple places of business within a state, you require an additional place of business registration.

Additional Place of business (APOB) is the place of business where you carry out business-related activities within the State, in addition to the Principal Place of Business.

Such business-related activities may include storing inventory at a business partner’s location without shifting ownership of inventory in books.

Why is APOB Important?

When online sellers register their business with their respective GST authorities, they show a physical location from where they will deliver a product to end customers.

The tax authorities pin the location in the GST Registration Certificates. This way sellers notify the tax authority that this is the other place of business apart from the one they have mentioned in the registration documents.

Documents required for APOB

• GST registration in the state of APOB

• Electricity bill (latest) of APOB

• Rent agreement / Lease agreement with NOC (in case of rented) of APOB

PPOB v/s APOB

The term principal place means the primary location of your business operations. It can be an office, warehouse, godown, storage or the manufacturing facility.

To register an APOB, you as a seller must have a PPOB. Remember that an APOB can’t be a PPOB for sellers.

If you do not have PPOB in the state of APOB, it is recommended to apply for both at the same time to save time.

How to Register APOB in the GST?

Although there are 2 methods through which a seller can add APOB in the GST. First is talk to your CA and get the work done. Second is do it all by yourself at GST portal https://www.gst.gov.in/

You can also refer this link to understand the process: https://cleartax.in/s/change-gst-registration-details