You are here: Home » Companies » News
Business Standard

Govt notifies mandatory e-invoicing by biz with Rs 100 cr turnover from Jan

The government has notified mandatory requirement of e-invoicing for B2B transactions for businesses with a turnover over Rs 100 crore with effect from January 1, 2021

Topics
Companies

Press Trust of India  |  New Delhi 

Tax filing

The government has notified mandatory requirement of e-invoicing for B2B transactions for businesses with a turnover over Rs 100 crore with effect from January 1, 2021.

Under Goods and Services Tax (GST) law,e-invoicing for business-to-business (B2B) transactions is mandatoryfor with turnover of over Rs 500 crore from October 1.

In a notification, the Central Board of Indirect Taxes and Customs (CBIC) said e-invoicing will be extended to businesses with a turnover over Rs 100 crore from January 1.

Under e-invoicing, taxpayers have to generate invoices on their internal systems (ERP/accounting/billing software) and then report it online to the Invoice Registration Portal (IRP).

The IRP will validate the information provided in the invoices and return the digitally signed e-invoices with a unique 'Invoice Reference Number (IRN)' along with a QR Codeto the taxpayer.

Deloitte India Senior Advisor Prakash Kumar said this will further aid in curbing tax evasion and increasing tax collections.

However, going by the resounding success of the October 1 rollout for the larger companies, MSMEs too should indeed be able to comply with the new requirement, Kumar added.

EY Tax Partner Abhishek Jain said "With only approximately 50 more days, these mid-sized would need to soon gear up their processes/ IT systems to enable compliance with this new invoicing regulation.

Nangia Andersen India Director Tanushree Roy said with only a few days left, such would need to gear up their IT and invoicing systems as well as train their employees to comply with this new compliance requirement.

While this move of the government would help in automating the tax compliances, this is also expected to lead to efficient management of tax compliances, Roy added.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, November 11 2020. 21:00 IST
RECOMMENDED FOR YOU
.