The latest GST updates 2023 requirement for enterprises with a revenue of more than 5 crore will be implemented today. In May, the Ministry of Finance released a circular on the Goods and Services Tax (GST) system. Businesses with a turnover of more than 5 crore will be required to create e-invoices from August 1.
Companies having a business-to-business (B2B) transactional value of more than Rs 5 crore will be required to create an electronic or e-invoice from August 1. According to the GST latest notifications companies must now issue an electronic invoice for all B2B transactions if their annual turnover is Rs. 10 crores or greater.
E-invoicing was first introduced in the year 2020 for major companies with a turnover of more than Rs 500 crore, but within three years, the barrier was reduced to Rs 5 crore.
E-invoicing for business-to-business (B2B) transactions became obligatory under GST law on October 1, 2020, for enterprises with annual revenues above Rs 500 crore, and on January 1, 2021, for companies with annual revenues exceeding Rs 100 crore.
Companies with a revenue of more than Rs 50 crore began creating business-to-business B2B e-invoices on April 1, 2021. The barrier was dropped to Rs 20 crore on April 1, 2022. As on October 1, 2022, the barrier has been decreased to Rs 10 crore.
Meanwhile, the GST council is expected to meet tomorrow to discuss the GST new rules, August 2, to finalize GST implementation on online gaming. The council will also determine whether to levy the 28% GST on deposits or on each game. The revenue secretary said that levying a 28% tax on every game will result in repeated taxation of the same rupee, raising the effective tax rate to 50%-70%.
