Skip to content

GST e-Invoicing

Delve into the scope of GST e-invoice on our website. Throw light on its importance, benefits and integration in India. Streamline your invoicing processes, maintain compliance standards and optimize your business efficiency. Your ultimate hub for all your GST e-invoicing needs.

Register Now

Streamline Your Business with Effortless GST Compliance

Welcome to our comprehensive GST services, designed to simplify your business operations and ensure seamless compliance. From hassle-free GST registration to accurate GST return filing, we handle it all. Need assistance with GST LUT filing or GST annual returns? Our experts have you covered. Say goodbye to invoicing headaches with our efficient GST e-invoicing solutions. Worried about E-way bills? We’ve got you sorted. Unlock the benefits of input tax credit with our expert guidance. If you require GST registration cancellation, trust our professionals to handle the process smoothly. Embrace effortless GST compliance and focus on growing your business with our trusted services.

Innovative Taxation is a professional tax and accounting firm that offers a wide range of services to businesses and individuals. One of the key services offered by Innovative Taxation is GST registration. In this article, we will discuss how Innovative Taxation can help businesses with their GST registration needs.

What is GST e-Invoicing?

Gst E-invoice is an Electronic System for Generating and Converting Invoices Under the Goods and Services Tax (Gst) Framework. It Simplifies and Digitizes the Invoicing Process, Making It More Efficient and Accurate. Businesses Generate Invoices Electronically, Register Them on the Government’s Invoice Registration Portal, and Receive a Unique Invoice Reference Number (Irn). Gst E-invoicing Improves Transparency, Reduces Errors, and Helps Businesses Comply With Tax Rules More Easily.

Process of e-invoicing

Supplier Invoice Registration Portal GST System Buyer
  • Seller will prepare Tax Invoice with its accounting software
  • Upload JSON file on the IRP system
  • Validates Invoice data
  • Generates IRN
  • Sends Invoice pay loads to GST System
  • Sends details to e-way bill system
  • Rules out the existence of the same IRN in the GST System
  • Auto Populate Invoice details in GSTR-1/2A Auto populate
  • Buyer can view the Invoice details in GSTR-2A
  • With QR Code on Invoice Copy, he can check the authenticity of the e-invoice by uploading the JSON sent by the supplier
  • Receive the signed JSON with IRN & e-way bill whenever required
  • Issue Invoice to Buyer with IRN & QR Code
  • GSTR-1 gets auto-updated with invoice details
  • Sign the Invoice
  • Adds QR code to JSON
  • Send back signed JSON to the supplier
E-Invoicing in India

E-Invoicing in India

Overview

E-invoicing refers to the process of generating and reporting invoices for business transactions electronically. It is a system implemented by the Government of India to streamline and standardize the invoicing process and enhance tax compliance.

Applicability

Under the e-invoicing system in India, registered taxable persons whose aggregate annual turnover exceeds Rs. 20 crore are required to issue e-invoices. This applies to both supplies of goods and services, including exports, supplies to Special Economic Zones (SEZs), and deemed exports. However, e-invoicing is applicable only for business-to-business (B2B) transactions.

Documents Covered

  • Tax Invoice
  • Debit Note
  • Credit Note

Exemptions

  • Unit level exemption: Certain registered persons are exempted from issuing e-invoices such as insurance, banking or financial institutions, goods transport agencies, suppliers of passenger transport services, and SEZ units.
  • Document level exemption: Certain documents, such as bill of supplies, self-invoicing in case of Reverse Charge Mechanism (RCM), advance payments, delivery challans, and financial debit/credit notes, are exempt from e-invoicing under section 9(4).
  • Transaction level exemption: E-invoice is not required for B2C transactions, non-GST supplies (e.g., alcoholic liquor, petrol, diesel), bill of entry in case of imports, and zero-rated or exempt supplies.

Objectives and Benefits

  • Real-time reporting of invoices on the government portal to reduce tax evasion.
  • Auto-reporting of invoice details in GSTR-1 (supplier's return) and GSTR-2A (recipient's return).
  • Auto-generation of E-Way Bill facility.
  • Standardization of invoice format to reduce disputes.
  • Improving overall business efficiency.

Disadvantages of Non-Compliance

  • Invoice issued in any other way than the e-invoice rules will not be considered a valid invoice.
  • The recipient may be unable to claim Input Tax Credit (ITC).
  • Non-compliance may attract penalties under section 122 of the GST Act.

Reporting and QR Code

The e-invoices are reported in real time to the Invoice Registration Portal (IRP) and then pushed to the GST system. Invoice data including Invoice Reference Number (IRN) is auto-populated in GSTR-1 (Supplier's Return) and GSTR-2A (Recipient's Return). Sources marked as 'e-challan', 'IRN', and IRN date are displayed in these returns.

It is not mandatory to carry the printed copy of the e-invoice during the transportation of goods. Instead, the Quick Response (QR) code embedded with the Invoice Reference Number (IRN) can be submitted electronically for verification by the proper officer.

The QR code embedded in the e-invoice contains the following information:

  • GSTIN of the supplier
  • Recipient's GSTIN
  • Invoice number
  • Invoice generation date
  • Invoice value (taxable value plus gross tax)
  • Number of line items
  • HSN code of the main article
  • Unique IRN (Challan Reference Number)
  • IRN generation date

The QR code is part of the signed JSON returned by the IRP. This is a string that can be converted to a QR code image and placed on the invoice copy.

Dynamic QR codes, which facilitate digital payments through Unified Payments Interface (UPI), are relevant for business-to-consumer (B2C) invoices and entities with an aggregate turnover of more than Rs. 500 crores. However, dynamic QR codes are not mandatory.

How Innovative Taxation Can Help with GST Registration:

Innovative Taxation Can Provide Valuable Assistance and Expertise in Implementing and Managing Gst E-invoicing for Your Business. Here’s How We Can Help:

Implementation Support: We Can Guide You Through the Process of Registering on the Invoice Registration Portal (Irp) and Setting Up the Systems and Software Required for E-invoicing Compliance. We Ensure That Your Business is Ready to Generate and Disseminate E-invoices Seamlessly.

Training and Education: Our Team Can Provide Comprehensive Training to Your Employees on How to Use the E-invoicing System, Understand the Requirements and Comply With Relevant Regulations. We Ensure That Your Team is Equipped to Handle E-invoicing Processes Effectively.

System Integration: We Help Integrate Your Existing Accounting or Erp System With E-invoicing Infrastructure, Ensuring Smooth Data Flow and Synchronization Between Different Systems. This Integration Reduces Human Effort and Increases Operational Efficiency.

Compliance Monitoring: Our Experts Keep Track of the Latest Updates and Changes in E-invoicing Regulations. We Ensure That Your Business Stays in Line With Evolving Requirements and Help You Avoid Penalties or Non-compliance Issues.

Data Security and Privacy: We Prioritize Data Security and Implement Robust Measures to Protect Your Sensitive Financial Information During the E-invoicing Process. We Ensure That Your Data is Securely Transmitted, Stored and Accessed in Accordance With Relevant Data Protection Regulations.

Ongoing Support: We Provide on-going Support to Resolve Any Queries, Issues or Challenges You May Face While Using the E-invoicing System. Our Team is Available to Assist You With Troubleshooting, Process Improvements, and Ensuring a Seamless E-invoicing Experience.

By Partnering With Innovative Taxation, You Can Leverage Our Expertise in Gst E-invoicing to Streamline Your Invoicing Processes, Increase Compliance, Reduce Errors and Improve Overall Efficiency in Managing Your Tax-related Tasks .

FAQs

Ans: In India, registered taxable persons whose total annual turnover exceeds Rs. Rs 20 crore is required for issuing e-invoices. This applies to both the supply of goods and services in business-to-business (B2B) transactions.

Ans: The following documents come under e-invoice: Tax Invoice, Debit Note and Credit Note.

Ans: Yes, e-challan is exempt. Certain registered persons, such as insurance, banking or financial institutions, goods transport agencies, suppliers of passenger transport services and Special Economic Zone (SEZ) units are exempted from issuing e-invoices. In addition, certain documents and transaction types may also be exempted from e-invoicing.

Ans: Objectives and benefits of e-invoice include real-time reporting of invoices to reduce tax evasion, auto-reporting of invoice details in supplier and recipient returns, auto-generation of e-way bill facility, to reduce disputes Includes standardization of invoice formats. and improved overall business efficiency.

Ans: Non-issuance of e-invoices when required may result in the invoice not being treated as valid, the recipient being unable to claim Input Tax Credit (ITC), and possible penalties under the GST Act.

Ans: The e-invoices are reported in real time to the Invoice Registration Portal (IRP) and then pushed to the GST system. Invoice data including Invoice Reference Number (IRN) is auto-populated in supplier and recipient returns.

Ans: No, it is not mandatory to carry the printed copy of the e-challan. Instead, the Quick Response (QR) code embedded with the Invoice Reference Number (IRN) can be submitted electronically for verification.

Ans: The QR code embedded in the e-invoice contains information like GSTIN of the supplier, GSTIN of the recipient, invoice number, invoice generation date, invoice value, number of line items, HSN code of the main article and unique IRN and IRN. generation date.

Ans: Yes, Dynamic QR Codes are relevant for Business-to-Consumer (B2C) invoices and entities with aggregate turnover of more than Rs. 500 crores. They facilitate digital payments through Unified Payments Interface (UPI).

Ans: Innovative Taxation can assist businesses with the GST registration process by providing expert guidance, support, and personalized assistance throughout the entire process.