Article explains Who required to generated E-invoice under GST, Basic terms related to E-invoice under GST, Why we need to generate E-invoice under GST and Important point to be considered while Generating E-invoice under GST.
*Turnover means “Aggregate Turnover” PAN India wise not GSTIN.
Note: Export, B2C and Bill of supply transactions are out of scope on E-invoice even if register person turnover is more than 100 crs.
IRN (Invoice reference number): This is a system-generated number. IRN is a mix of Invoice No., GSTIN & finance year. This number can not be more than 50 as per schema provided by the government.
IRP(invoice registration portal): This is a government portal similar to https://ewaybill.nic.in for E-WAY bill. The government does not want to take any chance and expected that there will not be a situation of server down or delay in the generation of IRN to handle this problem government notified 10 sites for E-INVOICE.
|(i) www.einvoice1.gst.gov.in;||(vi) www.einvoice6.gst.gov.in;|
|(ii) www.einvoice2.gst.gov.in;||(vii) www.einvoice7.gst.gov.in;|
|(iii) www.einvoice3.gst.gov.in;||(viii) www.einvoice8.gst.gov.in;|
|(iv) www.einvoice4.gst.gov.in;||(ix) www.einvoice9.gst.gov.in;|
|(v) www.einvoice5.gst.gov.in;||(x) www.einvoice10.gst.gov.in.|
India is ready to adopt E-invoicing from 01/01/2020. Fasting moving toward to five trillion dollar economy and increased volume of business transactions undertaken every day this is gonna be a very big task. Currently, India doesn’t follow any standardised formats for invoice generation. The main objective of E-INVOICE is to make an ecosystem and stop fake invoices.
Businesses may have several reasons to use e-invoicing. Commercial considerations are likely to drive a company’s decision to adopt e-invoicing, as the administrative costs and processing times for issuing and processing electronic documents are typically far lower than those for traditional paper documents. The savings come not only from reducing printing and postage costs but also from adopting integrated processes for all invoice-related tasks.
The e-invoice system will help to curb the actions of unscrupulous taxpayers and reduce the number of fraud cases as the tax authorities will have access to data in real-time.
E-Way bill only keep eyes on moving of goods but E-invoicing covered goods as well as services also. As many professionals expect that in a very short period both E-waybill should interchangeable by E-Invoice. The government already take the incentive to integrate the E-invoice and part A of the e-waybill where the user just needs to generate e-invoice and respective E-waybill part A is auto-fill by the system.
Already more than 60 countries adopted the E-invoice. E-invoicing improved collection and improve the ranking of tax collection and ease of business. For ease of business as IRP integrated with GSTN or E-Way bill portal with this service clerical errors could be minimum. E-invoice data auto-populate in ANX-1 and the same will reflect in ANX-2 of the recipient.
2. Many of taxpayer still doubt that after IRN manual or ERP(tally) an invoice will continue of not?
3. After E-invoice Register person still need to follow Rule 46?
4. How many line items allow by E-invoicing?
They can consolidate E-invoice by HSN and Rate wise
or broke the invoices
5. Can once IRN generated invoice cancel?
Once IRN generated an invoice can be cancelled within 24 hr. but the user cannot generate again the IRN on the same invoice number.
6. Correction in IRN is possible?
7. How or when IRP integrates with GSTN or NIC?