Under rule 48(4) of the CGST Rules, notified taxpayers must report B2B invoices to the Invoice Registration Portal (IRP), which returns an Invoice Reference Number (IRN) and a signed QR code. Only then is the document a valid invoice.
Who must comply
- Taxpayers whose aggregate turnover exceeded ₹5 crore in any financial year from 2017-18 onwards.
- Once applicable, it continues even if turnover later falls below the threshold.
- Certain sectors are exempt, such as banks and financial institutions, insurers, goods transport agencies, passenger transport services and SEZ units.
Documents covered
- B2B tax invoices, credit notes and debit notes.
- Exports and supplies to SEZ units.
- Supplies under reverse charge, where the supplier issues the invoice.
B2C invoices are outside e-invoicing, though a dynamic QR code applies above a higher turnover threshold.
Time limit for reporting
Taxpayers with aggregate turnover of ₹10 crore and above must report invoices to the IRP within 30 days of the invoice date. Documents older than that are rejected by the IRP.
Consequences of non-compliance
- An invoice without an IRN is not a valid invoice, so the recipient may be denied input tax credit.
- Penalty under section 122 may apply.
- E-way bills can be generated using the IRN, so delays affect dispatch.
Practical points
- Integrate the ERP with the IRP or a GST Suvidha Provider so that IRNs are generated at billing.
- Cancel an IRN within 24 hours if needed; after that, issue a credit note.
- Reconcile e-invoice data with GSTR-1 every month; the portal auto-populates GSTR-1 from it.
Official sources
Disclaimer. This article explains the law as understood on the review date shown above. It is general information, not advice on any particular case. Provisions may have changed since; refer to the official sources and obtain professional advice before acting. Full disclaimer.