10.1 C
Monday, January 17, 2022

GST taxpayers relief: mandatory e-invoicing on B2B transactions for one month

The Central Indirect Taxes and Customs Board (CBIC) has given a one-time relief in the matter of making electronic bills (e-invoices) on business-to-business (B2B) transactions from 1 October. Under the Goods and Services Tax (GST) Act, it was mandatory for companies with a turnover of more than Rs 500 crore to create e-invoices on B2B transactions from October 1.

CBIC has said in a statement that even after nine months of issuing the first notification in this regard, some businesses are not ready for it yet. Therefore, giving the last chance at the initial stage of implementation of the e-invoice system, it has been decided that the invoices issued by such taxpayers should be recognized and the rules issued without following the prescribed procedure during October 2020. They should be fined for not complying.

Although taxpayers may get a waiver from the penalty on one condition, e-invoices have to be created within a month for the sale of B2B deals in October. For this, his reference number has to be obtained from the Invoice Reference Portal (IRP).

New screw on GST compensation! How will the Center take loan on the revenue received by the states to the mill

Understand by example

The CBIC has given an example stating that a person issued a bill without an Invoice Reference Number (IRN) on 3 October 2020, but the details of the bill were put on the Invoice Reference Portal (IRP) on or before 2 November 2020 and If taken IRN, the penalty will not be taken in such situation. It has also been stated that such relief will not be granted after November 1, 2020, and if the bill is issued without an e-invoice, it will be treated as a violation of Rule 48 (4) of the Central GST Regulations 2017 and CGST law for this violation. The rules of will be implemented.

RBI’s new credit and debit card rules came into effect from 1 October

When did the rules change

The CBIC said in a statement that the government had decided in December 2019 that GST taxpayers with an annual turnover in a past financial year exceeding Rs 100 crore, would be allowed under the Rule 48 (4) of CGST Rules 2017 from April 1, 2020 E-invoices will have to be issued for all B2B supplies as per the mentioned method.

Subsequently, under Rule 48 (5) of CGST Rules 2017, it has been decided that B2B invoices or export invoices issued by specified taxpayers in any other manner will not be valid. After this, in March 2020, the last date for implementing e-invoice 0 was increased to 1 October 2020. Then, keeping in mind the difficulties faced by taxpayers due to COVID 19, in July 2020, it was decided that only those taxpayers with an annual turnover of Rs 500 crore and above should issue e-invoices from October 1, 2020.

Bank Holidays in October 2020: Banks will Open Only 17 days in October, see list

Its deadline also progressed

The government has postponed the requirement of printing dynamic QR codes on business-to-consumer (B2C) bills for two months, till December 1. Quick Response Code (QR Code) helps to verify the details in digital e-challan. The CBIC tweeted, “The requirement of Dynamic QR Code on B2C challan has been deferred till December 1, 2020”.

Source: www.financialexpress.com

#GST #taxpayers #relief #mandatory #einvoicing #B2B #transactions #month

Shehnaz is a Corporate Communications Expert by profession and writer by Passion. She has experience of many years in the same. Her educational background in Mass communication has given her a broad base from which to approach many topics. She enjoys writing about Public relations, Corporate communications, travel, entrepreneurship, insurance, and finance among others.
Latest news
- Advertisement -
Related news
- Advertisement -