E-Invoice is coming into effect from 01.10.2020. The Govt has released revised e-invoice Format / schema on 30.07.2020 vide Notification 60/2020-CT dated 30.07.2020. In the month of December 2019 notification no 68 to 72 was published by CBIC to introduce IRP -Invoice Registration Portal (IRP), applicable condition for IRN and QR code and person liable to comply for e-invoice etc.
As per previous notification the registered person having turnover more than 100 Crores was required to generate IRN – Invoice Reference Number from IRP. IRN is required to be generated when there is B2B supply i.e. supply to a customer / recipient who is registered under GST. Which means supply to an unregistered customer / recipient is exempted from IRN.
E-invoicing does not mean to generate invoice from IRP. But it means that the details of invoice prepared by the supplier need to be submitted to IRP and IRP will validate the details and assign a unique number authenticating the invoice which will be IRN. Thus, the taxpayer can generate invoice in the same manner as he is doing now. The only addition task is that the IRN need to be generated and affixed or printed on the invoice. Without IRN the invoice will not be considered as valid. Hence, it is a mandatory requirement.
E-invoice was announced to be introduced from 01.04.2020. However, the same was postponed to 01.10.2020. Now, it was expected that Govt may postponed this new compliance due to the present situation. But instead of doing so the Govt has exempted the taxpayers whose turnover is below 500 crores.
Thus, the taxpayers whose turnover exceeds 500 crores must now start preparing for e-invoice. They must appoint GSP who can configure their accounting software so as to make it enable to communicate to the Govt NIC portal for generating IRN. The Govt is not going to provide any facility for manually generating IRN from IRP as is available in case of e-way bill. However, it is expected and also required in the initial phase to have a template or application which can be manually filled and uploaded to IRP to get IRN. No doubt manually preparing IRN would be very tough job in additional to consuming so much of time. Hence, the Govt. has given APIs to GSP with which they can generate e-invoice at ease. So, the taxpayer must appoint good GSP and start configuring their accounting software and keep themself ready for the new e-invoice requirement.
E-invoice scheme can be accessed from Notification no.60/2020-CTdated 30.07.2020. Click here
Click here to access Notification 61/2020-CT dated 30.07.2020 vide which the threshold limit for e-invoicing is increased.
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