(CBIC Circular no. 146/02/2021-GST dated 23.02.2021.)
Subject: - Clarification in respect of applicability of Dynamic Quick Response (QR) Code on B2C invoices and compliance of notification No.18/GST-2, dated the 31st March, 2020- Reg.
Notification No.18/GST-2. dated the 31st March, 2020 had been issued which requires Dynamic QR Code on B2C invoice issued by taxpayers having aggregate turnover more than 500 crore rupees, w.e.f. 01.12.2020. Further, vide Notification No.103/GST-2. dated the 15th December. 2020. penalty has been waived for non-compliance of the provisions of Notification No.18/GST-2 for the period from 01st December, 2020 to 31st March. 2021. subject to the condition that the said person complies with the provisions of the said Notification from 01st April. 2021.
2. Various references have been received from trade and industry seeking clarification on applicability of Dynamic Quick Response (QR) Code on B2C (Registered person to Customer) invoices and compliance of Notification No.18/GST-2. dated the 31st March. 2020 as amended. The issues have been examined and in order to ensure uniformity in the implementation of the provisions of the law across the field formations, the Commissioner of State Tax. in exercise of its powers conferred under section 168 of the HGST Act, 2017. hereby clarifies the issues in the table below:
i. Where the supplier of taxable service is:
a) an insurer or a banking company or a financial institution, including a non-banking financial company;
b) a goods transport agency supplying services in relation to transportation of goods by road in a goods carriage;
c) supplying passenger transportation service;
d) supplying services by way of admission to exhibition of cinematograph in films in multiplex screens
ii. OIDAR supplies made by any registered person, who has obtained registration under section 14 of the IGST Act 2017, to an unregistered person.
As regards the supplies made for exports, though such supplies are made by a registered person to an unregistered person, however, as e-invoices are required to be issued in respect of supplies for exports, in terms of Notification no.17/GST-2. dated the 31st March, 2020 treating them as Business to Business (B2B) supplies, Notification No.18/GST-2. dated the 31st March, 2020 will not be applicable to them.
i. Supplier GSTIN number
ii. Supplier UPI ID
iii. Payee's Bank A/C number and IFSC
iv. Invoice number & invoice date,
v. Total Invoice Value and
vi. GST amount along with breakup i.e. CGST, SGST, IGST, CESS, etc.
Further, Dynamic QR Code should be such that it can be scanned to make a digital payment.
In cases where the supplier, has digitally displayed the Dynamic QR Code and the customer pays for the invoice: -
i. Using any mode like UPI, credit/ debit card or online banking or cash or combination of various modes of payment, with or without using Dynamic QR Code, and the supplier provides a cross reference of the payment (transaction id along with date, time and amount of payment, mode of payment like UPI, Credit card, Debit card, online banking etc.) on the invoice ; or
ii. In cash, without using Dynamic QR Code and the supplier provides a cross reference of the amount paid in cash , along with date of such payment on the invoice;
The said invoice shall be deemed to have complied with the requirement of having Dynamic QR Code.
However, if payment is made after generation / issuance of invoice, the supplier shall provide Dynamic QR Code on the invoice.
In cases other than pre-paid supply i.e. where payment is made after generation / issuance of invoice, the supplier shall provide Dynamic QR Code on the invoice.
3. Difficulty faced, if any. in implementation of the above instructions may please be brought to the notice of the Department.
SHEKHAR VIDYARTHI
Excise & Taxation Commissioner-cum-
Commissioner of State Tax, Haryana