Ques: In a Matter, Business Turnover during FY 2022-23 was more tahn Rs. 5 Cr hence he started issuing e-invouce during FY 2023-24. Now During FY 2023-24 his turnover has reduced to Rs. 3 Crore. Now the question is whether he is still liable to issue the E-invoice ?? And what shall be the situation if his turnover gets continuously reducing in future years also. Upto which year he shall be required to issue e-invoice ?

Ans: E-invoice is applicable even if his turnover is less than 5cr in upcoming F.Y.’s.

Ques: The Lorry, which was used for business purposes, has been sold. The seller had availed the Input Tax Credit (ITC) on its purchase. It was purchased on 01.05.2019 for Rs.1,400,000, considering to sell for Rs.200,000, and the Written Down Value (WDV) in the books was Rs.300,000. What is the applicable GST rate , GST and taxable value of the above transaction? and also whether any ITC want to reverse?

Ans: So if the lorry is sold for 200000@28% GST one liability will be 56000/- and second one will be reversal of credit for unused period from 20 quarters of lorry life for GST. Let’s assume you sold in 2024 April then you use lorry for all 20 quarter, hence liability will be 56000/-

Ques: On the recommendations of 50th GST Council, Notification No. 3/2023 – Compensation Cess (Rate) dt. 26.07.2023 issued u(xlv) against S. No. 52B, in column (3), for the entry, the entry “Motor vehicles known as Utility Vehicles, by whatever name called including Sports Utility Vehicles (SUV),
Explanation: For the purpose of this entry, the Ground Clearance means ground clearance in unladen condition.” shall be substituted;
This notification shall come into force on 27th July 2023.
The GST dept., issued SCN demanding CESS @22% retrospectively w.e.f. 11-09-2017, under entry 52B by virtue of Notification No.05/2017- Compensation CESS (Rate) date 11-09-2017.
Therefore, I request the Experts to share any Supreme Court orders, wherein, we can find that any Clarifications, Amendments, Explanations of any previous Law whether Prospective or Retrospective in Nature?

Ans: Under GST law, Government is empowered to issue notification/amendment with retrospective effect however this should be expressly mentioned in the notification/amendment. NN 03/2023 clearly provides that its applicability w.e.f. 27.03.2023 therefore it shall apply from that date itself. You can refer SC judgment in the matter of  L.R. Brothers Indo Flora Ltd v. Commissioner of Central Excise, 2020 SCC OnLine SC 705, decided on 01.09.2020, where honourable Apex Court observed that:

“It is a settled proposition of law that all laws are deemed to apply prospectively unless either expressly specified to apply retrospectively or intended to have been done so by the legislature. The latter would be a case of necessary implication and it cannot be inferred lightly.”