GST: E-Invoice Limit reduced to Rs. 5 Crores with effect from the 1st August 2023

The Central Board of Indirect Taxes And Customs (CBIC) has reduced the GST Aggregate Turnover limit to five crore rupees (Rs. 5 Cr) for the generation of E-Invoice. The reduced turnover is effective from the 1st August 2023.

The notification reads as follows:

In exercise of the powers conferred by sub-rule (4) of rule 48 of the Central Goods and Services Tax Rules, 2017, the Government, on the recommendations of the Council, hereby makes the following further amendment in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 13/2020 – Central Tax, dated the 21st March, 2020, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 196(E), dated 21st March, 2020, namely:-

In the said notification, in the first paragraph, with effect from the 1st day of August, 2023, for the words

ten crore rupees, the words ―five crore rupees shall be substituted.

Important points related to GST turnover for applicability of E-Invoice

In case the Aggregate Turnover exceeds 5 crore in any of the previous 5 years, then E-invoice would be applicable.

For the purpose of limit of Aggregate Turnover, even the Exempted Turnover would be considered.

All the relevant notifications related to GST E-invoice

Click on the link given below to download the notification.