The Central Board of Indirect Taxes and Customs (CBIC) on July 17, 2023, issued Clarification on the issue pertaining to e-invoice.
The following has been stated namely: -
• The Government Departments or establishments/Government agencies/local authorities/PSUs, which are required to deduct tax at source are liable for compulsory registration.
• The Government Departments or establishments/Government agencies/local authorities/PSUs, registered solely for the purpose of deduction of tax at source are to be treated as registered persons under the GST law.
• The registered person, whose turnover exceeds the prescribed threshold for the 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.
[Circular No. 198/10/2023-GST]
