IRN if required for GTA registered person charging 12% GST

[BipadBhanjan dixit]

Dear Expert,

Please advise the following query.

A person registered under GTA under the GST Act, 2017 and wants to issue invoice without IRN to customer charging GST @12% under FCM (forward charge basis) and his turnover exceeds Rs.5 Cr. for previous year 2023-24. Whether, he should issue e-invoice( IRN invoice) under rule 48(4) of the CGST Rules,2017. If not, the recipient can avail the GST paid without IRN invoice from GTA supplier for taking ITC as per laws?

[Raam Srinivasan Swaminathan Kalpathi]

GTAs are exempted from issuing e-invoices in terms of Rule 48(4). 

Thanks

[BipadBhanjan dixit]

Can the department claim that this exclusion is for RCM category, not for charging on FCM. The intention of the legislation to exclude them where they not liable to pay GST . Please explain sir.

[KASTURI SETHI]

Dear Querist,

Answer to your query is NO. The reply given by the expert at serial no.1 is correct. GTAs are exempted from issuing e-invoice as a whole. Peruse Notification No. 13/20-CT dated 21.3.20 as amended (up to 10.05.23) and Board's Circular No. 186/18/22-GST dated 27.12.2022 (serial no.3) conjointly.

AI Summary

GTA e invoice exemption allows suppliers to issue non IRN invoices and recipients to claim input tax credit.
Goods transport agencies are exempt from the e invoicing (IRN) requirement under the e invoicing rules; this exemption applies irrespective of whether the GTA charges GST on a forward charge basis, and is supported by applicable notifications and administrative circulars, permitting GTA suppliers to issue non IRN invoices while recipients may claim input tax credit consistent with GST law.