Kerala: GST & labour compliance
Everything that is specific to Kerala (केरल) for GST, professional tax and the Labour Codes — GST state code 32.
- GST state code
- 32
- Registration threshold — goods
- ₹40,00,000
- Registration threshold — services
- ₹20,00,000
- Composition limit (goods)
- ₹1.5 crore
- QRMP GSTR-3B due date
- 22nd of the month after the quarter
- Professional tax
- Levied — see slabs
- Labour Welfare Fund
- Varies by board
- Labour Code notifications
- None tracked yet
GST in Kerala
A sale where the supplier and the place of supply are both in Kerala carries CGST plus SGST, split equally. A sale to a buyer in another state carries IGST instead, and that tax goes to the destination state.
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 Kerala 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
Kerala 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 Kerala GSTIN
Every GSTIN issued in Kerala starts with 32. 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 32 but fails the checksum was mistyped. Check one in the GSTIN validator.
Professional tax in Kerala
Kerala charges professional tax on half-yearly income. The top slab is ₹1,250 a half-year once income passes ₹1,24,999, and the Constitution caps the total at ₹2,500 a year.
Half-yearly, payable to the panchayat or municipality.
Register with the local self-government institution where the establishment is located.
Labour Welfare Fund in Kerala
Kerala runs several welfare fund boards with their own rates and schedules, so the amount depends on the board your establishment is registered under. Check the board notes in the LWF calculator.
Labour Code rules in Kerala
The four Codes are in force nationally from 21 November 2025. Procedures, forms and some thresholds depend on rules framed by each state.
Open the state tracker →Tools for Kerala
Frequently asked questions
What is the GST state code of Kerala?
32. Every GSTIN registered in Kerala begins with 32.
When is quarterly GSTR-3B due in Kerala?
QRMP taxpayers in Kerala file GSTR-3B by the 22nd of the month after each quarter.
What is the GST registration limit in Kerala?
₹40,00,000 for suppliers of goods and ₹20,00,000 for services, based on all-India aggregate turnover.
Is there professional tax in Kerala?
Yes. See the Kerala professional tax page for current slabs.
Is there Labour Welfare Fund in Kerala?
Yes, but the rate depends on the welfare fund board your establishment is registered under. See the board notes in the LWF calculator.
Where do I track Kerala's Labour Code rules?
The state tracker has no verified notifications for Kerala yet. Open it to check the current status of all four Codes.