What is APOB?

APOB (Additional Place of Business) in GST is any place, other than the Principal Place of Business, where a taxpayer carries on business activities like storage, distribution, or sale. It can be warehouses, branch offices, or retail stores. Mentioning APOB in GST registration is required in case the business is run from more than one location. Virtual offices also qualify as APOB for GST purposes, particularly for startups and e-commerce sellers. Any new premises for business need to be updated in the GST portal. Appropriate documentation, such as rental contracts or bills for electricity, is needed for verification while registering or amending GST.

Significance of APOB in GST

Regulatory Compliance: Filing APOBs keeps you in compliance with GST regulations, preventing penalties and legal issues.
Seamless Input Tax Credit (ITC): Correct registration of APOBs is necessary to avail ITC on expenses made at various business premises.
Effective Logistics and Operations: APOBs like warehouses and branch offices facilitate smooth logistics and distribution. Filing them officially assists in effective tracking and reporting.
Audit and Inspection Readiness: In case your business location is not notified as an APOB, it can create hassle while undertaking audits or inspections by the tax authorities.

Examples of APOBs

An enterprise having a head office in Mumbai (PPOB) with a warehouse in Pune and a shop in Nagpur needs to notify the warehouse and shop as APOBs.
A manufacturer with factories across various states or the same state must declare each place as an APOB under the corresponding GST registration.

When Should You Add an APOB?

When opening business in a new city or a new state.
When initiating a warehouse or a godown along with your office.
When initiating a new retail store or office.
When you rent or lease an extra commercial building for business.

Documents Needed to Add APOB

Ownership or possession proof of the premises (Electricity bill, Rent agreement, NOC from owner, etc.)
Photograph of the premises
Address details with PIN code
Authorization letter, if needed

Step-by-Step Process to Add APOB in GST Portal:

Log in to GST Portal: Visit www.gst.gov.in and log in with your credentials.
Go to Registration Tab: Click on ‘Services’ > ‘Registration’ > ‘Amendment of Registration Non-Core Fields’.
Select Additional Place of Business: Select the ‘Additional Places of Business’ tab.
Add New APOB: Click on ‘Add New’ and enter the mandatory details such as address, nature of possession, and nature of business activity.
Upload Documents: Upload the documents such as rental agreement or proof of ownership.
Verification & Submission: Authenticate the application through Digital Signature Certificate (DSC) or Electronic Verification Code (EVC).
Acknowledgment: Following successful submission, an ARN (Application Reference Number) will be created.
Approval: The amendment will normally be approved within 7 working days.

Key Points to Remember

You can have multiple APOBs in one GSTIN for operations in the same state.
For operation in a different state, new GST registration (new GSTIN) is necessary.
All APOBs must be updated as soon as operations begin.

Consequences of Not Declaring APOB

Penalties: Working at an unreported business place may draw penalties in the GST Act.
Blocked ITC: Input tax credit may not be availed on goods or services consumed at that site.
Legal Issues: In cases of audit or inspection, unreported locations can cause notices or other legal procedures.

FAQs on APOB

Is there any maximum number of APOBs which I can declare?
No, there isn’t any. You can make as many APOBs as needed in the same state.
Can I delete an APOB later?
Yes, you can delete an APOB via the GST portal by clicking on the ‘Amendment of Registration’ feature.
Is there a charge for adding an APOB?
No, there is no fee charged by the government to modify registration to add or delete APOBs.
Do I need to take different registration for APOBs across different states?
Yes. If your other place of business is in some other state, you have to take individual GST registration for that state.

Is NOC from the property owner compulsory?

Yes, if the property belongs to someone else and not the business, a NOC from the owner is usually necessary.

Conclusion

Filing an Additional Place of Business (APOB) under GST is not merely a compliance action—it’s a strategic action to optimize operations, facilitate smooth ITC claims, and steer clear of unnecessary legal complexities. As your business expands and moves to new locations, being timely in filing APOBs will provide transparency and operational efficiency. Keep your GST registration current with the latest business locations to ensure trust and compliance in the eyes of tax authorities.
By knowing and controlling your APOBs properly, you can concentrate on expansion while maintaining complete compliance with the GST regime.