GST for Kirana Stores — What You Actually Need to Know
GST registration threshold, composition scheme benefits, billing rules and what happens if you ignore it.
June 2026 · By Rajni Sharma
When must a kirana register for GST
If your annual turnover exceeds ₹40 lakh (₹20L for special category states), GST registration is mandatory. Below this, it's optional — but some wholesale suppliers won't give credit without a GSTIN.
Composition scheme for small kirana
If your turnover is between ₹0 and ₹1.5 crore, you can opt for the composition scheme: pay 1% of turnover as GST (quarterly), file one simple return per quarter, but you cannot claim input tax credit and cannot do inter-state supply.
Regular scheme for larger stores
Above ₹1.5 crore or if you want ITC on purchases, go regular. You charge 18% GST on FMCG, 5% on basic groceries (rice, pulses, salt), and 0% on fresh fruits, vegetables and unbranded items.
How to bill customers
For B2B (selling to registered businesses), a proper tax invoice with HSN code and GST rate is mandatory. For retail (B2C), a simple cash bill is enough — but print your GSTIN on it if you have one.
File on time to avoid notices
A missed GSTR-3B return attracts ₹50/day late fee. Register, file on time, and keep your purchase invoices — your CA needs them for ITC claims. AgenticVani's Kirana CRM tracks sales and GST collections automatically.
Everything here comes ready-made inside AgenticVani — one-time ₹499, no monthly fee.
See Kirana CRM →