Clarification on issue pertaining to e-invoice. - GST - States - GST Circular No. 10/2023

GOVERNMENT OF RAJASTHAN COMMERCIAL TAXES DEPARTMENT Circular No. GST-10/2023, dated July 28, 2023. 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 the Rajasthan Goods and Services Tax Rules, 2017 (hereinafter referred to as RGST 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 Rajasthan Goods and Services Tax Act, 2017 (hereinafter referred to as RGST Act ). 2. In order to clarify the issue and to ensure uniformity in the implementation of the provisions of law across the field formations, in exercise of powers conferred by section 168 of the RGST Act, the issue is clarified 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 RGST 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/SGST Act, are liable for compulsory registration in accordance with section 24(vi) of the RGST 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 RGST Act, are to be treated as registered persons under the GST law as per provisions of clause (94) of section 2 of the RGST 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 RGST Rules. Chief Commissioner, State Tax.