GST Invoice Registration Portal: Changes have been made in the rules regarding GST network transactions. The new rule will come into effect from 1 May 2023 and businessmen will be required to follow it.
The rules have been changed for timely GST compliance. An update has come from the government regarding Goods and Service Tax (GST). Changes have been made in the rules regarding GST network transactions. The new rule will come into effect from 1 May 2023 and businessmen will be required to follow it. GSTN has said that from May 1, it will be mandatory to upload the receipt of any transaction on the Invoice Registration Portal (IRP) within 7 days. The rules have been changed for timely GST compliance.
According to GSTN, from May 1, all businessmen with a turnover of more than 100 crores will be required to follow this rule. Under the new rule, businessmen with more than 100 crore turnover will not be able to upload invoices older than this. 7 Days. This means that receipts for transactions older than 7 days cannot be uploaded to GSTN and returns cannot be claimed on the same. Let us tell you that this rule is only regarding the challan. Merchants will be able to upload debit and credit notes even after 7 days.
Big loss to traders
GST rules state that if the invoice is not uploaded on the IRP, the trader will not be able to avail Input Tax Credit (ITC) on the same. ITC is claimed back on the difference between the raw material and the final product of a product. At present, companies can upload their e-invoices anytime, but after the new rule comes into force, they will have only 7 days.
What would be the benefit of change?
Experts believe that the new rule can be helpful in increasing the GST collection. Along with this, companies will also get the benefit of ITC on time. Its main objective is to strengthen the process of digitization. Recently, the government made it mandatory for businesses or companies with a turnover of more than 100 crores to generate a GST invoice for each transaction.
Experts say that this process is being implemented gradually and soon it will be made mandatory for all businessmen. Currently, it has been made mandatory for traders with a turnover of more than Rs 10 crore to generate electronic invoices for all B2B transactions. The government had implemented this rule from 1 October 2022.
Now timely uploading of e-invoices on IRP will benefit both government and business. On the one hand this will help in increasing the GST collection and on the other hand traders will be able to get the benefit of ITC soon.
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