CBIC extends penalty waiver on dynamic QR Code implementation till June 30, 2021

Economy


The Central Board of Indirect Taxes and Customs (CBIC) has extended waiver of penalty on non-implementation of dynamic quick response code which is mandatory for companies over Rs 500 crore turnover, till June 30, 2021.

According to a notification issued Tuesday, the Board said that the three-month waiver will be applicable subject to the condition that compliance will be necessarily undertaken from July 1, 2021.

Government had waived the penalty for non-compliance back in November 2020, for the period between December 1, 2020 and March 31, 2021, while settling compliance date to April 1, 2021.

Loading...

Experts said the extension was much-warranted and in response to demands made by industry to the government.

“This extension is a welcome relief and would provide the much need time to the industry to be ready and compliant with this new requirement,” said Abhishek Jain, tax partner at EY.

He added that some of the clarifications on issues around B2C QR code were released by the government only a few weeks back leaving very limited time for the industry to implement the requisite changes in their

.

Industry had sought for a three month delay in implementation of dynamic quick response (QR) code on electronic invoices from business to consumer transactions, citing lack of clarity in law and inadequate preparedness at the ground level on its own end.

QR code for B2C transactions is meant to encourage digital payments by the buyers but can potentially be used to check tax leakages as well. It would have an impact on all consumer facing businesses including retail, restaurants, hotels and so on.

Last month, the Board had exempted nonbanking financial companies, insurance companies, banks and financial institutions, and exports from using dynamic quick response or QR codes on e- invoices issued to consumers. Exports have been exempted from the QR code requirement since such shipments are treated as business-to-business supplies.



Source link

Articles You May Like

From Gucci bags to Google stock — here’s what you could do with stimulus check
Godzilla vs. Kong tops $60 million, the best pandemic box office haul
Nike suspends endorsement of Deshaun Watson over sex misconduct allegations
Futures rise slightly after S&P 500 hits fresh record
Taxpayers have one month left to file 2020 returns. What to know

Leave a Reply

Your email address will not be published. Required fields are marked *

Loading...