GST and E-Challans?
Electronic challans: A new landmark for GST
From July onwards, people across class, caste, background would need to use their mobile phones to generate an electronic challan- an electronic way bill- to move a high-end TV or fridge from a warehouse to a store, according to ‘The Times of India,’ report. For any consumer durable product sale, for value exceeding Rs 50, 000, a challan has to be generated, say tax experts.
This comes as a sudden change to businesses, long used to ad-hoc functioning, as moving a flagship Apple or Samsung phone would also require an electronic bill, according to TOI report.
Meghnad Mitra, CFO of Mother Dairy said that there could be practical issues like connectivity, when our trucks go to source milk or fruits or vegetables from farmers.
Courier companies would also find this as a challenge as an e-bill would need to be generated whenever goods exceeding the threshold value are collected and moved from an office to their godown. Another challan would be needed when the goods are loaded in an aircraft or truck. The process will be repeated on arrival in the destination city.
The government is also reviewing the norms and various options on the table, including restricting e-way bills initially to evasion-prone sectors or raising the threshold value above Rs 50,000, officials told TOI.
Source: The Times of India.