Tuesday, Sep 27, 2022
×
Outlook.com
×

GST Council To Consider Making E-Way Bill Mandatory For Gold, Precious Stones

The council in its meeting on June 28-29 is likely to consider the report of the panel of state finance ministers on the feasibility of implementation of the e-way bill requirement for the movement of gold and precious stones

Source: Shutterstock
Source: Shutterstock

The GST Council is likely to consider making an e-way bill mandatory for intra-state movement of gold or precious stones worth Rs 2 lakh and above and also e-invoicing mandatory for certain B2B transactions.

The council in its meeting on June 28-29 is likely to consider the report of the panel of state finance ministers on the feasibility of implementation of the e-way bill requirement for the movement of gold and precious stones.

The panel suggested that e-invoicing should be made mandatory for B2B transactions by all taxpayers supplying gold/precious stones and having an annual aggregate turnover above Rs 20 crore.

Also, the GoM suggested that GST Network, in consultation with NIC, will work out the modalities and timelines for the implementation of e-invoicing for gold/precious stones.

The GoM suggested that states should be allowed to decide about the imposition of the requirement of an e- way bill for intra-state movement of gold and precious stones within their states.

"There will be a minimum threshold of Rs 2 Lakh, and the states can decide any amount including or above this amount as the minimum threshold for generations of e-way bill for intra-state movement of gold/precious stones in their state,” the GoM said in its report.

The panel also suggested an officers committee from both centre and states examine the levy of GST on a reverse charge mechanism (RCM) basis on purchase of old gold by registered dealers/jewelers from unregistered persons.

Currently, businesses with a turnover of over Rs 50 crore have to mandatorily generate e-invoices for B2B transactions. However, the condition does not apply to gold and precious stones. 

Advertisement
Advertisement
Advertisement