VKCA GST NEWSLETTER – JANUARY 2020
India is all set to introduce E-invoicing for B2B transactions from 1st April 2020. This is a revolutionary change being brought in to ensure the smooth flow of ITC from one supply
chain to another and also maintain vigilance by the authorities on mis-use of ITC. E-invoicing is not a new concept and is already adopted in many countries and quite
efficiently as well. Countries such as Hong Kong & Taiwan have a strong E-invoicing base with fully digital methods being implemented since 2000. Whereas nations like Japan,
USA and Korea have a system on E-invoicing that is similar to what India has planned from April 2020; mostly restricted to large corporations. China, on the other hand, is yet to
bring in any sort of E-invoicing and only follows digitisation of certain documents for sharing and transmissions. Hence, India will be the largest nation among the existing lot to
bring in E-invoicing and hopefully ensure a smooth and reliable process for this.