Under the new guidelines, the registered multiplexes will now be required to issue electronic tax invoices, and the electronic tickets that are given to customers will be considered tax invoice.
In the first GST Council meet after Narendra Modi got his second term, the Nirmala Sithraman-led council has announced mandatory e-ticketing for multiplexes in order to reduce tax evasion. With this, the coloured tickets that few cinema halls were still using will be discontinued. Under the new guidelines, the registered multiplexes will now be required to issue electronic tax invoices, and the electronic tickets that are given to customers will be considered tax invoice.
“E-invoicing is a rapidly expanding technology which would help taxpayers in backward integration and automation of tax relevant processes. It would also help tax authorities in combating the menace of tax evasion” the official statement from the Ministry of Finance said. Speaking about the council’s decision to introduce electronic invoicing for B2B transactions as well, it also said that the phase 1 for e-invoicing rules is voluntary and the roll-out is expected from January 2020.
Commenting upon the government’s new plan on e-invoice system, Chandrajit Banerjee, Director General, CII, said that the integration with e-way bill system shall greatly add to ease in logistics and reduce transaction cost. Further, it will also increase efficiency in paying taxes and boost the formal economy,” he added.
Among other changes announced in the 35th GST council meet, the government has introduced GST filing system. Under this, a single point GST return form for all will be rolled out by January 2020. The government has also extended the tenure of the National Anti-profiteering Authority (NAA) by 2 years to November 2021.
A plan has also been made to reduce tax rates on electric vehicles and chargers. The GST Council has moved a proposal to the fitment committee. “On issues relating to GST concessions on electric vehicle, charger and hiring of electric vehicle, the Council recommended that the issue be examined in detail by the Fitment Committee and brought before the Council in the next meeting,” the statement said.