March
2021
Chief Editor
Vaishali Dedhia
March – the month full of
festivals is over and here
begins April. It marks the
beginning of the new financial
year. The summer heat is all
set to rise and businesses are
gearing up to start afresh by
winding up their old records.
On the GST front, there have
been a few new updates and
changes that businesses have
to look out for. We have
covered all the major details
for your reference in this
Newsletter.
In this issue, we’ll be covering
GST Rule Changes
Applicable from April 1, 202;
An article on all about GST
Data + Factors to be
considered for building credit
models using GST Data
And, we also share article
about 2B or not 2B, 10
Checkpoints for ITC Claim.
Here, we also our feature
highlight of the month -
IRIS Credixo- Data based
lending solution
Lastly, we share the link to our
compliance calendar for April
2021 to help you stay
compliant along with the Top
GST News of the month.
Regards,
Team IRIS GST
IRIS GST TIMES
GST Rule Changes Applicable from April 1, 2021
GST is a dynamic law. It has gone through
several changes, alterations, and additions ever
since its inception. It is a transformational change
in the area of indirect taxation which has an
overarching impact on the economy and all the
businesses, irrespective of their size, turnover
and operations. We as taxpayers, business
owners, and tax consultants must be up-to-date
with all the latest GST rule changes in order to
make wise decisions for ourselves and our
businesses.
Here is a list of GST rule changes that will be
applicable from 1st April 2021
1. E-invoicing Mandate for 50 Cr.+ Turnover
Companies: As per GST Notification 05/2021, e-
invoicing is mandatory from 1st April 2021 for
entities whose aggregate turnover exceeds Rs.
50 crore in any of the preceding financial years
from 2017-18. Earlier, the e-invoicing mandate
was made applicable to Rs. 500 crore+ turnover
companies in October 2020 and later it was also
made mandatory for Rs. 100 crore+ turnover
companies from January 1, 2021.
Now, the government is also trying to bring in the
smaller companies under the mandate
considering the benefits of e-invoicing for
MSMEs. The integration of E-invoicing system
with the other existing regulatory systems viz. the
GSTN and E-way Bill, overall the businesses will
stand to benefit and the compliances should
become an end-result of streamlined business
processes.
This Issue
GST Rule Changes Applicable from April 1 - Pg. 1
Story Beyond Compliance – All About GST Data
Factors to be considered while building credit
models using GST Data – Pg. 2
IRIS Credixo – Feature Highlight – Pg. 3
GST Compliance Calendar – April 2021;
Top GST News of the Month – Pg 4
2. HSN Code Mandatory: As per GST
Notification 90/2020, taxpayers need to
include the 8 digit HSN Code for specified
products in their Tax Invoice. Earlier, the 8
digit HSN code was mandatory to be
included in GST Invoice only for taxpayers
with turnover above RS. 5 crore. However, as
per the above-mentioned notification, the 8
digit HSN code is mandatory for all tax
invoices (specified products) irrespective of
the turnover. Notification 90/2020 amends
Notification 12/2017 and correspondingly
Notification 78/2020.
3. HSN Code in GSTR 1: From 1st April
onwards, it will become mandatory to report
minimum 4 digit or 6 digits of HSN Code in
Table-12 of GSTR-1 and in Tax Invoice.
From 1st April, 2021 the taxpayers need to
provide HSN plus rate-wise taxable value
and tax amounts in Table-12 of GSTR-1. All
the tax invoices should consist of proper HSN
Digits, detailed explanation of the products
and correct tax rates for better transparency
and to escape future litigations. Under
section 125 of GST there is a fine for any
mistakes related to GSTR-1. The no. of HSN
Code to be reported will be on the basis of
Aggregate Turnover on PAN in the preceding
fiscal year. For companies with turnover Rs.
5 crore and above 6 digit HSN is mandatory
while those below 5 cr need to have 4 digit
HSN code.
Read all the changes here: GST Rule
Changes Applicable from April 2021
E-invoicing for 50 CR. Club
from April 1, 2021
The E-invoicing mandate is made
applicable to all the companies
having more than Rs. 50 Cr.
turnover from 1st April, 2021
onwards. An invoice will be
considered as a valid invoice for
companies falling under the
mandate only if it has IRN(Invoice
Registration Number) on it. A
summary of all the e-invoicing
notifications released till date is as
below:
08 March 2021: From 1st April
2021, entities having turnover
above Rs. 50 Cr. are required to
generate E-Invoice as per GST
Notification 05/2021-Central Tax,
dt. 08-03-2021. The sandbox
testing for e-invoice portal was
enabled for companies with
turnover above Rs. 50 CR – Rs
100 Cr.
1st Jan 2021: E-Invoicing
becomes mandatory for
companies with Rs. 100 Cr and
above turnover.
29 November 2020: Penalty for
non compliance with QR Code on
B2C transactions waived from 1st
December 2021 till 31st March
2021 provided compliance with
the said provision is adhered from
1st April 2021 – GST notification
89/2020-Central Tax,dt. 29-11-
2020
10th Nov 2020: E-invoicing is
mandatory for taxpayers having
aggregate turnover above Rs. 100
Cr from 01st Jan 2021 | GST
Notification 88/2020-Central Tax,
dt.10-11-2020
2nd November 2020: E-Invoicing
enabled on Sandbox environment
for companies having turnover Rs
100 Cr and above.
1 October 2020: E-invoicing went
LIVE for companies with Rs. 500
CR and above turnover.
However, CBIC released another
notification which gave some
leverage to companies having
teething issues. As per the
notification, 30 days of time period
was allowed to generate IRN for
any invoice prepared between
01.10.2020 to 31.10.2020.
Read the full article here:
E-invoicing for 50 CR. Club
from April 1, 2021
1 GST Updates
The Story Beyond Compliance
– All about GST Data
For a diverse country like India, introducing
“One Tax” as a concept and as the law
governing the entire nation hasn’t been a
straight forward one.
Over the period, new compliances such as
e-way bill and now e-invoicing under GST
emerged. And every new compliance
requires the industry to evaluate the current
practices and upgrade their systems and
processes. Having seen businesses having
disparate and dated systems, heavily
customized, and home-grown solutions, and
not to forget the cost of overhauling; thus,
migrating to new systems is often easier
said than done.
Despite all the challenges faced by
Government to develop a nationwide law
and system, catering to taxpayers at various
levels of preparedness; and by taxpayers to
make their varied internal systems and
practices work in sync, GST compliance had
withstood the test of time.
Even if not 100% compliance, even if not
always timely, GST as a data source is
getting deeper, wider and richer.
• The length and breadth of GST Data
• Types of GST Data
• Publicly Available GST Data
• Proprietary i.e. GST Returns Data
• The Technology (API) effect
• Emerging Use Cases
• Some challenges to be addressed
• A bit of Crystal-gazing
Read the full article here: The story
‘beyond compliance’ – All about GST
Data
IRIS Credixo (Data based Lending solution)
stands at the intersection of Data and
Lending Experience.
Factors to consider while building
credit models using GST Data
Types of GST Data
Apart from the data filed in returns, which
could be aggregate or even at the invoice
level in certain taxpayers, select details of
taxpayers such as their address, nature of
operations etc. and their entire return filing
history for all the taxpayers is available for
public consumption. An overview of the
data available in GST system
Publicly Available GST Data
The publicly available i.e. without
taxpayers’ consent, a repository of GST
data itself is quite rich. For any GST
registered taxpayer, we can get basic
taxpayer details such as its legal name,
the constitution of business (whether
proprietor, firm, company etc.), main
location and additional locations from
where the business operates and the full
filing history of the taxpayers also is
available.
An important point to note is that with
GST, businesses had to opt for state-level
registration. Thus a business entity (say
having a PAN) could have more than one
GSTINs registered in different states or
even within the same state for different
business verticals. The pattern of GSTIN
has the PAN embedded and hence
identifying GSTINs belonging to a PAN is
no rocket science.
Read all about:
• Proprietary i.e. GST Returns
Data
• The Technology (API) effect
• Emerging Use Cases
• Some challenges to be
addressed
• A bit of Crystal-gazing
Here: The story ‘beyond compliance’ –
All about GST Data
2B or Not to 2B: 10 Check HIGHLIGHT
points to Maximize your ITC
Claim

In Aug 2020, a new auto-drafted IRIS Credixo – GST Data-based Lending

statement GSTR 2B was
introduced with the objective of
making ITC claim and
computation easier.

GSTR 2B or GSTR 2A or
Purchase Register: The Trinity
of ITC Computation

ITC or Input Tax Credit is an

important phenomenon for
business as it gets set-off against
the tax liability. The more ITC GST as a data source has become deeper, wider and richer. Due to its real-time availability,
claim you have, the less cash authenticity and granularity, GST data is no longer considered as an alternate data source, but
you need to pay to settle your tax the main source for credit decision making and lending. GST Data is a reliable data source
liability. Traditionally, ITC was that we can bank upon.
computed on the basis of
purchase register. However, Harnessing the benefits of GST data, IRIS Credixo, stands at the intersection of Data and
same has changed ever since
Lending Experience. It allows lenders to grow volumes, stand out from the competition and
GST has been introduced.
gather meaningful customer data to provide seamless “lending in the box” credit experience
and design tailored customer journeys.
1. Role of GSTR 2A

2. Role of GSTR 2B
3. Role of Purchase Register
Checklist to maximize ITC
claim:
Credixo offers a set of APIs covering publicly available GST data and consent based data
filed in GST returns. Additionally pre-processed data sets, reports and insights are also
available as enhanced data APIs which can quickly plug into any system. Banks, lending
institutions and fin-techs can integrate these APIs in their credit models and provide faster and
seamless lending experience to the MSMEs.

1. Check if the invoice is Why IRIS Credixo?

Valid
Credixo allows technology-driven credit scoring. The assessment models are driven by a
2. Check if the QR Code
is Valid massive volume of data from various disparate sources, compiled and analysed extensively
3. Check if the Invoice with the help of algorithms to derive useful insights. The resulting credit score is then used by
appears in your GSTR lenders to take decisions pertaining to the financing of loans such as assigning interest rates,
2A quantum of loans, deciding on repayment terms, timelines, etc.
4. Check if the invoice
also appears in GSTR • Arrests increase in NPAs
2B • Creates robust credit appraisal process
5. Check if you are
• Monitors cash flows
following up for
missing invoices • Measures borrower’s business
6. Check whether ITC is • Enhances ability to give loans
eligible • Allows access to their suppliers
7. Check whether you
can claim ITC Click Here To Know More
8. Check if provisional
ITC is within limits
What more can you do with IRIS Credixo?
9. Check if ITC has
already been claimed
10. Check if vendor
payment is done after
6 months

Read the full article here!

 7 Benefits of e-invoicing in UPDATES –––––––
a post-pandemic world!

With where
right the unfortunate
the worldadvent
is! of
COVID-19, countries worldwide
Subscribe toneed
have felt the WhatsApp
and Communication! Click here
April 2021 - GST Compliance Calendar
importance of paperless Let us look at the GST Compliance Calendar for April 2021. Here is a comprehensive image of
Please note, if you are checking this in your web browser from laptop /desktop, you need to be active on WhatsApp Web. The link
transactions- and India is no our GST Compliance Calendar for the upcoming month. It has all the GST Compliance Due-
would open in WhatsApp Web and you can complete the opt-in process.
exception. It was fairly dates for April 2021 so that you never miss a due-date!
understood that going digital is
If you face any issues while subscribing, do reach out to us at support@irisgst.com
the way to fast-track growth and Read the full blog to get a detailed info here: GST Compliance Calendar April 2021
invite success. And thus there
couldn’t have been any other
opportune time than this for the
introduction of the e-invoice
mandate.

Let us discuss the benefits of

e-invoicing in this post COVID
world.

1. Reduce Tax Leakage and

Fraud
2. Save Time and Money
3. Benefits to MSMEs
4. Benefits to the Taxpayers
5. E-way Bill and E-
invoicing
6. GST Data Based Lending
7. Reduced Human Error
and Enhanced
Transparency

Read the full article here:

7 Benefits of e-invoicing in a
post-pandemic world!

CONTACT US

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Top GST News of the month

GST laws are constantly being upgraded lately with new notifications and circulars.

New GST Rule Changes will be implemented from April 1, 2020. There have been a few
changes in the compliance arena too. We have compiled all the top GST news updates of
March 2021 here for your reference.

To read the same, click here: Top GST News of the month

Disclaimer: IRIS Business Services has taken due care and caution in compilation of data. Information has been obtained by IRIS from sources which it considers
reliable. However, IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the
results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information
provided.