The state Goods and Services Tax department has said that traders with an annual turnover of more than Rs 5 crore will have to generate e-invoices for business-to-business transactions from August 1 this year. The decision is applicable to traders who have registered an annual turnover above ₹5 crore in any financial year from 2017-18. They have to generate e-invoices for taxable goods and services and also for credit/debit notes issued by them.
E-invoicing is currently applicable for business transactions above ₹10 crore. Eligible dealers should register at https://evoice1.gst.gov.in and obtain their user credentials before 1st August. If the trader fails to generate the e-invoice, the recipient will not be eligible for input tax credit.
E-invoicing is not applicable to traders handling non-taxable goods under the GST Act. Several entities including SEZ units, insurance, banking sector including non-banking financial companies, goods transport agencies and passenger transport services have been kept out of the purview of e-invoicing.