GST New Rule w.e.f May 1st for Businesses with Turnover of Rs.100 Crore and above

The Government of India has implemented a new rule for businesses with a turnover of more than 100 crores from 1st May 2023. According to the Goods and Services Tax Network (GSTN), firms must upload their electronic invoices to the Invoice Registration Portal (IRP) within 7 days of the invoices being issued.

A deadline has been set to guarantee that taxpayers meet their obligations on time. According to the report, invoices older than 7 days will be unable to be posted into the IRP. Electronic invoicing takes the role of paper invoices. There is no time limit on reporting debit/credit notes; the time limit only applies to invoices.

Invoices are currently uploaded to the Invoice Registration Portal (IRP) on the current date, regardless of when they were issued.

Companies with a revenue of more than 500 crores were initially required to adopt electronic invoicing for business-to-business (B2B) transactions by October 1, 2020. This new restriction, however, is only applicable to firms with a turnover of more than 100 crores.

With effect from April 1, 2022, the CBIC reduced the Applicability of GST E-invoicing threshold from Rs.50 Crores to Rs.20 Crores. In October 2022, the criterion was dropped to 10 crore turnover firms.

If your company’s annual revenue exceeds 10 crores, you should consider using e-invoice. All B2B and B2G invoices must be electronically uploaded to the portal. The e-invoice must be prepared in the appropriate format and sent to the IRP website.

It should be noted that municipal and governmental institutions are excluded from the GST E-invoice requirement. The CBIC has removed the requirement for local governments and government departments to issue GST E-Invoices.