NEW DELHI: Companies with turnover of Rs 500 crore and above will generate all B2B invoices on a centralised government portal starting October 1. The Central Board of Oblique Taxes and Customs (CBIC) has notified the revised structure for e-invoice under GST by replacing present safe and additionally increased the turnover threshold for companies who accumulate to generate e-invoice for B2B transactions.
With this, the e-invoice under Goods and Companies Tax (GST) will doubtless be applicable for GST-registered companies having turnover above Rs 500 crore with invent from October 1, 2020.
Furthermore, SEZ items had been excluded from e-invoicing.
The e-invoice was once aimed at curbing GST evasion by self-discipline of spurious invoices. Moreover, it would safe the returns submitting route of less complicated for companies as invoice files would already be captured by a centralised portal.
In November closing one year, the government had stated that from April 1 electronic invoice (e-invoice) will doubtless be well-known for companies with turnover of Rs 100 crore. Later in March 2020, the GST Council prolonged the implementation date to October 1.
The Council additionally exempted insurance protection, banking, financial establishments, NBFCs and passenger transport provider from issuing e-invoice.
EY Tax Partner Abhishek Jain stated: “With most attention-grabbing 60 days to this compliance, companies would deserve to mercurial review the ERP changes well-known and thought implementation nicely to safe obvious that compliance from October 1″.
AMRG & Associates Senior Partner Rajat Mohan stated contemporary codecs for an e-invoice has been prescribed eyeing the implementation from October 1, 2020.
“Good corporates with turnover of over Rs 500 crores now accumulate most attention-grabbing 2 months to put into effect E-invoice digital module across different technology platforms, which can perhaps well trade the principles of sport in Industry to Industry (B2B) transactions,” he stated.
GSTN will now accumulate entry to extra right-time files round industrial transactions giving impetus to excessive stage files analytics, Mohan added.