Clarification on issue pertaining to e-invoice - GST - States - 198/10/2023-GST

CIRCULAR By the Chief Commissioner of State Tax Gujarat State, Ahmedabad Circular No. 198/10/2023-GST Dated the August 08, 2023. No. GSL/GST/S. 168/B. 136 Subject : Clarification on issue pertaining to e-invoice. Representations have been received seeking clarification with respect to applicability of e-invoice under rule 48(4) of Gujarat Goods and Services Tax Rules, 2017 (hereinafter referred to as the GGST Rules ) w. r. t supplies made by a registered person, whose turnover exceeds the prescribed threshold for generation of e-invoicing, to Government Departments or establishments/Government agencies/local authorities/PSUs registered solely for the purpose of deduction of tax at source as per provisions of section 51 of the Gujarat Goods and Services Tax Act, 2017 (hereinafter referred to as the GGST Act ). 2. In order to clarify the issue and to ensure uniformity in the implementation of the provisions of law across the field formations, the Chief Commissioner of State tax, in exercise of the powers conferred by section 168 of the GGST Act, hereby clarifies the issue as under : Sl. No. Issue Clarification 1. Whether e-invoicing is applicable for supplies made by a registered person, whose turnover exceeds the prescribed threshold for generation of e-invoicing, to Government Departments or establishments/Government agencies/local authorities/PSUs which are registered solely for the purpose of deduction of tax at source as per provisions of section 51 of the GGST Act ? Government Departments or establishments/Government agencies/local authorities/PSUs, which are required to deduct tax at source as per provisions of section 51 of the CGST/GGST Act, are liable for compulsory registration in accordance with section 24(vi) of the GGST Act. Therefore, Government Departments or establishments/Government agencies/local authorities/PSUs, registered solely for the purpose of deduction of tax at source as per provisions of section 51 of the GGST Act, are to be treated as registered persons under the GST law as per provisions of clause (94) of section 2 of the GGST Act. Accordingly, the registered person, whose turnover exceeds the prescribed threshold for generation of e-invoicing, is required to issue e-invoices for the supplies made to such Government Departments or establishments/Government agencies/local authorities/PSUs, etc., under rule 48(4) of the GGST Rules. 3. Difficulty, if any, in implementation of this circular may please be brought to the notice of the Chief Commissioner of State tax. Chief Commissioner of State Tax, Gujarat.