Complete Coverage in This Guide

✔ NRTP Meaning

✔ GST Registration Process

✔ Advance Tax Deposit

✔ GSTR-5 Filing

✔ FEMA & PE Risk

✔ Practical Examples

Non Resident Taxable Person (NRTP) under GST in India

Complete practical guide for foreign companies, overseas consultants, exhibitors and international businesses entering India temporarily.

Understand GST registration, GSTR-5 filing, advance tax deposit, validity, refund claims, FEMA implications, Permanent Establishment exposure and practical compliance challenges under Indian GST law.

Need professional assistance for NRTP registration or GST compliance?
📞 Call / WhatsApp: +91 9718046555

What is a Non Resident Taxable Person under GST?

A Non Resident Taxable Person (NRTP) refers to a person or business located outside India that occasionally supplies goods or services in India without having a fixed place of business or residence in India.

Under Section 2(77) of the CGST Act, an NRTP may supply goods or services as principal, agent or in any other capacity. The concept mainly applies to foreign exhibitors, overseas consultants, temporary suppliers, international event organizers and foreign companies testing the Indian market.

Simple Example:

A German company participating in a machinery exhibition at Pragati Maidan and selling products during the event may require GST registration as a Non Resident Taxable Person because the company has no fixed establishment in India but is making taxable supplies here.

Who Normally Falls under NRTP Category?

Foreign Exhibitors

International businesses participating in Indian exhibitions and trade fairs.

Overseas Consultants

Foreign technical experts and advisory firms rendering taxable services in India.

Temporary Suppliers

Foreign companies supplying goods or services for short-term projects.

Event Companies

International organizers conducting seminars, expos and commercial events in India.

Important Features of NRTP under GST

Mandatory Registration

No threshold exemption like ₹20 lakh or ₹40 lakh is available. Even a single taxable supply may trigger registration.

Advance Tax Deposit

Estimated GST liability must generally be deposited before registration approval.

Temporary Validity

Registration is temporary and usually valid for 90 days initially.

GSTR-5 Filing

Non Resident Taxable Persons primarily file GSTR-5 return under GST.

How to Obtain NRTP Registration in India

Registration as Non Resident Taxable Person involves a special procedure under GST law because the applicant is located outside India and generally does not have a fixed business establishment in the country.

Step 1

Apply at least 5 days before commencement of business activities in India.

Step 2

File application in Form GST REG-09 on GST portal.

Step 3

Upload passport, incorporation certificate, authorization and other documents.

Step 4

Deposit estimated GST liability in advance before registration approval.

Documents Normally Required

Passport of authorized signatory
Foreign business registration certificate
Tax identification number of foreign country
Letter of authorization
Indian contact details
Photograph of authorized signatory
Bank details and address proof

Advance Tax Deposit under NRTP

One of the biggest differences between a normal GST registration and NRTP registration is the requirement of advance tax deposit.

Before registration approval, the applicant must estimate expected GST liability and deposit that amount in advance. The amount gets credited into electronic cash ledger and can be used for payment of GST liability.

Practical Example

Suppose a foreign exhibitor expects taxable sales of ₹50 lakh during an exhibition in India and estimated GST liability of ₹9 lakh. In such case, approximately ₹9 lakh may need to be deposited before approval of registration.

Validity and Extension of NRTP Registration

NRTP registration is temporary in nature and is normally granted for 90 days initially. If business activities continue beyond the approved period, extension may be obtained for additional 90 days.

Particular	Details
Initial Validity	90 Days
Extension Possible	Yes
Extension Form	GST REG-11
Additional Deposit	Required for extended period

Return Filing by Non Resident Taxable Person

NRTP is primarily required to file GSTR-5 return under GST law. This return contains details of outward supplies, inward supplies, imports, tax liability and tax payment.

Main Return

GSTR-5

Due Date

13th of next month or within 7 days after expiry of registration.

Contains

Outward supplies, inward supplies, imports and tax details.

Common Mistakes by Foreign Companies

Applying for GST registration too late

Incorrect estimation of advance deposit

Wrong classification between OIDAR and NRTP

Ignoring Permanent Establishment exposure

Improper invoice documentation

Failure to file GSTR-5 on time

FEMA and Permanent Establishment Implications

Many foreign businesses focus only on GST registration and completely ignore income tax and FEMA implications. However, repeated business activities, long-term projects, dependent agents or employees stationed in India may create Permanent Establishment exposure.

Once PE exposure arises, the foreign company may face:

Indian income tax liability
Transfer pricing obligations
Withholding tax implications
Regular GST registration requirements
FEMA compliance obligations

Strategic Insight:

Foreign companies entering India temporarily should ideally evaluate GST, FEMA and Permanent Establishment exposure together rather than treating them separately.

Frequently Asked Questions

Is GST registration compulsory for foreign companies supplying goods in India?

Yes. Foreign companies making taxable supplies in India without a fixed establishment generally require NRTP registration before commencement of business.

Can NRTP claim Input Tax Credit?

Yes. Input Tax Credit may generally be available on eligible inward supplies and imports subject to GST conditions and restrictions.

Can a foreign exhibitor participate in exhibitions without GST registration?

In many situations, taxable sale of goods at exhibitions may require GST registration as NRTP depending upon transaction structure and nature of activities.

Which return is filed by NRTP?

Non Resident Taxable Persons primarily file GSTR-5 containing outward supplies, inward supplies, imports and tax details.

Can excess advance tax deposit be refunded?

Yes. Excess balance remaining after adjustment of GST liability may generally be claimed as refund after filing required returns.

Need Help with NRTP Registration or GSTR-5 Filing?

Professional assistance for foreign companies, overseas consultants, international suppliers and exhibitors entering India. Support available for GST registration, return filing, refund claims, FEMA review and Permanent Establishment analysis.

📞 +91 9718046555