E-Invoicing Setup Services
Get your Letter of Undertaking filing done accurately and on time with CA-led assistance from eligibility check and documentation to approval and post-registration guidance.
What is E-Invoicing Setup?
An E-Invoice (Electronic Invoice) is a system where B2B invoices are digitally uploaded and authenticated by the Invoice Registration Portal (IRP). Under the GST regime, this process ensures that data is standardized and seamlessly synced with GST returns, minimizing manual errors and protecting your buyers’ Input Tax Credit (ITC).
Which businesses need E-Invoicing Setup?
The facility and mandate to set up E-Invoicing is primarily designed for businesses engaged in “Taxable B2B and Export Supplies” . You should set up E-Invoicing if your business falls into any of the following categories:
Note: To be exempt, the business must fall under specifically excluded sectors (such as Banking, Insurance, NBFCs, Goods Transport Agencies, Passenger Transport, Multiplexes, or unique SEZ Units) and must not have crossed the mandatory Aggregate Annual Turnover (AATO) threshold of ₹5 Crores in any financial year from 2017-18 onwards.
Steps in the process of E-Invoicing Setup
- Log in to the official E-Invoice Portal or GST Common Portal and navigate to the registration or API integration section.
- Verify the Aggregate Annual Turnover (AATO) to ensure mandatory compliance or apply for voluntary enablement.
- Align your accounting ERP (like Tally, SAP, or custom software) with the notified GST e-invoice schema to capture all mandatory fields.
- Set up authentication protocols, including Two-Factor Authentication (2FA) and API credentials (Client ID and Client Secret).
- Generate and test the JSON file upload on the IRP sandbox environment or production portal to perform de-duplication and hash validation checks.
- Obtain the digitally signed Invoice Reference Number (IRN) and QR Code, which must be printed on all applicable tax invoices.
Note
An E-Invoicing setup must remain operational consistently across all financial years once the threshold is breached. It does not expire annually like an LUT, but for businesses with an AATO of ₹10 Crores and above, a strict 30-day reporting window applies. Invoices must be uploaded to the IRP within 30 days of issuance, otherwise, the portal will reject the upload, rendering the invoice legally invalid for tax and ITC purposes.
Mistakes to avoid in E-Invoicing Setup
How can we support in E-Invoicing Setup?
Comprehensive E-Invoicing Setup solutions handled by experienced Chartered Accountants.
CA-Led Compliance
Entire registration process is prepared and reviewed by qualified Chartered Accountants, ensuring professional-grade accuracy.
Accuracy Guarantee
Our multi-level verification process ensures error-free registration, protecting you from notices and penalties.
Timely Reminders
Proactive deadline tracking and reminders ensure you never miss a due date. On-time, every time.
Dedicated Support
A dedicated compliance manager for all your queries, notices, and year-round TDS support needs.
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E-Invoicing Setup
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Frequently Asked Questions
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Is it possible to generate an E-Invoice after the invoice has already been issued to the client?
Technically, for applicable businesses with a turnover of ₹10 Crores and above, the e-invoice must be reported to the IRP within 30 days of issuance. If a filing is delayed beyond this timeline, the portal will disallow generation, rendering the invoice legally invalid and blocking the buyer’s Input Tax Credit (ITC).
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Does a taxpayer need to purchase custom ERP software to comply with E-Invoicing?
No. While integrating an ERP streamlines the process, taxpayers with low invoice volumes can use the free offline bulk generation tools provided by the GSTN, or utilize approved GST Suvidha Providers (GSPs) to generate IRNs without expensive system updates.
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Does an E-Invoice cover both B2B transactions and B2C retail sales?
No. The mandatory E-Invoicing system exclusively covers B2B supplies, B2G (Government) supplies, and exports. Regular Business-to-Consumer (B2C) sales do not require an IRN generation on the IRP, though large businesses with turnover above ₹500 Crores may require a dynamic QR code for B2C retail prints.
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What happens if an applicable business fails to generate an E-Invoice or prints it incorrectly?
If an E-Invoice is not generated, the invoice is treated as legally invalid under GST Rule 48(4). The taxpayer is liable to a penalty of 100% of the tax due or ₹10,000 per invoice, and the buyer will be completely blocked from claiming Input Tax Credit.
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Do I need to set up E-Invoicing if my current year’s turnover drops below the ₹5 Crore threshold?
Yes. The rule states that if your business has crossed the ₹5 Crore threshold in any single financial year from FY 2017-18 onwards, you must continue to generate E-Invoices permanently. A temporary dip in current turnover does not exempt you from the mandate.
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Is it mandatory to physically submit a printed copy of the E-Invoice to the tax authorities?
No. The system is fully digital. Once the invoice data is authenticated on the IRP, it automatically syncs with the GST portal. There is no statutory requirement to submit a physical copy to the tax department, though the e-way bill or printed digital copy with the QR code must accompany goods during transit.
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Can an E-Invoice be cancelled or modified on the portal if an error is discovered?
An E-Invoice can only be cancelled on the IRP within 24 hours of generation. Modifications are not permitted on the portal. If you miss the 24-hour window, you cannot delete the IRN; you must instead issue a Credit or Debit Note to rectify the transaction.
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