Basics

1. What is e-invoicing?

e-Invoicing is the system introduced by the government under the GST regulations, whereby the taxpayer is required to generate invoices electronically using e-invoicing software in a standardized format. To know more about e-Invoicing, click here.

2. What are the benefits of e-invoicing?
   
   
   • Error-Free Efficiency: E-invoicing minimizes the chances of data reconciliation and mismatch errors, as opposed to manual data entry.
   • Real-Time Insights: e-Invoicing offers real-time tracking for their e-invoices, enabling quicker decision-making and fostering better customer relationships.
   • Streamlined Taxation: e-Invoicing enables standardization and uniformity in invoice format and reporting to enable better compliance.
3. How to generate an e-invoice?
   
   
   • E-Invoice Creation: Any accounting or billing software can be used to generate e-invoices, following the prescribed e-invoicing format. The taxpayer has the freedom to choose their preferred software, ensuring that all mandatory fields are included.
   • Upload to the IRP: The next step involves uploading the JSON file containing the B2B e-invoice data onto the Invoice Registration Portal (IRP).
   • IRN and QR Code Generation: After successful verification, the IRP adds the e-invoice and generates IRN and QR code.
   • Data Transmission: The uploaded data is transmitted to the GST System. The data is auto-populated into the GST Annexure, ensuring smooth sharing with the e-way bill and GST system.
   • E-invoice Receipt: Finally, the digitally signed JSON file, accompanied by the IRN and QR code, is promptly sent back to both the seller and buyer via their registered email addresses.

To know more about e-Invoice generation, click here.

Applicability

4. For whom is e-invoicing mandatory?

e-Invoice generation is mandatory for registered taxpayers with an annual turnover above Rs. 5Cr. E-Invoicing is applicable only for B2B transactions exports and deemed exports. Know more about e-invoicing applicability.

5. Is e-invoicing mandatory for B2C?

No, as per present e-invoicing regulations, the generation of B2C invoices is not applicable/ allowed.

6. Is e-invoicing applicable to nil-rated or wholly exempt supplies?

No, e-invoicing is not applicable for nil-rated or wholly exempt supplies.

7. In what case is e-invoicing Exempted?
   
   
   • Transactions are exempt from e-invoicing.
   • Any Business-to-Consumers (B2C) sales
   • Nil-rated or non-taxable or exempt B2B sale of goods or services
   • Nil-rated or non-taxable or exempt B2G sale of goods or services
   • Imports, high sea sales, and bonded warehouse sales
   • Free Trade & Warehousing Zones (FTWZ)
   • Supplies under reverse charge covered under Section 9(4) of the CGST Act


8. Who is not required to generate e-Invoices?
   
   
   • SEZ units.
   • An insurer or a banking company or a financial institution, including a non-banking financial company.
   • Goods transport agency supplying services about transportation of goods by road in a goods carriage.
   • Suppliers of passenger transportation services.
   • Suppliers of services by way of admission to an exhibition of cinematograph films on multiplex screens.
   • A government department and Local authority. (CBIC Notification No. 23/2021)
   • Persons registered in terms of Rule 14 of CGST Rules (OIDAR)


IRN Generation

9. Can more than one IRN be generated for the same invoice?

No, you cannot generate more than one IRN for the same invoice. In such a case, the e-invoice will get rejected by IRP.

10. Can IRN be deleted?

No, an active IRN cannot be deleted or canceled.

e-invoice Format/ Schema

11. What is the format of an e-invoice?

The e-invoice format, also known as Form GST INV-1, is specified in the GST rules. It serves as a standardized template for reporting invoice details electronically. This form outlines the structure and information required for e-invoices in a prescribed format.

To facilitate electronic reporting, the invoice details need to be submitted to the Invoice Registration Portal (IRP) in JSON format. JSON (JavaScript Object Notation) is a widely used data interchange format, making it suitable for transmitting structured data efficiently.

By adhering to the e-invoice format and reporting in JSON, businesses ensure seamless integration with the government's e-invoicing system. This process enables accurate and standardized electronic reporting of invoice details, promoting greater efficiency and compliance in the invoicing process.

12. Is the e-invoicing format the same for all types of taxpayers?

Yes, all taxpayers must follow the same e-invoicing format.

13. What are the mandatory fields in an e-invoice?



Sr. No.	Name of the Field	Remarks	Specifications
E-Invoice Details
1	IRN- Invoice Reference Number	A unique number is generated by GSTN after uploading the e-invoice on the GSTN portal	Max length: 64
Transaction Details
2	Supply Type Code	Code used to identify the types of supply	Enumerated list of codes
3	Document Number	A sequential number within the business context, time frame, operating systems, and records of the supplier	Max length: 16
4	Document Type Code	Specify the type of document here	INV/CRN/DBN
5	Document Date	The date on which the invoice was issued	(DD/MM/YYYY)
6	Preceding Invoice Reference and Date	Detail of original invoice which is being amended by a subsequent document such as a debit and credit note	Max length:16
Supplier Details
7	Supplier Legal Name	The legal name of the supplier as per the PAN card	Max length: 100
8	Supplier GSTIN	GSTIN of the supplier raising the e-invoice	Max length: 15  Must be alphanumeric
9	Supplier Address	Building/Flat no., Road/Street, Locality, etc. of the supplier	Max length: 100
10	Supplier Place	City/town/village of the supplier	Max length: 50
11	Supplier State Code	The state must be selected from the latest list given by GSTN	Enumerated list
12	Supplier Pin Code	Locality/district/state of the supplier	Six-digit code
Recipient Details
13	Recipient Legal Name	The legal name of the recipient as per the PAN card	Max length: 100
14	Recipient GSTIN	GSTIN of the recipient	Max length: 15
15	Recipient Address	Building/Flat no., Road/Street, Locality, etc. of the recipient	Max length: 100
16	Recipient State Code	The state must be selected from the latest list given by GSTN	Enumerated list
17	Place Of Supply State Code	The state must be selected from the latest list given by GSTN	Enumerated list
18	Recipient Pin Code	Locality/district/state of the supplier	Six-digit code
19	Recipient Place	City/town/village of the recipient	Max length: 100
Shipping Details
20	Shipping To GSTIN	GSTIN of the buyer or the person to whom the particular item is being delivered to	Max length: 15
21	Shipping To State, Pin Code, and State Code	State, where the goods and services invoiced were or are delivered	Max length: 100 for the state, 6-digit pin code, and enumerated list for code
22	Dispatch From: Name, Address, Place, and Pin Code	Name, and city/town/village from where goods are dispatched	Max length: 100 each and 6 digits for Pin Code
23	IS Service	Whether or not the supply of service must be mentioned	Length: 1 (by selecting Y/N)
Details of Goods/ Services
24	Item Description	The relevant description for the item in the trade	Max length: 300
25	HSN Code	Applicable HSN code for particular goods/services	Max length: 8
26	Item Price	The unit price, exclusive of GST, before subtracting the item price discount	Decimal (12,3)
27	Assessable Value	The price of an item, exclusive of GST, after subtracting the item price discount	Decimal (13,2)
28	GST Rate	The GST rate is represented as a percentage that is applicable to the item being invoiced	Decimal (3,2)
29	IGST Value, CGST Value, and SGST Value	IGST, CGST, and SGST amounts for individual items	Decimal (11,2)
30	Total Invoice Value	The total amount of the Invoice with GST	Decimal (11,2)



14. Does the e-invoice schema apply to reverse charge mechanism (RCM) transactions?

Yes, the e-invoice scheme applies to reverse charge mechanism (RCM) transactions.


e-invoice Modification/ Cancellation

15. Can an e-invoice be canceled?

Yes, an e-invoice can be canceled. A canceled e-invoice must be reported on the IRN within 24hrs.

16. Can the e-invoice be amended on IRP?

No, e-Invoice cannot be amended or modified on IRP.

17. How to cancel an e-invoice?

An e-Invoice can be canceled by visiting IRP and going to the cancel menu. The taxpayer will be required to submit the acknowledgment number and reason for cancellation.


Invoice Registration Portal (IRP)

18. What is an Invoice Registration Portal (IRP)?

The Invoice Registration Portal (IRP) is an online portal to authenticate invoices and generate Invoice Registration Numbers (IRN) and QR codes for each Credit or Debit Note (CDN).

The taxpayer is required to upload invoice details on the IRP, that is the NIC IRP portal. Here, the invoices will be authenticated and validated by the authorities.

19. What are the types of documents that are to be reported to the IRP?

    The following documents are to be reported to the IRP,

    • Invoices
    • Credit Notes
    • Debit Notes
20. What is the time limit for uploading e-invoices on the IRP?

For taxpayers with an annual turnover exceeding Rs. 100Cr must generate e-invoices within 7 days of the invoice date from 1st May onwards. For other taxpayers, there is no such defined time limit, however, the invoice shall be generated before filing GSTR 1.

21. Can e-invoices be bulk uploaded on IRP?

Yes, the taxpayer can bulk-upload invoice details on the IRP using an excel based conversion tool.

22. For how long will the data be available on IRP?

The invoice details and information will remain on the Invoice Registration Portal for 24 hours.


Due Date and Penalties

23. What is the penalty for not generating an e-invoice?

The penalty for not generating an e-invoice is equal to 100% of the tax amount or Rs. 10,000, whichever is higher, under both CGST & SGST Act.