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E-Invoicing compulsory for entities with more than Rs 10 cr turnover from Oct 1

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New Delhi, Sep 8:  Goods and Service Tax (GST) payers, whose aggregate turnover exceeds Rs 10 crore in any financial year, will have to compulsorily generate e-invoices from October 1, 2022 for business-to-business (B2B) supply of goods or services, or both and also for exports, Central Board of Indirect Taxes and Customs (CBIC) said in a tweet on Thursday.

It, however, informed that several categories of registered persons have been exempted from generating e-invoices irrespective of turnover limits.

These include an insurer or banking company, including non-bank finance companies, a goods transport agency and a registered person supplying passenger transportation services.

Also a registered person supplying services by way of admission to the exhibition of cinematographic films in multiplex services, too is exempted from generating -invoices.

In addition to this, an SEZ unit, government departments and local authorities are also under the exempted category, CBIC tweeted.

Government decided to widen the ambit of e-invoicing for businesses by lowering the mandatory turnover threshold to Rs 10 crore from Rs 20 crore under the GST regime from October 1, 2022 onwards, in order to digitise a higher volume of transactions.

Sources informed that the move is also aimed at improving compliance, bringing greater transparency in reporting of sales and reducing errors.

The limit has been widened as per the recommendations of the GST Council.

IANS

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