Andaman and Nicobar Islands: GST & labour compliance

GST in Andaman and Nicobar Islands

A sale where the supplier and the place of supply are both in Andaman and Nicobar Islands carries CGST plus UTGST, split equally. A sale to a buyer in another state carries IGST instead, and that tax goes to the destination state. Andaman and Nicobar Islands is a union territory without a legislature, so the state half of the tax is levied under the UTGST Act, 2017, not an SGST Act.

Registration threshold

A business that supplies only goods can stay unregistered up to ₹40,00,000 of aggregate turnover. The higher limit is lost if you supply any taxable service, or deal in ice cream, pan masala or tobacco products; those businesses register at ₹20,00,000.

Inter-state sales of goods need registration from the first rupee, whatever the turnover. Use the registration checker for the other compulsory cases.

Composition scheme

Manufacturers, traders and restaurants in Andaman and Nicobar Islands can opt for composition up to ₹1.5 crore of turnover. Service providers have a separate ₹50 lakh limit. Composition dealers cannot sell across state lines or claim input tax credit.

Quarterly returns

Andaman and Nicobar Islands is in the first QRMP group, so small taxpayers on quarterly filing submit GSTR-3B by the 22nd of the month after each quarter. Tax for the first two months of the quarter is still paid monthly by the 25th, through form PMT-06.

Reading a Andaman and Nicobar Islands GSTIN

Every GSTIN issued in Andaman and Nicobar Islands starts with 35. Characters 3 to 12 are the holder's PAN, the 13th counts registrations under that PAN in the state, the 14th is Z by default, and the 15th is a checksum. A GSTIN that starts with 35 but fails the checksum was mistyped. Check one in the GSTIN validator.

Professional tax in Andaman and Nicobar Islands

We have not published verified PT slabs for Andaman and Nicobar Islands yet — most small states and union territories either levy no PT on salaries or administer it through the local body. Check the Andaman and Nicobar Islands commercial tax department for the current position, or start from the state-wise professional tax calculator.

Labour Welfare Fund in Andaman and Nicobar Islands

Andaman and Nicobar Islands has no Labour Welfare Fund deduction for private-sector salaries. PF, ESI and professional tax apply as usual — only the 16 states with a fund listed in the LWF calculator deduct it.