Businesses across the country may soon be required to issue electronic invoices, or e-invoices, directly to consumers for the sale of goods and services.
GST Council meeting: E-invoice mandate may soon cover B2C transactions
The implementation of e-invoicing for B2B transactions had been progressively rolled out under the GST law. In October 2020, businesses with a turnover exceeding Rs 500 crore were first mandated to issue e-invoices. This requirement was later extended to companies with turnover above Rs 100 crore from January 1, 2021. By April 1, 2021, the threshold was reduced to Rs 50 crore, and further lowered to Rs 20 crore a year later.
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Despite this phased implementation, challenges remain, particularly for businesses with turnovers between Rs 5-10 crore, according to officials. Tax authorities have reportedly been urging non-compliant businesses to meet the e-invoicing requirements.
Despite this phased implementation, challenges remain, particularly for businesses with turnovers between Rs 5-10 crore, according to officials. Tax authorities have reportedly been urging non-compliant businesses to meet the e-invoicing requirements.