GST Rule Change: A major change has been made in the rules related to Goods and Services Tax (GST). Its biggest impact will be on small businessmen doing business from one state to another. The new rules will become mandatory from March 1.
The Central Government has made major changes in the compliance rules related to GST. The new rules will affect small businessmen, especially those who do business from one state to another. The new rules are going to be mandatory from March 1.
According to the new rules of GST, businessmen whose turnover will be Rs 5 crore or more. Now he will not be able to issue e-way bill without giving e-challan. This will be applicable on all types of their business transactions from March 1. Under the GST tax system, when goods worth more than Rs 50,000 are sent from one state to another, it is necessary to maintain an e-way bill.
That’s why the rules were changed
The Central Government’s National Information Center (NIC) in one of its analysis found that many businessmen are transacting with B2B and B2E taxpayers through e-way bills without linking them with e-invoices. Whereas all these taxpayers are eligible for e-challan. Due to this, in some cases the different information recorded in e-way bill and e-challan is not matching with the standard. Due to this, there is no matching between e-way bill and e-challan statement.
Keeping this in mind, GST taxpayers have been asked not to generate e-way bill without e-challan statement from March 1, 2024. This means that now these businessmen will have to prepare e-challan statement to generate e-way bill. However, it has also been made clear that for other transactions with customers or non-suppliers, the e-way bill will work as before.
The Modi government at the Center has implemented the GST system in the country from July 1, 2017. This system was introduced to consolidate all types of indirect taxes in the country at one place. This made it easier to do business in the country because it changed the different tax systems of different states. To create consensus in GST, the government has also formed a GST Council, whose chairman will be the Finance Minister of the country. On behalf of the states, their finance ministers or their representatives will be part of this council. This is the highest body in the country to take all decisions related to GST.
