The Central Board of Indirect Tax and Customs (CBIC) had issued a notification on 23rd March 2020, about Aadhaar authentication for GST registration from 1st April 2020. The same was later amended vide notification 62/2020 dated 20th August 2020 to be made optional. The aadhaar authentication for GST registration is not required for non-residents, persons other than citizens of India and persons who have already been registered under GST.Latest Updates12th February 2025The GSTN issued an advisory clarifying the steps an applicant has to opt while applying for  GST Registration which has been updated with new requirements for Aadhaar and biometric authentication.It is pertinent to note that the changes in the registration process was brought into effect by amending the Rule 8 of the CGST Rules, 2017. Here’s what applicants need to know:Applicants not opting for Aadhaar AuthenticationYou  must visit a designated GST Suvidha Kendra (GSK) for photo capturing and document verification.After selecting "NO" for Aadhaar authentication, you will receive an email with GSK details and required documents.You can then schedule an appointment via the link in the email and visit the GSK at the allotted time.Applicants opting for Aadhaar Authentication with Biometric Verification Required):Promoters/Partners need to visit the GSK for biometric authentication and photo capturing. followed by the Primary Authorized Signatory (PAS). If the biometric verification of the promoter/partner is already done in any State/UT for a previous GST registration, they won’t need to repeat the process—unless they are the PAS for the new registration.The Primary Authorized Signatory (PAS) must carry the required documents and undergo biometric authentication. If the biometric verification was already done earlier, then only document verification at the GSK is needed. If the same individual is both the Promoter/Partner and PAS, they must visit the GSK for photo capture, biometric authentication, and document verification.

Suo moto cancellation of GST registration means cancellation of registration under GST laws by a tax officer on his own motion. However, the provisions of Section 29(2) of the CGST Act mandate that the officer provides his reasons for initiating such suo moto cancellation of registration.Conditions to be Satisfied for Suo Moto Cancellation of GST RegistrationSuo moto cancellation by the tax officer can be initiated if any one of the following conditions is satisfied:The taxpayer has violated the provisions of the CGST Act or the rules made thereunder. The taxpayer has registered their business through fraud, suppression or misrepresentation of facts.The taxpayer has taken voluntary registration under the GST law and not commenced business within six months from the date of registration. The taxpayer has failed to apply for GST enrolment within 90 days from the appointed date or any such extended date as may be prescribed.The taxpayer does not conduct any business from the declared place of business.The taxpayer has failed to file returns for six months consecutively, or for two quarters in the case of quarterly filers. The criteria for filing returns is three months in the case of a composition taxpayer.The taxpayer has indulged in supplying goods or services without the issue of an invoice in violation of the provisions of the CGST Act to evade taxes. It is observed that the taxpayer has issued an invoice without a supply of goods or services, thereby again violating the provisions of the Act to evade input tax credit or get a refund of tax.Failure to deposit taxes collected with the treasury within 90 days.Failure on the taxpayer’s part to pay taxes, interest or penalty to the government within 90 days.Display of misconduct during any proceedings under the GST Act.It is observed that a person is not liable or has ceased to become liable for deduction or collection of taxes under GST laws.The taxpayer is no longer required to be registered under provisions of GST Law.If the business constitution is a sole proprietorship, upon the death of the sole proprietor.In the event of amalgamation, transfer, merger, demerger and the like of a business.If there is a change in the constitution that leads to a change in PAN.In the event of discontinuation of closure of business.In the event the taxpayer violates the provisions of Section 171 of the CGST Act or the rules made thereunder i.e. violate the anti-profiteering measures in place.In the event the taxpayer violates the provision of Rule 10A of the CGST Rules i.e. if the taxpayer furnishes incorrect or false bank account details.In the event the taxpayer avails input tax credit in violation of the provisions of Section 16 of the CGST Act or the rules made thereunder.In the event the taxpayer furnishes details of outward supplies in their GSTR-1 which is higher than the details of outward supplies reported in their GSTR-3B.If the taxpayer violates the provision of Rule 86B of the CGST Rules i.e.

A standard practice in the industry is for goods to be sold to one person but delivered to a different location. The delivery address would differ from the buyer's registered office address in that case. This type of translation falls under the "bill-to-ship-to" of GST.This difference in 'Bill To' and 'Ship To' addresses must be addressed carefully when issuing an invoice and generating an E-way bill.Delivery at a different placeThere are certain circumstances under which the goods being transferred are sent to a location other than the location of the purchaser (registered address). Below are some examples of peculiar circumstances where a buyer may ask for delivery at a different location or to a third party:Buyer requires delivery at one of his warehouses, which is at a location other than his registered office.Buyer (trading business) requires delivery of goods directly to one of his customer's (third party) locations.The buyer requires delivery of goods to a specially designed storage facility (e.g., cold storage, customs warehouse).Buyer requires delivery of goods to an institutional customer to whom he has already sold the goods further who is at a different location.Buyer's customer is a retail chain that requires the delivery of goods to various outlets. Under all the above-stated circumstances, the 'Bill to' and 'Ship to' addresses as in the GST invoice shall differ. The customer buying the goods has his billing address at his registered office address.

GST audits are necessary at times to maintain a check and examine whether the correct GST is being paid and refund claimed, especially for certain categories of taxpayers. In this article, we will learn what is a GST audit and the various types of GST audits.Introduction to GST AuditAudit under GST is the process of examination of records, returns and other documents maintained by a taxable person. The purpose is to verify the correctness of turnover declared, taxes paid, refund claimed and input tax credit availed, and to assess the compliance with the provisions of GST.Types of GST AuditsGST audits can be of different types as listed below:Statutory Audit under Section 35(5) - Removed w.e.f. 1st August 2021.Audit by Tax Authorities under Section 65Special Audit under Section 66Statutory Audit under Section 35(5) - Removed w.e.f. 1st August 2021*Every GST registered taxable person whose turnover during a financial year exceeds the prescribed limit of Rs.2 crore was subjected to a statutory audit under Section 35(5) of the Central Goods and Services Tax (CGST) Act*.

Recurring invoices have become very popular in modern business times because they can automatically charge customers at regular intervals.Meaning of recurring invoicesA recurring invoice is sent to the customer at regular time intervals. They are normally sent every month. Under this invoicing method, the supplier first gets permission from the customer to regularly charge a regular amount until an agreed date for the ongoing service agreement. This method of invoicing is common with online software businesses, cable companies, gym or magazine subscriptions.Benefits of raising recurring invoicesRecurring invoices are very convenient as the supplier is not required to wait for the customer or ask for payment details. Also, the customer is not required to send manual payments repeatedly.

A timesheet invoice is an invoice type used to charge clients for a particular task or a project. It is a precise billing method used by specific industries.Meaning of timesheet invoice and usesA timesheet invoice is one where a business uses its employees working hours on a particular project to charge its customers. Timesheet invoice is used by businesses that provide services to their customers based on billable hours charged. It helps to improve its employee productivity and retention. Timesheet invoicing helps the organisation to manage its greatest asset, which is its employees.

The scenarios when a credit period can be given in an invoice heavily depend on certain factors that influence business decisions. A credit period or trade credit in the invoice is the time given to the customer to make the payment for the goods or services purchased.Industry-standardMost industrial sectors have commonly accepted practices of allowing for a deferred payment of goods or services provided. The actual number of days permitted for a particular credit period may differ from industry to industry, depending upon the average working capital cycle prevalent in that industry. CompetitionBy offering your business partners and customers the facility of a credit period, you are attracting them toward conducting business with you frequently. Since competition is high, there is always a chance that you may lose customers. Facilities such as a credit period lay the foundation for a long-standing relationship and encourage them to stay loyal to you. Products, volume and frequencyFor regular customers who order in bulk, it has become a standard practice to give them a bit of relaxation when it comes to payments.

The digitisation of various business processes has helped in the smooth flow of operations consistently. Businesses today tend to opt for software that is customised to suit their business needs. Invoicing software, especially, has to have features that are tailored accordingly.List of Billing Software FeaturesGenerally, billing software is a business application that handles time and billing tracking and invoicing of services and products. Billing software is easy to use and comes with a variety of features that contribute to smooth operations. The features vary from vendor to vendor, but here are some common ones-Ability to create mastersMaintaining a master list of products, services, buyers or customers’ contact and address details, GSTINs, purchase orders, etc., is an extremely important feature of billing software.

Small businesses often have a high number of cash transactions daily. Any transaction which involves the immediate outflow of cash towards the purchase of assets, goods, or services can be considered a cash transaction.Meaning of cash invoice and when to raise it?Cash invoices are particularly common among small business owners. Invoices are a record of a sale transaction that has taken place, and where the payment method is cash, a cash invoice is issued. When it comes to credit sales, a collection receipt will also be issued when payment is received. But for cash sales, the cash invoice is sufficient.Format and Contents of Cash InvoiceThe common contents of a cash invoice include-Name and address of the businessDetails of the customerInvoice numberDate of issue of the invoiceNature of payment (for any goods or services availed)Amount paidSignature of the authorised buyer makes the payment personHow to record cash invoicesThe buyer receives a cash invoice from the businessperson for the sale of goods made to him.On the receipt, the buyer records the transaction by crediting the accounts payable account and debiting the asset or expense account for the same.

Businesses use debit notes and credit notes as official documents for accounting sale return and purchase return transactions. These notes inform the buyer how much credit they have or how much further they owe to the vendor.Debit note vs credit note becomes important to understand where business frequently deals with both scenarios. The understanding of terms could also vary from the perspective of the seller and buyer. But the following comparison is made in common business parlance.Below is a comparative table of debit notes vs credit notes:ParticularsDebit noteCredit noteWho issues it?The buyer of goods issues it.The seller of goods issues it.MeaningThe buyer of goods issues a debit note to the seller to return the goods received due to quality issues or other reasons. A debit note contains the reason for the return of goods.The seller of goods issues a credit note to confirm that the purchase return is accepted.Can be issuedIt can be issued only in the event of credit purchases from the buyer's perspective.It can be issued only in the event of credit sales.ImpactIt reduces account receivables in the books of sellers.It reduces account payables in the books of the buyer.ReflectsA debit note reflects a positive amount.A credit note reflects a negative amount.FormIt is another form of purchase return.It is another form of sales return.AccountingIt leads to updating purchase return books.It leads to updating of sales return books.EntrySupplier Account Dr.Purchase return Cr.Sales return account Dr.Customer Account Cr.Issued in exchange ofA debit note is issued in exchange for a credit note.A credit note is issued in exchange for a debit note.Issued by a seller to the buyerThe seller issues debit notes to the buyer if the buyer is undercharged or the seller has sent additional goods.The buyer issues a credit note as an acknowledgement of a debit note received.InkIt is issued in blue ink.It is issued in red ink..