Aggregate turnover = all taxable supplies + exempt + nil-rated + exports (zero-rated) + inter-state supplies, computed on an all-India, same-PAN basis across every GSTIN. It excludes the value of inward supplies taxed under Reverse Charge (RCM) and the GST itself (CGST/SGST/IGST/cess). Registration is mandatory once this figure crosses Rs40 lakh (goods) or Rs20 lakh (services) in a financial year.
What to Include & Exclude in Aggregate Turnover
Section 2(6) defines aggregate turnover as the aggregate value of all outward supplies under a single PAN, computed on an all-India basis. Use this table to place each item correctly.
| Supply / item | In turnover? | Why |
|---|---|---|
| Taxable supplies (standard-rated) | Include | Core taxable turnover |
| Exempt supplies | Include | Explicitly included u/s 2(6) |
| Nil-rated supplies | Include | Explicitly included u/s 2(6) |
| Exports of goods & services (zero-rated) | Include | Counted even though no tax charged |
| Inter-state supplies (same PAN, diff. GSTIN) | Include | PAN-level all-India aggregation |
| Stock transfers between states (same PAN) | Include | Deemed supply — included |
| CGST / SGST / IGST / cess | Exclude | Tax is not part of supply value |
| Inward supplies taxed under RCM | Exclude | Specifically excluded by Sec 2(6) |
| Intra-GSTIN branch transfers (same state) | Exclude | Not a distinct supply |
SAC/HSN classification does not change turnover computation. GST 2.0 (eff 22 Sep 2025) rationalised rate slabs but left the Section 2(6) turnover definition unchanged.
Zero-rated exports are included in aggregate turnover even though no GST is charged. A pure service-exporter with Rs35 lakh of export income and no domestic sales still crosses the Rs20 lakh services threshold and must register, unless a specific exemption applies.
Unsure whether a supply counts in your turnover?
Talk to a GST Expert →GST Registration Threshold — Turnover Limits
Aggregate turnover is the trigger for mandatory GST registration under Section 22. The limit depends on whether you supply goods, services, or both.
| State category | Goods | Services |
|---|---|---|
| Normal-category states | Rs40 lakh | Rs20 lakh |
| Special-category states | Rs20 lakh | Rs10 lakh |
Special-category (Rs20L goods): Manipur, Mizoram, Nagaland, Tripura, Meghalaya, Sikkim, Arunachal Pradesh, Puducherry, Uttarakhand. J&K, Ladakh and Assam use the Rs40L goods limit.
The Rs40 lakh goods limit applies only if you supply goods alone and make no inter-state or e-commerce supplies. Add even a small amount of service income and your whole turnover is tested against the Rs20 lakh limit.
- Certain persons must register regardless of turnover — inter-state suppliers of goods, e-commerce operators, casual/non-resident taxable persons and those liable under RCM.
- Turnover is aggregated across all GSTINs under the same PAN, not state-by-state.
- Voluntary registration is allowed below the threshold to claim input tax credit.
Turnover Limits for the Composition Scheme
The same aggregate-turnover figure decides composition scheme eligibility, checked against the preceding financial year.
| Supplier type | Turnover cap | Composition rate |
|---|---|---|
| Manufacturers & traders (goods) | Rs1.5 crore | 1% |
| Restaurants (no alcohol) | Rs1.5 crore | 5% |
| Other service providers | Rs50 lakh | 6% |
Rs75 lakh cap for goods composition in special-category states. If turnover crosses the cap mid-year, you exit composition from the first day of the next month.
Aggregate Turnover — Step-by-Step
A two-state trader (same PAN)
A service exporter
- Total all taxable outward supplies (net of GST)
- Add exempt & nil-rated supplies
- Add exports / zero-rated supplies
- Combine every GSTIN under the PAN
- Add inter-state stock transfers
- Exclude CGST / SGST / IGST / cess
- Exclude inward supplies taxed under RCM
- Compare against your applicable threshold
Aggregate turnover is not the same as the "turnover in a state" used for composition tax computation. The all-India aggregate figure decides eligibility and registration; the state-wise figure is used to compute the composition levy. Mixing the two is a frequent filing error.
Want your turnover verified before you register or opt for composition?
Get Expert Help →Frequently Asked Questions
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