Changes in e-invoice validations

e-invoice is implemented from 1st Oct 2020 for taxpayers having turnover above ₹ 500 crores and the same has been reduced to ₹ 100 crores from 1st Jan 2021 and from 1st April 2021 to ₹ 50 crores.

Following are the changes announced in e-invoice validations during June 2021

1. When SEZ Developer is Supplier, only IGST is applicable irrespective of Supplier State code and POS Code.
2. In these cases, no need to set ‘IGSTonIntra’ flag to ‘Y’ (which would have mandated RCM = ‘Y’) since this is not applicable.

It has been rolled out in a very swift manner and without any hiccups.

GST Tip – 313

As per Rule 46 of the CGST Rules, every taxpayer has to mention the name, address, place of delivery of goods, state name, and state code on supplies made to the unregistered taxpayers if the value of the supplies is  Rs 50,000 or more on the tax invoice.

State Codes as per GST

List of State codes as per GST

The above is the list of state codes under GST and this has to be used for the place of supply on the tax invoice. Place of supply has to be shown on the tax invoice if it is different from the location of the recipient and the same information has to be shown in GSTR – 1.

 

GST Tip – 246

As per the Final Returns Formats, supplies to B2C have to be shown in Table 7 of GSTR – 1, grouped by Tax Rates only for Intrastate and Interstate supplies. In the case of interstate supplies, it has to be grouped by State Code and then by Tax Rates.  HSN Code /SAC Code along with Tax paid on provisional assessment from the old formats given in Table 7.

GST Tip – 86

In GSTR -1 state code of the buyer has to be shown in case if the buyer and seller are in different states. Customer’s name also has to be shown in the case of B2C transactions if the invoice value is more than Rs 2.5 Lacs.