GST Compliance & Returns

E-invoicing under Rule 48(4): B2B invoices, debit/credit notes, and export invoices must be generated on the Invoice Registration Portal (IRP) to obtain an IRN (Invoice Reference Number). Mandatory for taxpayers with aggregate turnover > ₹5 crore (from 1 August 2023). The QR code and IRN appear on the invoice; e-invoices auto-populate GSTR-1. Non-compliant invoices are not valid tax invoices — ITC on them can be denied to the recipient.

E-way bill under Rule 138: required for movement of goods with value > ₹50,000 by road, rail, air, or vessel. Generated before movement begins on the e-way bill portal. Validity: 1 day per 100 km (minimum 1 day, extendable). Penalty for movement without e-way bill: ₹10,000 or tax due, whichever is higher (Section 129). Not required for exempt goods, goods transported by hand, and certain intra-state supplies below state threshold.

Reverse Charge Mechanism under Section 9(3): specified goods and services where tax is payable by the recipient, not the supplier. Current categories: GTA services (5%), advocate services to business, import of services. RCM liability must be paid in cash — the electronic credit ledger cannot be used for RCM payment. The tax paid under RCM is available as ITC in the same month (subject to Section 17(5) blocks).

GSTR-9C (CA-certified reconciliation) is required for aggregate annual turnover > ₹5 crore. Below ₹5 crore, GSTR-9C is optional. The department conducts its own audits independently under Section 65 (departmental audit) and Section 66 (special audit by CA nominated by the Commissioner). Departmental audit: minimum 15 working days notice, duration up to 3 months, covers last 5 years.

Import of services is treated as inter-state supply (IGST) — the Indian recipient pays IGST under RCM (Section 5(3) IGST Act). This applies even if the recipient is unregistered — mandatory registration under Section 24(iv). IGST paid is available as ITC for registered businesses. For OIDAR services (cloud SaaS, streaming) from foreign providers: the overseas supplier registers on the GST portal and pays IGST directly, or the Indian recipient pays under RCM.