GST Circular 156/12/2021 | Clarifications issued with respect to QR Code generation on B2C Invoices and compliance of notification 14/2020

GST Circular No 156/12/2021

It is mandatory for companies having turnover above Rs. 500 Cr. to comply with dynamic B2C QR code from 1st Dec 2020. However no penal provisions if same is not complied till 30th Jun 2021, subject to conditions

Clarification with respect of applicability of dynamic Quick Response Code on B2C invoices and compliance of notification 14/2020

1) Invoices issued to UIN holders shall be considered as invoice issued to unregistered user and shall comply with dynamic QR Code requirement
2) Separate details of bank account & IFSC details are not required since UPI ID is linked to a bank account of the payee/person collecting money.
3) Where the payment is collected by some person, authorized by the supplier, the UPI ID of such person may be provided in the Dynamic QR Code, instead of UPI ID of the supplier

4)  In case of supply of services to recipient located outside India but payment is received in foreign currency and place of supply is within India (i.e. services not considered as an export), QR code is not required since same cannot be used for payment
5)  Where the invoice number is not available at the time of digital display of dynamic QR code say in case of over the counter sales and the invoice number and invoices are generated after receipt of payment, the unique order ID/ unique sales reference number, which is uniquely linked to the invoice issued for the said transaction, may be provided in the Dynamic QR Code for digital display, as long as the details of such unique order ID/ sales reference number linkage with the invoice are available on the processing system of the merchant/ supplier and the cross reference of such payment along with unique order ID/ sales reference number are also provided on the invoice.
6)  In case of receipt of part payments by way of advance or adjustment using voucher or discount coupon before QR Code generation, the code may provide only the balance amount payable and details of total invoice value, cross reference of advance adjustment and remaining amount shall be provided in invoice

Samaira Tolani

Samaira Tolani is a Chartered Accountant with 4 years of experience in Compliance and Financial Reporting. She is a GST expert, currently working with IRIS as GST Consultant . Before this, she was part of compliance team of Blue Star, Piramal Pharma and Novartis. A diploma holder in IFRS with ACCA, she loves listening to music, travelling and reading fiction.

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