Carrying of Physical Copy of Invoice is mandatory -soft copy is not valid – Rule 138A of the CGST Rules 2017

The question involved in this particular case was whether an invoice in physical form should accompany a consignment of goods being transported. The petitioner was penalised for not carrying the invoice in physical form, although e-way bill was accompanying the consignment. The petitioner’s contention was that Rule 138A(1a) does not provide for the production of invoice in physical form and that it would suffice if the person in charge of the conveyance carries the invoice in electronic or digital form. The petitioner further contended that Rule 138A(1b) specifically used the words “physical form” only in the context of e-way bill and therefore, only the e-way bill has to be carried along with the consignment in physical form.

The Honourable Court observed that the expression used in the heading of Rule 138A is clear that “documents and devices to be carried by a person in charge of the conveyance”, included under sub-Rule(1)(a), the invoice. It also observed that “It is trite that the provision in a taxing statute has to be construed strictly and no benevolent interpretation is available while construing taxing statute. When the said provision specifically provided for that documents and devices to be carried by the person-in-charge of a conveyance including the invoice, this clearly means that the invoice has to be carried in physical form and if required shall be produced in its physical form.” The Honourable Court provided an opportunity to the petitioner to produce the physical invoice before the authorities and directed the authorities to adjudicate the matter after considering the invoice so produced. The above judgement lays down in unambiguous terms that an invoice in physical form should mandatorily accompany a consignment of goods being transported. 

However it may be noted that in the case of an e-invoice, it would suffice if the QR code having the invoice reference number is produced electronically for verification by the proper officer. Attention is invited to Rule 138(2), which provides as follows :- “In case, invoice is issued in the manner prescribed under sub-rule(4) of rule 48, the Quick Response(QR)code having an embedded Invoice Reference Number(IRN) in it, may be produced electronically, for verification by the proper officer in lieu of the physical copy of such tax invoice”.

( LLM, MBA, (UK), PhD, AIMA, AFAI, PHD Chamber, ICTC, PCI, FCC, DFC, PPL, MNP, BNI, ICJ (UK), WP, (UK), MLE, Harvard Square, London, CT, Blair Singer Institute, (USA), Dip. in International Crime, Leiden University, the Netherlands )


Delhi, Mumbai & Dubai
Tel: M- 91- 9818320572. Email: editor.kumar@gmail.com

Website:
www.supremelawnews.com
www.ajaykr.com, www.4Csupremelawint.com

Facebook: /4Clawfirm, /legalajay Linkedin: /ajaykumarpandey1 Twitter: /editorkumar / YouTube: c/4cSupremeLaw Insta: /editor.kumarg
Telegram Channel
Whatsup Channel