E-invoice turnover limit has been a hot topic of discussion in the GST world. The government is trying to accommodate MSMEs under e-invoicing. Multiple circulars and GST notifications have been released for smooth e-invoice implementation in the country. So, if you are wondering if your business has crossed the e-invoice threshold limit, you have landed on the right page.
Recently, the government decided to lower the e-invoice threshold limit to Rs. 10 Cr. i.e. businesses with an annual aggregate turnover of Rs. 10 Cr. or more in any financial year from 2017-18 onwards need to mandatorily start generating IRN from October 1, 2022 as per GST notification 17/2022.
Sources say that the e-invoice turnover limit is soon going to be even lowered as Taxpayers with turnover above Rs. 5 Cr. are enabled for testing on Sandbox.
What is the turnover limit for e-invoicing?
E-invoice under GST has been introduced in the country in a phased manner based on the Aggregate Annual Turnover (AATO) of companies. Presently the e-invoice turnover limit is Rs. 20 Cr. which is soon going to be lowered to Rs. 10 Cr. as per GST notification 17/2022. Let us have a look at the table below for a detailed update:
|GST Notification No.||AATO (FY 17-18 onwards)||Effective Date|
|61/2020 dated 20-07-2020||Rs. 500 Cr.||1st October 2020|
|88/2020 dated 10-11-2020||Rs. 100 Cr.||1st January 2021|
|05/2021 dated 08-03-2021||Rs. 50 Cr.||1st April 2021|
|01/2022 dated 24-02-2022||Rs. 20 Cr.||1st April 2022|
|17/2022 dated 01-08-2022||Rs. 10 Cr.||1st October 2022|
Is e-invoice mandatory for Rs. 5 crores?
No, it is not mandatory for companies with an annual turnover of Rs. 5 crores to generate e-invoices currently. However, testing on Sandbox is available to taxpayers with a turnover of between Rs. 5 Cr. and Rs. 20 Cr.
IRIS is now a GSTN-authorised IRP – Invoice Registration Portal
With the expansion in the scope of the e-invoicing mandate, IRIS has been appointed as the Invoice Registration Portal (“IRP Partner”) of GSTN, which permits us to act on behalf of GSTN to register B2B e-Invoices of trade and industry. IRIS IRP can now help taxpayers and solution providers to generate IRN for B2B invoices, credit notes and debit notes smoothly.
We are humbled to share with all of you that IRIS has been selected as the ‘Best Tax Technology Service Provider 2021(Silver) by Tax India Online – at the prestigious TIOL Awards 2021