The Goods and Services Tax Network ( GSTN ) has released an advisory clarifying the glossary and steps for Goods and Services Tax ( GST ) GST e-Invoicing.
The advisory outlines several terms related to e-Invoicing:
e-Invoicing – Refers to the process of reporting specific GST document details to a government-authorized platform, known as the Invoice Registration Portal ( IRP ), to obtain an Invoice Reference Number (IRN). However, the government does not generate invoices; this step is only about reporting them to the IRP.
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OTP (One-Time Password) – A password sent to the taxpayer’s registered mobile number for verification during the registration process.
IRP ( Invoice Registration Portal ) – Government-approved platforms where businesses report their invoices to generate IRNs. Currently, six portals are authorized for this purpose.
IRN ( Invoice Reference Number ) – A unique identifier given to each reported invoice, generated through a hash computation based on various parameters like the supplier’s GSTIN and document number.
AATO (Annual Aggregate Turnover) – AATO is used to determine e-Invoice applicability for taxpayers. If a taxpayer’s turnover exceeds the prescribed limit (currently set at ₹5 crore), they must comply with the e-Invoicing requirements.
Complete Supreme Court Judgment on GST from 2017 to 2024 with Free E-Book Access, Click here
e-Invoice QR Code – A two-dimensional barcode containing essential details about the invoice such as GSTIN, invoice number, IRN, etc.
Additionally, taxpayers can use the GSTN e-Services App to verify e-Invoices by scanning QR codes, check IRN status, and access other relevant details.
Steps for E-Invoice Reporting
The advisory also details the procedural steps for e-Invoice reporting:
Enablement for E-Invoicing – Taxpayers whose annual turnover exceeds the prescribed threshold are automatically enabled for e-Invoicing. Others can enable themselves via the official portal at [https://einvoice.gst.gov.in](https://einvoice.gst.gov.in).
Registering on Invoice Registration Portals – After enablement, businesses need to register on one of the six authorized IRPs to report invoices. This requires a one-time verification via OTP.
Complete Supreme Court Judgment on GST from 2017 to 2024 with Free E-Book Access, Click here
Reporting and Auto-Population – Invoices are created using the taxpayer’s ERP system and reported to the IRP using the prescribed schema in JSON format. After validation, the IRP returns a signed e-Invoice with a unique IRN and QR code. This information is then auto-populated into the taxpayer’s GSTR-1 return.
E-Invoice Verification – Businesses can verify their e-Invoices via the GSTN e-Invoice QR Code Verifier app or the “Search IRN” functionality on the GSTN portal.
Master FO Portal – The newly developed e-Invoice Master FO portal serves as a one-stop resource for all e-Invoicing needs, providing information about the IRPs, enablement status, and more.
By following the outlined steps, businesses can ensure they meet GST compliance standards while streamlining their invoicing processes. Taxpayers are encouraged to refer to the official notifications for complete details and stay up-to-date with the latest regulations as the latest GSTN advisory provides clarity on e-Invoicing terms and detailed steps for taxpayers to comply with GST regulations, including IRN generation and e-Invoice reporting.
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