Client Profile
- Business: Organic snacks and healthy foods
- Founder: Former corporate professional turned entrepreneur
- Stage: 6 months old, registered in Karnataka
- Challenge: Expanding to sell in 5+ states
The Challenge
Rajesh had successfully built a local customer base selling organic snacks through his website and local stores in Bangalore. When he listed on Amazon and Flipkart, orders started coming from all over India. However:
- Only had GST registration in Karnataka (principal place of business)
- Tax liability exceeding ₹20 lakhs in Maharashtra, Delhi, Tamil Nadu
- Required additional GST registrations in these states
- FSSAI license was state-specific, needed central license
- Receiving notices for non-registration in multiple states
- Managing compliance across states was becoming a nightmare
"I got my first GST notice from Maharashtra for ₹3.2 lakhs. I didn't even know I needed to register there separately!"
Our Solution
Immediate Crisis Management (Week 1)
- Analyzed sales data across all states for past 6 months
- Identified states where turnover exceeded ₹20 lakhs threshold:
- Maharashtra: ₹28 lakhs
- Delhi: ₹24 lakhs
- Tamil Nadu: ₹22 lakhs
- Filed for GST registration in all 3 states on urgent basis
- Prepared detailed reply to Maharashtra GST notice explaining:
- Genuine oversight (not willful default)
- Immediate registration action taken
- Voluntary disclosure of other states
Compliance Restructuring (Week 2-4)
- Upgraded FSSAI State License to Central License (mandatory for multi-state sellers)
- Set up proper accounting systems to track state-wise sales
- Implemented monthly state-wise GST review process
- Registered for additional states as precautionary measure:
- Uttar Pradesh (sales growing rapidly)
- Gujarat (approaching threshold)
Ongoing Compliance Management
- Monthly GST return filing across 6 states
- State-wise sales monitoring with threshold alerts
- E-way bill management for interstate supplies
- Annual GST reconciliation across all states
The Results
Immediate Outcomes:
✅ All state GST registrations obtained within 30 days
✅ Central FSSAI license obtained
✅ Zero further compliance notices
Business Impact:
- Confidently expanded to all-India operations
- Revenue grew from ₹8 lakhs/month to ₹28 lakhs/month
- Saved estimated ₹8+ lakhs in potential penalties
- Can now focus on marketing instead of compliance fires
Financial Impact:
- Before: Facing ₹3.2L demand + potential ₹5L+ in other states
- After: Settled for ₹45K + fully compliant across India
- Savings: ₹7.5+ lakhs in penalties avoided
Client Testimonial
“I was terrified when I got that first GST notice. Task360 not only resolved it but prevented the same problem in 4 other states I didn't even know about. Their proactive state-wise monitoring gives me complete peace of mind. Now I can focus on growing my brand instead of worrying about compliance.”
Key Takeaways
✓ Multi-state sellers must monitor state-wise turnover thresholds
✓ Proactive registration prevents costly notices and penalties
✓ Food businesses need central FSSAI for all-India operations
✓ Professional compliance management is investment, not expense
✓ Early expert intervention can reduce penalties by 80%+