E-Invoicing under GST if turnover exceeds Rs. 10 crore

E-Invoicing for whose turnover exceeds Rs. 10 crore [ Notification No. 17/2022-CT dated 01-08-2022]

With effect from 1^st October 2022, CBIC has notified that e-invoicing shall be mandatory for all assesses having turnover more than 10 crores in any financial year from 2017-18 to 2021-22.

♦ The aggregate turnover will include the turnover of all GSTIN under a single PAN across India.

♦ If the turnover in the last FY was below the threshold limit but it increased beyond the threshold limit in the current year, then e-Invoicing would apply from the beginning of the next financial year.

Suppose Mangal Textile turnover was as follows:

FY 2017-18: Rs 05 crore

FY 2018-19: Rs 07 crore

FY 2019-20: Rs 11 crore

FY 2020-21: Rs 10 crore

FY 2021-22: Rs 09 crore

The Mangal Textile shall mandatorily generate e-invoices from 01.10.2022 irrespective of the current year’s aggregate turnover as it has crossed the Rs 10 crore turnover limit in FY 2019-20.

For more clarity,

Suppose Ram Textile turnover was as follows:

FY 2017-18: Rs 02 crore

FY 2018-19: Rs 05 crore

FY 2019-20: Rs 06 crore

FY 2020-21: Rs 07 crore

FY 2021-22: Rs 09 crore

FY 2022-23: Rs15 crore (upto September 2022)

The Ram Textile shall not require to generate e-invoices from 01.10.2022 irrespective of the current year’s aggregate turnover as it has not crossed the Rs 10 crore turnover limit in any of the preceding financial year.

However, irrespective of the turnover, e-Invoicing shall not be applicable to the following categories of registered persons for now, as notified in CBIC Notification No.13/2020 – Central Tax:

• An insurer or a banking company or financial institution
• GTA
• A registered person supplying services by way of admission to the exhibition of cinematographic films in multiplex services
• A registered person supplying passenger transportation services
• A government department and local authority (N/No. 23/2021-CT)