In India, e-invoice refers to the electronic invoicing system introduced by the Government of India as part of the Goods and Services Tax (GST) reforms. It is a digital format of an invoice generated and stored electronically on the government’s designated portal called the Invoice Registration Portal (IRP).
Under the e-invoicing system, businesses are required to generate their invoices in a standardized electronic format known as the JSON (JavaScript Object Notation) format. The JSON file contains all the relevant details of the invoice, such as the supplier’s and recipient’s information, invoice number, date, item details, tax amounts, etc.
Once the JSON file is generated, it needs to be uploaded to the IRP, which validates the invoice and assigns it a unique Invoice Reference Number (IRN). The IRN is a digitally-signed representation of the invoice and serves as its unique identification number. The IRP also generates a QR code containing key invoice details.
The e-invoice system aims to bring standardization, transparency, and automation to the invoicing process, minimizing errors and enhancing efficiency. It helps in the real-time tracking of invoices and ensures the integrity of the invoice data.
The implementation of e-invoicing is mandatory for businesses with a specified turnover threshold. The threshold has been revised from time to time, and it is advisable to refer to the latest regulations to determine whether a particular business falls within the e-invoicing ambit.
It’s worth noting that the details provided here are based on the information available up until my last knowledge update in September 2021. For the most accurate and up-to-date information, it is recommended to consult the official government sources or the GST authorities in India.
