The federal government on Sunday mentioned that it’s suspending the requirement to generate after which use QR code for all enterprise to buyer (B2C) transactions. Corporations would now be required to be ready with the QR code compliance by March finish subsequent 12 months.
Abhishek Jain, Tax Accomplice, EY mentioned, “The Central authorities has offered the a lot required rest for the companies by waiving the penalty for non-compliance with QR code requirement until March 2021 for B2C transactions. As lots of the trade gamers weren’t prepared, this waiver would give the requisite time for the trade to be prepared for this compliance.”
Many trade associations had reached out to the federal government and mentioned that a number of corporations should not but prepared for this and it might trigger large disruptions. Associations had mentioned that mid scale corporations’ ERP methods weren’t prepared and this might result in large disruptions of their working capital. As per a number of estimates this might have led to at the least RS 20,000 crore of working capital getting caught.
The federal government’s reduction would imply that corporations would get further time to replace their ERP methods to the QR code necessities.
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