IN REFERENCE TO 146/02/2021(CENTRAL),
Sub:- Clarification in respect of applicability of Dynamic Quick Response (QR) Code on B2C invoices and compliance of notification issued in the G.O.Ms.No.142, Revenue (CT-II) Department, dated 15-5-2020 (Notification No. 14/2020- Central Tax dated 21st March, 2020) - Reg.
Ref:- From the GOI, MOF, DOR, CBIC, Circular No.146/02/2021-GST, dated 23-022021.
Notification in G.O.Ms.No.142, Revenue (Commercial Taxes-II) Department, dated 15-52020 (Notification No. 14/2020-Central Tax, dated 21st 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 in G.O. Ms. No. 32, Revenue (Commercial Taxes-II) Department, dated 15-2-2021 (Notification No. 89/2020- Central Tax, dated 29th November 2020), penalty has been waived for non-compliance of the provisions of Notification issued in the G. O. Ms.No.142, Revenue (Commercial Taxes-II) Department, dated 15-5-2020 (Notification No. 14/2020-Central Tax, dated 21st March 2020), 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 issued in the G. O. Ms. No. 142, Revenue (Commercial Taxes-II) Department, dated 15-5-2020 (Notification No. 14/2020-Central Tax, dated 21st 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 Chief Commissioner, in exercise of his powers conferred under section 168(1) of the APGST 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 issued in the G.O.Ms.No.141, Revenue (Commercial Taxes-II) Department, dated 15-5-2020 (Notification No. 13/2020-Central Tax, dated 21st March, 2020) treating them as Business to Business (B2B) supplies, Notification issued in the G.O.Ms.No.142, Revenue (Commercial Taxes-II) Department, dated 15-5-2020 (Notification No. 14/2020-Central Tax, dated 21st March, 2020) will not be applicable to them.
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.
3. The field officers are requested to give wide publicity to the contents of this circular.
4. Difficulty, if any, in the implementation of the above instructions may please be brought to the notice of the Chief Commissioner
Peeyush Kumar
Commissioner