Home GST GST Wing Clarifies E-invoicing Applicability for Govt Supplies

GST Wing Clarifies E-invoicing Applicability for Govt Supplies

GST Wing Clarifies E-invoicing Applicability for Govt Supplies
GST Wing Mandates B2B e-Invoices for Govt Supplies

On September 14, 2023, the Nationwide Informatics Centre, working beneath the Ministry of Electronics and Data Know-how (MeiTY), issued a clarification regarding Items and Providers Tax (GST) e-invoicing for Authorities Provides.

The GST Coverage Wing has issued this clarification in reference to the implementation of e-invoicing for transactions involving Authorities departments or businesses, as detailed in Round No. 198/10/2023-GST dated July 17, 2023.

Authorities departments, establishments, authorities businesses, native authorities, and public sector undertakings (PSUs) which might be mandated to deduct tax at supply beneath Part 51 of the Central GST/State GST Act are required to bear obligatory registration beneath Part 24(vi) of the CGST Act, 2017.

Subsequently, entities falling into the aforementioned classes, which register completely for the aim of tax deduction at supply in accordance with part 51 of the CGST Act, needs to be acknowledged as registered entities beneath the GST regulation, as stipulated by clause (94) of part 2 of the CGST Act.

Consequently, if a registered particular person surpasses the desired turnover threshold necessitating e-invoice technology, they’re obligated to problem e-invoices for his or her provides to Authorities departments, institutions, authorities businesses, native authorities, PSUs, and comparable entities, as per rule 48(4) of the CGST Guidelines.

It’s strongly beneficial that taxpayers, who’ve been notified to generate e-invoices and supply items or providers to authorities departments or businesses, should generate B2B GST e-invoices containing the GSTIN of the respective Authorities division or company.

Moreover, on August 18, 2023, the Items and Providers Tax Community (GSTN) issued an advisory containing an E-Bill and step-by-step directions for e-invoicing, which might function a worthwhile reference for taxpayers.

For all taxpayers with an Annual Mixture Turnover (AATO) above Rs. 20 crores, the GST e-invoice system has up to date that the two-factor authentication is obligatory till November 1st, 2023.

The taxpayers with an Mixture Annual Turnover (AATO) of as much as 2 crore are exempted from submitting the Annual Turnover (GSTR-9) for the Monetary 12 months 2022-23, acknowledged by the Central Board of Oblique Taxes and Customs (CBIC) vide notification No. 32/2023 – Central Tax issued on thirty first July 2023.


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