The government shall implement a new GST e-invoicing system from 1st October. It shall be applicable for taxpayers with a turnover above Rs. 500 Crore instead of the earlier planned Rs.100 crore. The taxpayers in the bracket will now have to file GST e-invoices on a Central Government System.
CBIC Principal Commissioner (GST) Yogendra Garg said the existing Goods and Services Tax (GST) return filing system would be improved further by incorporating the features proposed in the new system.
“E-invoicing, once it is stabilised it should be a great help in further reducing the compliance burden. The GST Implementation Committee has recommended yesterday that we will go ahead with October 1 deadline but with reduced turnover, so to begin with we will not do for Rs 100 crore and above as we had notified, we will soon come out with a notification to make it Rs 500 crore from October 1 and as it stabilises then we will bring a date for Rs 100 crore and above,” Garg said.
The government had announced in November 2020, that from April 1 electronic invoice (e-invoice) would be mandatory for businesses with a turnover of Rs 100 crore. Later in March 2020, the GST Council extended the implementation date to October 1.
The Council also exempted insurance, banking, financial institutions, NBFCs and passenger transport service from issuing e-invoice.