Published By: Mohammad Haris
Last Updated: December 06, 2023, 14:32 IST
E-invoice for B2C transactions.
The authorities is probably going to make it necessary for companies to subject digital or e-bill for B2C transactions in the following 23 years
The authorities is probably going to make it necessary for companies to subject digital or e-bill for B2C transactions in the following 2-3 years, an official stated on Wednesday. Currently, companies with a turnover of Rs 5 crore and above are required to generate e-bill for their Business to Business (B2B) gross sales and purchases.
The authorities is planning to prolong the e-bill requirement to B2C transactions as nicely.
Central Board of Indirect Taxes & Customs (CBIC) member-GST Shashank Priya stated GST techniques have to be upscaled and the work is on to carry B2C (enterprise to client) transactions beneath e-invoicing.
“We are looking at requirement of e-invoice for B2C. GSTN capacities need to be upscaled. Systems will have to be put in place. We have to see which are the sectors we can start first. It is work in progress but we hope in years to come we will be able to take this forward,” he stated at an Assocham occasion.
Priya additional stated companies with turnover between Rs 5-10 crore usually are not absolutely issuing e-invoices and CBIC officers have been nudging non-compliant companies.
“Its (business with Rs 5 crore turnover issuing e-invoice) implementation is still quite tardy. We have issued instructions. We are trying to nudge taxpayers that it has certain advantages like ease of doing business. GSTR -1, e-way bills will get populated,” Priya stated on the National Conference on GST.
The authorities has been making e-bill necessary for companies in a staggered method. Under the Goods and Services Tax (GST) regulation, e-invoicing for business-to-business (B2B) transactions was made necessary for firms with turnover of over Rs 500 crore from October 1, 2020, which was then prolonged to these with turnover of over Rs 100 crore efficient January 1, 2021.
From April 1, 2021, firms with turnover of over Rs 50 crore have been producing B2B e-invoices, and the edge was introduced down to Rs 20 crore starting April 1, 2022.
From October 1, 2022, the edge was lowered to Rs 10 crore. From August 1, 2023, the requirement was prolonged to enterprise with Rs 5 crore turnover.
