GST E-Invoicing for Retailers: Design Architecture Nears Completion

GST Network CEO Manish Kumar Sinha announced the completion of the design architecture for implementing GST e-invoicing for the B2C sector. Currently, used in B2B transactions, e-invoicing will be extended to every B2C transaction on a pilot basis. Industry vetting is in progress, with consideration given to smaller retailers.

GST Network CEO Manish Kumar Sinha revealed on Tuesday that the design architecture for implementing GST e-invoicing for retailers is nearly ready and currently being vetted by industry experts.

E-invoicing, already in use in the B2B sector, is set to be extended to the B2C sector on a pilot basis following a decision by the GST Council earlier this month.

Sinha disclosed that the GST department is in dialogue with industry stakeholders regarding the issuance of electronic invoices for every B2C transaction. 'Initially, we will do a pilot project. The design of the architecture is mostly done, and we are getting it vetted by some of the best people we have in the industry. After that, we will release a document on how to go about it,' Sinha said during an Assocham event.

The threshold for businesses required to issue e-invoices is still being determined. 'We have to give time to the industry, particularly to small-scale retailers. Our focus is on perfecting the technology. Larger retailers and e-commerce operators already have robust IT setups, and we at least encourage them to start adopting the new system,' Sinha added.

Under the GST law, e-invoicing for B2B transactions was made mandatory for companies with a turnover of over Rs 500 crore as of October 1, 2020, and was later extended to those with a turnover of over Rs 5 crore.

(With inputs from agencies.)