What is e-invoice under GST and its applicability
Electronic invoicing (e-Invoicing) is the exchange of the invoice document between a supplier and a buyer in an integrated electronic format. E- Invoice has been biggest and one of the most talked about changes when it comes to GST in 2020. The GST Council, in its 37th meeting on 20 September 2019, has recommended introduction of electronic invoice (‘e-invoice’) in GST in phased manner. Currently it is on a voluntary basis and mandatory from April 1, 2020. e-Invoicing essentially involves reporting details of specified GST Documents to a government-notified portal and obtaining a reference number . Read more..
e-Invoicing shall not be applicable to the following, as notified by Notification No.13/2020-Central Tax:
  • An insurer or a banking company or a financial institution, including an NBFC
  • A Goods Transport Agency (GTA)
  • A registered person supplying passenger transportation services
  • A registered person supplying services by way of admission to the exhibition of cinematographic films in multiplex services
  • An SEZ unit
e-Invoicing has been made applicable
From 1 October 2020, to all business whose turnover exceeded 500 Cr in preceding Financial Year from 2017-18 to 2019-20. Now from 1 January 2021, it is applicable for the business whose turnover exceeds 100 Crore in any of the financial years between 2017-18 to 2019-20 vide Notification No. 88/2020-Central Tax.
Benefits of e-Invoicing for business:
  • e-invoice resolves data reconciliation under GST to reduce mismatch errors.
  • Reduce data entry errors.
  • Real-time tracking of invoices
  • Automation of the tax return filing, the relevant details of the invoices would be auto-populated in the various returns and forms.
  • Faster availability of input tax credit (ITC).
  • Lesser possibility of audits/surveys by the tax authorities
  • One Time reporting of invoicing
Documents Required for e-Invoicing
  • Invoice by Supplier
  • Credit Note by Supplier
  • Debit Note by Supplier
  • Any other document as required by law to be reported by the creator of the document
What Countmagic offers:
Countmagic offers you to create an e-Invoice in very simple and easy steps.
Create a tax invoice using Countmagic Software, after that click on the e-Invoice Button it will be directly directed you to the IR Portal, from where your invoice is registered on IR Portal and further to GST Network.