E-invoicing

Introduction

The GST Council has approved the implementation of e-Invoicing or electronic invoicing in a phased manner for reporting of Business to Business (B2B) invoices to GST System, starting from 1st Jan, 2020 on voluntary basis. Being the 1st Invoice Registration Portal (IRP), National Informatics Centre (NIC), has made the e-Invoice registration services available through API mode, in addition to other modes. The tax payers and GST Suvidha Providers can integrate their business systems and processes with the e-Invoice system through these APIs for seamless registration of the invoices, generated/prepared on their systems. To know more about the e-invoicing system click here.

Workflow of e-Invoice System

e-invoicing data flow

Need of e-Invoicing System

If an invoice is generated by software on the computer or a machine then does it become an e-invoice? Is e-invoice as a system where taxpayers can generate the invoices centrally? Many such questions are raised when e-invoice gets discussed.

E-invoice does not mean generation of invoices from a central portal of tax department, as any such centralization will bring unnecessary restriction on the way trade is conducted. In fact, taxpayers have different requirements and expectation, which can’t be met from one software generating e-invoices from a portal for the whole country. Invoice generated by every software may look more or less same; however, they can’t be understood by another computer system even though business users understand them fully. There are hundreds of accounting/billing software which generate invoices but they all use their own formats to store information electronically and data on such invoices can’t be understood by the GST System if reported in their respective formats.

Hence a need was felt to standardize the format in which electronic data of an Invoice will be shared with others to ensure there is interoperability of the data. The adoption of standards will in no way impact the way user would see the physical (printed) invoice or electronic (ex pdf version) invoice. All these software would adopt the new e-Invoice standard wherein they would re-align their data access and retrieval in the standard format. However, users of the software would not find any change since they would continue to see the physical or electronic (PDF/Excel) output of the invoices in the same manner as it existed before incorporation of e-Invoice standard in the software. Thus the taxpayer would continue to use his accounting system/ERP or excel based tools or any such tool for creating the electronic invoice as she is using today.

Taxpayer can enter the invoice details in bulk generation tool available on e-invoice portal which in turn will create JSON file for uploading on the e-invoice system.

E-Invoice and Tax Department

The e-invoice system being implemented by tax departments across the globe consists of two important parts namely,
1) Generation of invoice in a standard format so that invoice generated on one system can be read by another system.
2) Reporting of e-invoice to a central system.

The basic aim behind adoption of e-invoice system by tax departments is ability to pre-populate the return and to reduce the reconciliation problems. Huge increase in technology sophistication, increased penetration of Internet along with availability of computer systems at reasonable cost has made this journey possible and hence more than 60 countries are in the process of adopting the e-invoice. GST Council has given the responsibility to design the standard of e-invoice and update the same from time to time to GSTN which is the custodian of Returns and invoices contained in the same. Adoption of e-invoice by GST System is not only part of Tax reform but also a Business reform as it makes the e-invoices completely inter-operable eliminating transcription and other errors.

Invoice Reference Number (IRN)

The Invoice Reference Number (IRN) is a unique number (also known as hash) generated by the e-invoice system using a hash generation algorithm. For every document such as an invoice or debit or credit note to be submitted on the e-invoice system, a unique 64 character invoice reference number shall be generated.

The unique IRN will be based on the computation of hash of GSTIN of generator of document (invoice or credit note etc.), Year and Document number like invoice number. The hash could also be generated by the taxpayers based on above algorithm. This shall be unique to each invoice and hence be the unique identity for each invoice for the entire financial year in the entire GST System for a taxpayer.

QR Code

E-invoice system will generate a unique 64 character length Invoice Reference Number (IRN) and digitally sign the e-invoice and the QR code (Quick response Code). The QR code will enable quick view, validation and access of the invoices from the GST system from hand held devices.

The QR code will consist of the following e-invoice parameters:

  • GSTIN of supplier
  • GSTIN of Recipient
  • Invoice number as given by Supplier
  • Date of generation of invoice
  • Invoice value (taxable value and gross tax)
  • Number of line items.
  • HSN Code of main item (the line item having highest taxable value)
  • Unique Invoice Reference Number (hash)

The digitally sign QR code will have a unique IRN (hash) which can be verified on the central portal as well as by an Offline App by officer. This will be helpful for tax officers checking the invoice on the roadside where Internet may not be available all the time.

E-invoicing System under GST

The move will help in curbing Goods and Services Tax (GST) evasion through issue of fake invoices. Besides, it would make the returns filing process simpler for businesses as invoice data would already be captured by a centralised portal. The proposed 'e-invoice' is part of the exercise to check GST evasion. With almost two years into GST implementation, the government is now focussing on anti-evasion measures to shore up revenue and increase compliance.

There are over 1.21 crore registered businesses under the GST, of which 20 lakh are under the composition scheme. In order to ensure no duplication, e-invoice system will be closely connected to the GST system, which will be the central repository for all IRN generated. Given that GST system already has IRN data, populating of ANX 1 for the supplier will be possible.

Objective

E-invoicing in India will be a big move, due to the volume of business transactions undertaken every day, as well as the plethora of different, non-standardised formats used in invoice generation. The new e-invoicing system aims to make invoice reporting an integral part of a business process and to remove the tedious task of invoice-compilation at the end of a return period. Claiming fictitious Input Tax Credit (ITC) by raising fake invoices is also one of the biggest challenges currently faced by tax-authorities. The e-invoice system will help to curb the actions of unscrupulous taxpayers and reduce the number of fraud cases as the tax authorities will have access to data in real-time.

Stakeholders

The objective behind introducing e-invoice is to effectively address the expectations and concerns of the stakeholders by leveraging the use of ITC (Input Tax Credit).

Benefits of E-invoice System

The major benefits of e-invoice system are as follows:

  • Standardization: One time reporting on B2B, B2G and export invoice data in the form it is generated to reduce reporting in multiple formats.
  • Seamless Reconciliation: Reconciliation and data verification between suppliers and recipient will be seamless and thus provide better control over input tax credit computation and claim.
  • Lesser Compliance: Reduction in overall compliance burden. Substantial reduction in input credit verification issues as same data will get reported to tax department as well to buyer in his inward supply (purchase) register. • Automation: Auto-generation of Sales and Purchase Registers (ANX-1 and ANX-2). To generate Sales and purchase register (ANX-1 and ANX-2) from this data to keep the Return (RET-1 etc.) ready for filing under New Return.
  • Elimination of fake invoices: Reduction of tax evasion, System level matching of input credit and output tax.
  • Information Availability: Near real-time availability of information to all the relevant participants in the supply chain.
  • On receipt of info thru GST System as buyer can do reconciliation with his Purchase Order and accept/reject in time under New Return.
  • Environment friendly – The need of the paper form of the multiple copies of way bill is eliminated. Hence, the tons of paper are saved per day.
  • Officials saved of monotonous work collecting and matching the manual work with the returns of the taxpayers.

Benefits of E-invoice System

  • Save time: With e-invoicing, many unnecessary steps are cut out of the invoicing process. Both you and your customer will be saving time using e-invoicing system.
  • Reduce costs: With paperless invoicing, you do not have to pay for paper or for postal fees. Further, by saving time with e-invoicing instead of using templates and emailing PDFs, you save working time. Concentrate on other value-adding tasks instead. We all know time is money!
  • Reduce mistakes: By minimizing manual input and increasing automation, mistakes and typos are reduced.
  • Offer better customer service: It is more convenient for customer to get an e-invoice to their desired platform receiving an e-invoice instead of a paper invoice saves up to 90% on processing costs.
  • Easier to keep track of invoices: Know when an invoice has been sent, viewed, and paid when using e-invoicing system. You will know for sure that the invoice is sent and received.
  • A higher degree of control and insight into the invoicing process: If you use online invoicing software, everything is saved on one platform which is accessible from anywhere on any device.

Features

  • User friendly System – The system is user friendly with lots of easy to use operations by the users.
  • Easy and quick generation of methods – There are a number of methods are provided using which the users can easily and quickly generate the e-invoices.
  • Multiple modes for e-invoice generation – This system support different modes of e-invoice generation. The user can register the mode of e-invoice generation and use them for invoice generation.
  • Creating own masters – The user has a provision to create his own masters like customers, suppliers, products and transporters. The system facilitates to use them while generating the e-invoice.
  • Managing sub-users – The taxpayer or registered person can create, modify and freeze the sub-users for generation of the e-invoice and assign them to his employees or branches as per need. This system also facilitates him to assign the roles/activities to be played by the sub-user on the system.
  • Monitoring the IRN generated– The system facilitates the registered person to know the number of INR, generated by them on a specific date
  • Generating the GSTR-1 from the e-invoices – Based on the e-invoice generated, the system pulls the GSTR-1 related information and pushes it to the taxpayers GSTR-1 returns. This avoids the taxpayers in uploading these transaction details.
  • QR bar code on the e-invoice – The QR code on the e-invoice helps for easier and faster verification of the e-invoices.

FAQs

E-Invoicing System

What is e-invoicing?
‘E-invoicing’ or ‘electronic invoicing’ is a system where in the tax payer will upload his invoice details and register his supply transaction on the Government Invoice Registration Portal (IRP)and get the Invoice Reference Number (IRN) generated by the IRP system. That is, the tax payer will first prepare and generate his invoice using his ERP/accounting system or manual system and then upload these invoice details to IRP and get the unique reference number, known as IRN. It is clarified again that the e-invoice means NOT preparation or generation of tax payer’s invoice on government portal. It is only intimating the government portal that invoice has been issued to the buyer, by registering that invoice on the government portal.
What is the purpose of E-invoice system?
The basic aim behind adoption of e-invoice system is to reduce the submission of multiple statements and details by the tax payers and help the purchaser to get the Input tax credit easily.
When will the e-invoice system be implemented?
The GST Council has proposed that the electronic invoicing (e-invoice) system to be implemented in phased manner. First it will be implemented on a voluntary basis for taxpayers having turnover above Rs 500 Crores from 1st January 2020.
Who is Responsible for generating e-invoice?
Registration of e-invoice of generation of IRN is the responsibility of the supplier, who will be required to report the invoice details to e-invoice system, which in turn will generate a unique Invoice Reference Number (IRN).
What types of documents are to be reported to GST System?
While the word invoice is used in the name of e-invoice, it covers other documents that will be required to be reported to e-invoice system by the creator of the document:
  • Business to Business Invoice
  • Business to Government Invoices
  • Export Invoices
  • Reverse Charged Invoices
  • Credit Notes
  • Debit Notes
It may be noted that presently the Business to Consumer (B2C) invoices are not allowed for e-invoice/ IRN generation.
What is Debit Note and when it is issued?
A supplier of goods or services or both is mandatorily required to issue a tax invoice. However, during the course of trade or commerce, after the invoice has been issued there could be situations like:
  • The supplier has erroneously declared a value which is less than the actual value of the goods or services or both provided.
  • The supplier has erroneously declared a lower tax rate than what is applicable for the kind of the goods or services or both supplied.
  • The quantity received by the recipient is more than what has been declared in the tax invoice.
  • Any other similar reasons.
In order to regularize or correct these kinds of errors or situations, the supplier is allowed to issue what is called as debit note to the recipient, indicating the adjusted values. The debit note also includes supplementary invoice.
What is Credit Note and when it is issued?
A supplier of goods or services or both is mandatorily required to issue a tax invoice. However, during the course of trade or commerce, after the invoice has been issued there could be situations like: The supplier has erroneously declared a value which is more than the actual value of the goods or services provided.
  • The supplier has erroneously declared a higher tax rate than what is applicable for the kind of the goods or services or both supplied.
  • The quantity received by the recipient is less than what has been declared in the tax invoice.
  • The quality of the goods or services or both supplied is not to the satisfaction of the recipient thereby necessitating a partial or total reimbursement on the invoice value.
In order to regularize or correct these kinds of errors or situations, the supplier is allowed to issue what is called as credit note to the recipient. Once the credit note has been issued, the tax liability of the supplier will reduce.
What is the common portal for generation of e-invoice?
The common portal for generation of e-invoice is https://einvoice1.gst.gov.in
Will businesses now be required to generate e-invoices on the GST portal or the e-invoice portal or the IRN portal?
No. Businesses will continue to generate e-invoices on their internal systems -whether ERP or their accounting / billing systems or any other application. The e-invoicing mechanism only specifies the invoice schema and standard so as to be inter-operable amongst all accounting/billing software and all businesses.

Registration

I have already registered in GST Portal. Whether I need to register again on the E-invoice system Portal?
Yes. All the registered users under GST who wish to generate IRN need to register on E-invoice system using his GSTIN. Once GSTIN is entered, the system sends an OTP to his registered mobile number registered with GST Portal and after authenticating the same, the system enables him to generate his/her username and password for the E-invoice system. After generation of username and password of his/her choice, he/she may proceed to make entries to generate IRN.
I have already registered in EWB Portal. Whether I need to register again on the E-invoice Portal?
No, Users who are already registered on the e-way bill portal need not to again register on the e-invoice system. User can use EWB login credentials to login at e-invoice system.
Whenever I am trying to register, the system is saying you have already registered, how should I proceed?
This is indicating that you (your GSTIN) have already registered on the E-invoice system or e-way bill system and have created your username and password on the e-way bill or e-invoice system. Please use these credentials to log into the e-invoice system. If you have forgotten username or password, then please use the ‘Forgot Username’ or ‘Forgot Password’ facility provided on the portal to recollect your username or create new password accordingly.
Whenever I am trying to register, the system is saying there is no contact (Mobile) number with this GSTIN in GST Common Portal, how should I resolve this issue?
This is indicating that e-invoice system is unable to get the contact details (mobile number of email address) for your GSTIN from the GST Common Portal. Please contact GST helpdesk 0120-4888999.
Whenever, I’m trying to register with my GSTIN, the system is saying ‘Invalid GSTIN’ or the details for this GSTIN are not available in GST Common Portal. How should I resolve this issue?
This is indicating that the GSTIN entered by you is wrong or your GSTIN details are not available in the GST Common Portal. Please check the GSTIN entered or go to the GST portal and check the details of your GSTIN under ‘Search Taxpayer’ tab.
Whenever I am trying to register, the system is showing wrong address or mobile number. How should I resolve this issue?
This is indicating that you might have updated your business registration details in the GST Common Portal recently. Please ‘Update from Common Portal’, to pull the latest data from the GST Common Portal. If even after this action, wrong data is displaying, kindly update the details in GST common portal through amendment process.
Who all can register at e-invoice system and can generate IRN?
The GST Council has proposed that the electronic invoicing (e-invoice) system will be implemented on a voluntary basis for taxpayers having turnover above Rs 500 Crores from 1st January 2020. SO Initially business having turnover of 500 Crores can register at e-invoice system and generate IRN.
Will it be possible to allow invoices that are registered on invoice registration system/portal to be downloaded and/or saved?
Yes. IRP System after registering the invoice, will share back digitally signed e-invoice for record of supplier.

Generation of IRN

What is Invoice Reference Number (IRN)?
The Invoice Reference Number (IRN) is a unique number (also known as hash) generated by the e-invoice system using a hash generation algorithm. For every document such as an invoice or debit or credit note to be submitted on the e-invoice system, a unique 64 characters Invoice Reference Number (IRN) shall be generated which is based on the computation of hash of GSTIN of supplier of document (invoice or credit note etc.), Year and Document type and Document number like invoice number. This shall be unique to each invoice and hence be the unique identity for each invoice for the entire financial year in the entire GST System for a taxpayer.
How do I generate IRN?
To generate IRN user have to login e-invoice system and select ‘generate new’ option under e-invoice. User has to furnish transaction details, Bill to-Ship to details and Item details according to the document in hand and click generate. E-invoice system will generate 64 characters length IRN with a digitally signed e-invoice and QR code.
Can I generate IRN for an Invoice for which IRN is already generated?
No, only unique invoice from a taxpayer will be accepted by the e-invoice system. E-invoice system will check ini Central Registry of GST system to ensure that same invoice from same supplier pertaining to same financial year is not being uploaded again for generating one more IRN.
What are the reverse charges in e-invoice system?
Reverse Charge means the liability to pay tax is on the recipient of supply of goods or services instead of the supplier of such goods or services in respect of notified categories of supply.
What is B2B invoice and when to select it?
B2B invoice is a transaction that is taking place between two registered businesses. Business-to-Business (B2B) means that one is selling a product or service to other Business house. In B2B transaction, the customer is also registered person and is eligible to take ITC. User should select B2B category when he has invoice dealing with another Business.
What is B2G invoice and when to select it?
Business-to-Government (B2G) invoice is transaction occurred between a Business to the government agencies. It includes the business model that refers to businesses selling products, services to government departments or government agencies. Here, the government department or agency means registered TDS Authorities. The tax payer should select B2G category when they have invoice dealing with government agencies.
How long will the generated e-invoice be available in the government portal?
Once the e-invoice system has validated and registered an invoice, it will be made available to the taxpayer for reference on e-invoice system for only 24 hours.
What should I do if state is not auto-populated on entering PIN code?
If state name is not auto-populated, then select the correct state and continue IRN generation.
How to handle “Bill to - Ship to” e-invoices?
Sometimes, the tax payer raises the bill to one and sends the consignment to somebody else as per the business requirements. There is a provision in the e-invoice system to handle this situation, called as ‘Bill to - Ship to’. In the e-invoice form, there are two portions under ‘TO’ section. In the left hand side - ‘Billing To’ GSTIN and trade name of the buyer is entered and in the right hand side - ‘Shipping to’ address. The other details are entered as per the invoice.
How to handle “Bill from” - “Dispatch from” invoice in e- invoice system?
Sometimes, the supplier prepares the bill from his business premises to consignee, but the consignment is moved from some others’ premises to the consignee as per the business requirements. This is known as ‘Bill From - Dispatch From’. e- Invoice system has provision for this. In the e-invoice form, there are two portions under ‘FROM’ section. In the left hand side - ‘Bill From’ supplier’s GSTIN and trade name are entered and in the right hand side - ‘Dispatch From’, address of the dispatching place is entered. The other details are entered as per the invoice.
What are pre-requisites to generate the e-invoice?
The pre-requisite for generation of e-invoice is that the person who generates e-invoice should be a registered person on GST portal and e-invoice system or e-way bill system. The documents such as tax invoice or bill of sale or Debit Note or credit Note must be available with the person who is generating the e-invoice. If a user is generating Bulk invoices, then he/she should have a valid JSON file as per the e-invoice schema to upload on the e-invoice system.
How can anyone verify the authenticity or the correctness of e-invoice?
Anyone can verify the authenticity or the correctness of e-invoice by uploading the signed JSON file or Signed QR Code into e-invoice system.
What is the meaning of digitally signed e-invoice?
The digitally signed invoice is one which has been digitally or electronically signed by the IRP after receiving the invoice upload from the supplier. That is, the government is authenticating the genuineness of the invoice submitted/registered by the tax payer.
Whether the facility of adding discount amount at line item-level would be mandatory in nature?
The e-invoice has a provision for capturing discount at line item level. The discounting at line item level is to be mentioned only when and if it is applicable in the particular transaction.
Would the Supplier be allowed to issue his own invoice and if yes, will the Invoice number and IRN be required to be mentioned?
Yes, the supplier will issue his own system’s invoice, in the standard e-invoice schema that has been published. IRN will be generated and returned by the IRP as per the process described in the concept and flow. E-Invoice will be valid only if it has IRN.
The current e-invoice template provides total discount for all the products or services. Will this be possible in the e-invoice?
Yes. There is a mechanism and placeholders to provide discounting on item level as well as total discounts on the invoice value.

Signed QR

What is the meaning of digitally signed QR code?
The digitally signed QR code of the invoice is one which has been digitally or electronically signed and prepared the QR Code by the IRP after receiving the invoice upload from the supplier. That is, the government is authenticating the genuineness of the invoice, by preparing the important information of the invoice in QR Code form and signing it so that it can be genuineness of the invoice can be verified offline by anyone using offline tools. The E-invoice will generate a QR code, containing some important parameters of invoice and digital signature of it so that it can be verified on the central portal as well as by an Offline App. This will be helpful for tax officers checking the invoice on the roadside where Internet may not be available all the time. The web user will get a printable form with all details including QR code. The QR code will consist of the following e-invoice parameters:
  • GSTIN of Supplier
  • GSTIN of Recipient
  • Invoice number as given by Supplier
  • Date of generation of invoice
  • Invoice value (taxable value and gross tax)
  • Number of line items.
  • HSN Code of main item (the line item having highest taxable value)
  • Unique Invoice Reference Number (hash)

Cancellation of IRN

Can IRN be deleted or cancelled?
The IRN once generated cannot be modified or deleted. However, if IRN is generated with wrong information, it can be cancelled and generated afresh. The cancellation is required to be done within twenty four hours from the time of generation.
If there is a mistake or wrong entry in the e-invoice, what has to be done?
If there is a mistake, incorrect or wrong entry in the e-invoice, then it cannot be edited or corrected. Only option is cancellation of e-invoice and generation of a new one with correct details.
Whether e-invoices generated through GST system can be partially / fully cancelled?

E-Invoice can’t be partially cancelled. It has to be fully cancelled. Cancellation has to be done as per process defined under Accounting Standards.

The e-invoice mechanism enables invoices to be cancelled. This will have to be triggered through the IRP, if done within 24 hours. After 24hours, the same will need to be done on the GST System.

User Management

What is the need to create sub-users?
Many of the businesses have multiple places of business or head office and branch at different locations or work remotely from the principal place of business. Generating IRN with a single login may be a challenge for them. To overcome this challenge business can create multiple sub-users. A sub-user can use the same login credentials created originally and perform the actions as per the access that is given to them. For example, a sub-user may be allowed to generate IRN and restricted to accept IRN.
Why do I need sub-users?
Most of the times, the tax payer or authorized person himself cannot operate and generate IRN’s. He will be dependent upon his staff or operator to do that. He would not like to avoid sharing his user credentials to them. In some firms, the business activities will be operational 24/7 and some firms will have multiple branches. Under these circumstances, the main user can create sub-users and assign the roles to them. He can assign generation of IRN or report generation activities based on requirements. This facility helps him to monitor the activities done by sub-users. However, the main user should ensure that whenever employee is transferred or resigned, the sub-user account is frozen / blocked to avoid mis-utilisation.
How many sub-users can be created?
For every principal/additional place of business, user can create maximum of 10 sub-users. That is, if tax payer has only (one) principal business place (and no additional place of business), he can create 10 sub-users. If tax payer has 3 additional places and one principal place of business ( ie 4 places), then he can create 40 (4 X 10) sub users.
When to freeze the sub-users and the steps to follow?
The e-invoice system gives an option to the taxpayer to freeze the sub-user i.e Disable the sub-user from using facilities on the e-invoice system.
Step 1: Click ‘Freeze Sub-user’ under the option ‘User Management’ on the left-hand side of the dashboard
Step 2: Select the sub-user you want to Freeze, the below screen opens up. Now click on ‘Freeze’ button appearing at the bottom of the screen. On clicking the ‘Freeze’ button, The sub-user will no longer be able to access any facilities on the e-invoice system.
How to generate the IRN from different registered business places?
The registered person can generate the IRN from his account from any registered business place. However, he/she needs to enter the address accordingly in the e-invoice form. He/she can also create multiple sub-users and assigned to these places and generate the IRN accordingly.
Why are the reports available only for a particular day?
The user is allowed to generate report on daily basis. Because of criticality of the system for performance for 24/7 operation, the reports are limited to be generated for a day. The user can change date and generate the report for that date. Hence, the user is advised to generate report daily and save in his system.

Other modes of generation of IRN

What are the Modes of Generation of e-invoice, the taxpayer can use?
Multiple modes given below are envisaged at this stage under the proposed system for e-invoice, through the IRP (Invoice Registration Portal)/e-invoice system:
  • Web based
  • API based
  • Mobile app based
  • Offline tool based and
  • GSP based
How to generate Bulk e-invoices?
Steps to generate Bulk e-invoice:
  • Login on the e-invoice portal using the username password and entering the captcha code.
  • Select ‘Bulk Upload’ under 'E-Invoice' appearing on the left-hand side of the dashboard.
  • Choose the saved JSON file from your system and click 'Upload’. After processing the JSON file the system generates list of e-invoice or error message.
How can the taxpayer use the Android App to generate the IRN?
The taxpayer has to register the IMEI (International Mobile Equipment Identity) number of the mobile phones through which he intends to generate IRN on the e-invoice system. Please see the user manual for Mobile App based IRN generation available on the portal for further details.
How to download mobile app?
The mobile app is not available in Play Store or App Store. The main user has to login and select the ‘for mobile app’ under registration menu at e-invoice system. The system asks to select the user/sub-user and enter the IMEI number of the user. Once it is entered, the concerned user gets the link in his registered mobile to download the app through SMS. Now, the user has to download the app by clicking that link and enable it to get installed on the mobile.
What is bulk generation facility and who can use it?
Through this facility, user can upload multiple invoices and generate multiple e-invoices at one go. This facility can be used by the taxpayers, who can prepare bulk requests for IRN in a JSON file from their automated system, and upload it on the e-invoice system and generate IRN in one go. This avoids duplicate data entry into e-invoice system and avoids data entry mistakes also.
How to use the bulk generation facility?
To use the bulk generation facility, one has to prepare the IRN requests through JSON file. This can be done in two ways – registered taxpayer can prepare the JSON file directly from his automated system. If he is unable do so, he can use excel based bulk generation tool available on the e-invoice portal. The invoice and other details need to enter as per the format and JSON file can be generated. This JSON file needs to be uploaded in the e-invoice portal for generation of multiple IRN. For more details, please refer to the ‘user manual of the bulk generation’ and ‘bulk generation tools’ under “Tool” section at E-invoice portal and follow the instructions.
What are the benefits of the bulk generation facility?
Benefits of the bulk generation facility are as follows:
  • Generation of multiple IRN in one go
  • It avoids duplicate keying in of the invoices to generate IRN
  • It avoids the data entry mistakes while keying in for generation of IRN
How can the registered person integrate his/her system with e-invoice system to generate the IRN from his/her system?
The integration between e-invoice system and registered person's system can be done through APIs. For availing this facility, the registered person should register the server details of his/her systems (through which he wants to generate the IRN using the APIs of e-invoice system) with e-invoice system. For further details, please go through the user manual.
What is API Interface?
API interface is a site-to-site integration of two systems. Using this, the taxpayer can link his IT system with E-Invoice system to generate IRN directly from his IT solution without keying in the details for e-invoice form in the Portal. This reduces duplicate data entry and eliminates the data entry mistakes.
What are the pre-requisite for using API interface?
API interface is a site-to-site integration of website of taxpayer with the E-invoice system. API interface can be used by large taxpayers, who need to generate bulk INR’s per day. However, the taxpayer should meet the following criteria to use the API interface:
  • His invoicing system should be automated with IT solutions.
  • He should be ready to change his IT system to integrate with E-invoice system as per API guidelines.
  • His system should have SSL based domain name.
  • His system should have Static IP Address.
  • He should have pre-production system to test the API interface.

Miscellaneous

What is the government’s e-invoice initiative all about?
The government shared a draft of an e-invoice format in an excel sheet for public feedback in August 2019. The draft was later approved by the GST council with a few changes so it was compliant to Indian tax laws and GST norms. This format will help in standardising the format across all industries.
The e-invoice format primarily contains three parts:
  • The e-invoice schema contains a list of technical field names, their descriptions, and a few other values with notes. It also specifies whether a field is mandatory or not.
  • Masters will inform you about the inputs for specific fields as defined by the GSTN, like state code, invoice type, supply type, etc.
  • The e-invoice template has been designed in compliance with GST rules. The mandatory fields are highlighted in green while optional ones are in yellow.
What are the benefits of introducing an e-invoice in our tax system?
Generating an e-invoice is usually the responsibility of a taxpayer who reports to the IRP in GST. Next, the IRP will generate a unique Invoice Reference Number (IRN) and a QR code. This digitally signed document will be sent to the taxpayer and the recipient.
Here are some benefits for businesses if e-invoicing comes into play:
  • E-invoicing solves the issue of data reconciliation, allows interoperability, and helps to eliminate errors during manual data entry.
  • You can track the e-invoices, prepared by the suppliers, in real-time. This is possible only when the supplier has enabled the specific permission.
  • An e-invoice system will make the process of filing tax returns easier. The details from the e-invoice will be auto-populated on tax return forms and while generating e-way bills.
  • Frequent audits or surveys are unnecessary because all transaction details will be made available. The value of input credit and output tax can be matched by the system.
  • Upon receiving a receipt of purchase via the GST system, the buyer can compare it with their purchase order and accept/reject the information under new returns.
  • This initiative will also build efficiency within the tax administration by helping to identify fake invoices.
Will invoices be generated directly from the government’s tax portal?
No. Taxpayers will have to generate invoices using accounting or billing software. Small taxpayers have the option of choosing from one of the eight free accounting software available on the government’s website.
Is the e-invoicing system being used in any other countries?
There are several other countries across the globe that have implemented the e-invoice system. The list of countries include South Korea, Brazil, parts of Latin America and Europe.
Will there be separate invoice formats required for Traders, Medical Shops, Professionals and Contractors?
There will not be any separate invoice formats required for Traders, Medical Shops, Professionals and Contractors. Same e-invoice schema will be used by all kinds of businesses. The schema has mandatory and non-mandatory fields. Mandatory field has to be filled by all taxpayers. Non-mandatory field is for the business to choose. It covers all most all business needs and specific sectors of business may choose to use that non-mandatory field which are needed by them or their eco-system.
Will it be possible to add transporter details as well?
No, the transporter details must be entered in the E-Way bill system only.
How to Print an E-Invoice?
Here are the steps to follow:
  • Login on the e-invoice portal using the username password and entering the captcha code.
  • Select ‘Print’ under 'E-Invoice' appearing on the left-hand side of the dashboard.
  • Enter the 64 character length invoice reference number and click ‘Go’
With the introduction of e-invoices, what are the documents need to be carried during transit of goods?
For transportation of goods, the e-way bill will continue to be mandatory, based on invoice value guidelines. This aspect will be notified by the Government.
Please clarify whether exports would require e-invoice compliance.
Yes, the e-invoice schema also caters to the export invoices as well. The e-invoice schema is based on most common standard format and it meets the requirements of the export as well.
How will e-invoice help in controlling tax frauds?
The e-invoicing system will curb tax frauds in the following ways:
  • With the implementation of e-invoicing, tax authorities will have access to all their transactions as they have to be uploaded on the GST portal.
  • Manipulating invoices will not be easy as they will have to be generated before the transaction takes place.
  • The system will allow you to spot fake invoices easily by matching the input tax credit with the output tax details on the GSTN portal.
Is a taxpayer also required to sign an e-invoice?
The e-invoice schema has a field for accepting digital signature. If a signed e-invoice is sent to the Invoice Registration portal (IRP), it will be accepted. Based on the latest updates on the proposed system, the IRP will be validating and digitally signing the e-invoice. Following this, the signed e-invoice will be shared with the creator and the recipient.
Is there space for company logo in the e-invoice template?
No. The software companies can program their accounting/ billing software to print the logo in the invoices. However, the logo will not be a part of the JSON payload of the invoice being sent to the IRP.
Can a supplier issue an invoice? If so, does the supplier have to mention invoice number and IRN?
A supplier can issue an invoice which should comply with the e-invoice schema fixed by the GST Council. According to the process flow of the proposed system, the IRP will generate and return the IRN to the seller.
Is bulk-upload of invoices possible?
Invoices will always be uploaded one at a time. When there are a huge number of invoices to be uploaded by large taxpayers, then it may appear like a bulk upload to the user. In reality, the ERP/ accounting system of these businesses are designed in a way where they can handle requests one at a time.
Is there a time limit for uploading e-invoices for registration?
As soon as the JSON payload of the invoice is sent to the IRP, it will get registered immediately, at real-time. The e-invoice will not be considered valid without an IRN and validation and registration from IRP.
Is it possible to partially or fully cancel an e-invoice generated via GST system?
E-invoice mechanism does not allow invoices to be partially cancelled. They have to be fully cancelled. If the cancellation takes place within 24 hours, it will be triggered through IRP else it has to be done on the GST system. Cancellation will be done based on the process mentioned under the Accounting Standards. Once the invoice is cancelled, you cannot generate a new invoice using the same invoice number.
Can we amend the invoices uploaded on IRP? If yes, how will it be done?
Yes. The invoices reported to IRP will be sent to GST system. Hence the amendments to be made will have to be done on the GST system and not on the IRP.
How can a foreign service provider integrate with IRP?
If you are foreign service provider within Indian shores, then you can integrate with IRP.
Is it possible for an IRP to reject a submitted invoice?
IRP is responsible for validating and checking duplication of invoices. If there are duplicate invoices found, then the IRP will return those invoices with an error message without completing the registration.
Source:
  • e-Invoice Portal
  • Zoho books

e-Way Bill

Introduction

Introduction of GST across India with effect from 1st of July 2017 is a very significant step in the field of indirect tax reforms in India. For quick and easy movement of goods across India without any hindrance, all the check posts across the country are abolished.
The GST system provides a provision of e-Way Bill, a document to be carried by the person in charge of conveyance, generated electronically from the common portal.
To implement the e-Way Bill system, ICT based solution is required. Hence, as approved by the Goods and Services Tax (GST) Council, a web based has been designed and developed by National Informatics Centre (NIC) and it is being rolled out for the use of taxpayers and transporters. The API interface based mechanism is also enabled for the tax payers to generate the e-way bills directly linking their system with e-Way Bill system. To know more about API based interface mechanism of e-way bill system follow the link .


The intention of the implementation of E-Way Bill in place of road permit is
  • Remove Physical Barriers at State Border.
  • Reduce waiting time of vehicle at state border for checking.
  • Track revenue leakage if any.
  • No misuse of input tax credit (ITC)
  • Reduction in Paper Work
  • Uniformity Across Country

Waybill under Earlier VAT system

In order to monitor the bulk trade which necessarily takes place through trucks, it was mandatedunder VAT that each such consignment shall be accompanied by a ‘Delivery Note’ which were issued from the VAT offices to the taxpayers. At the end of every month the taxpayer had to submit an utilisation statement of the forms issued. The intention of the tax office was that to control the tax evasion being done by few of the tax payers. The taxpayer also used to facea great deal of hardship while seeking the blank Delivery Notesashe/she would have to make several visits to the tax office. At check-posts the trucks, would getdetained for a long time on frivolous grounds.Thus, it was a lose-lose situation for the trade as well as the government. In order to overcome these challenges, anew idea/system was introduced. In the new system, the taxpayer could upload the details of each transaction to the departmental ‘Server’ through the internet, and once uploaded the ‘Server’ would automatically generate a Delivery Note witha unique number, then this unique number could accompany the goods vehicle as a proof of having uploaded the transaction. Such a system would by itself ensurethat oncethe Delivery Note is issued there could be no possibility of tax evasion. It was one of the most successful and efficient system of prevention of tax evasion on one hand and an e-Governance initiative that provided the speedy and efficient services to the taxpayers on the other hand. This system was introduced and used by number of states.

E-Way Bill System under GST

Unique Selling Proposition (USP) of Goods and Services Tax is One Nation - One Tax – One Market. Introducing a separate way bill for each State under the GST system would definitely complicate the compliance and in turn affect the business of the taxpayers and transporters. Such a system of separate e-WayBill for each State would result in hindrance of movement of goods and free trade from one state to another. The State and Central Government officers will also find it difficult to cross-verify such e-WayBills if generated independently by each State. A new process is thus required which would ensure that a taxpayer, prior to movement of goods via a conveyance, would inform each transaction’s details to the tax department, obtain an acknowledgement number for having thus informed, and then use this acknowledgement number asa valid document accompanying the truck. The idea is that the taxpayer be made to upload the details of each transaction to a common portal through the Internet, and once uploaded, the common portal would automatically generate a document which can be tracked and verifiedeasily by any stakeholder.

E-Way Bill in GST Rule

  • Information to be furnished by every registered person prior to commencement of the movement of goods and generation of e-WayBill.
  • Upon generation of the e-Way Bill on the common portal, a unique e-Way Bill number (EBN) shall be made available to the supplier, the recipient and the transporter on the common portal.
  • The person in charge of a conveyance shall carry — (a) the invoice or bill of supply or delivery challan, as the case may be; and (b) a copy of the e-Way Bill or the e-Way Bill number.
  • The details of e-Way Bill generated shall be made available to the recipient, if registered, on the common portal, who shall communicate his acceptance or rejection of the consignment covered by the e-Way Bill.
  • The information furnished while generating e-Way Bill such as 1) GSTIN of recipient 2) Place of delivery 3) Invoice Number 4) Invoice Date 5) Value of goods 6) HSN code etc. shall be made available to the registered supplier on common portal who may utilize the same for furnishing details in FORM GSTR-1.
  • An officer authorised by the State can intercept any conveyance to verify the e-Way Billor the e-Way Bill number in physical form for all inter-State and intra-State movement of goods.
  • A summary report of every inspection of goods in transit shall be recorded online by the proper officer in specified format within 24 hours of inspection and the final report in specified format shall be recorded within 3 days of the inspection.
  • Where a vehicle has been intercepted and detained for a period exceeding thirty minutes, the transporter may upload the said information inaspecified format onthe common portal.

Objectives

  • Single e-Way Bill for movement of the goods throughout the country.
  • To prevent the evasion of tax.
  • Hassle free movement of goods across India.
  • Tracking the movement of goods with e-Way Bill number.
  • Easier verification of the e-Way Bill by the officers.

Stakeholders

The objective behind introducing e-Way Bill is to effectively address the expectations and concerns of the stakeholders by leveraging the use of ICT.

The following are four key stakeholders of the e-Way Bill:
  • Suppliers – Generate the e-Way Bills and reject the e-Way Bills generated by other party against his/her name, if it does not belong to him/her.
  • Recipients – Generate the e-Way Bills and reject the e-Way Bills generated by other party against his/her name, if it does not belong to him/her.
  • Transporters – Generate the e-Way Bills, consolidated e-Way Bills and update the vehicle numbers for the e-Way Bills assigned to him for transportation by the taxpayers.
  • Department Officers – Verify the e-Way Bills and consignments carried with the e-Way Bills.

Benefits of e-Way Bill system

The major benefits of e-Way Bill system are as follows:
  • The traders need not visit tax offices to collect and submit the Way Bill forms as used to be done in VAT regimes in some states.
  • Average waiting time at mobile squad reduces drastically – As the verification of the e-Way Bill is done with the common portal, it will speed up the process of verification and allowing the vehicle to pass faster.
  • Self-policing by traders- A trader while uploading gives the identification of the buying trader who will also account the transaction automatically.
  • Environment friendly – The need of the paper form of the multiple copies of way bill is eliminated. Hence, the tons of paper are saved per day.
  • Generation of GSTR-1 returns – GSTR-1 return of the supplier is auto prepared, hence he need not have to upload the same.
  • Officials saved of monotonous work collecting and matching the manual way bill with the returns of the taxpayers.

Enhancements in e-Way Bill System

  • Auto calculation of distance based on PIN Codes for generation of e-Way Bill.
  • Knowing the distance between two PIN codes
  • Blocking the generation of multiple e-Way Bills on one Invoice/Document.
  • Extension of e-Way Bill in case the consignment is in Transit/Movement.
  • Report on list of e-Way Bills about to expire.
  • Registration of Transporters in Common Enrolment: Registered Transporters, which are having GSTIN in multiple states with same PAN, can use the common enrolment process.
For brief explaination on above points click here.

Features of the e-Way Bill system

  • User friendly System – The system is user friendly with lots of easy to use operations by the users.
  • Easy and quick generation of methods – There are a number of methods are provided using which the users can easily and quickly generate the e-Way Bills.
  • Checks and balances – The number of checks and balances have been introduced as per the requirements so that errors/mistakes of the users are eliminated.
  • Multiple modes for e-Way Bill generation – This system support different modes of e-Way Bill generation. The user can register the mode of e-Way Bill generation and use them for e-Way Bill generation.
  • Creating own masters – The user has a provision to create his own masters like customers, suppliers, products and transporters. The system facilitates to use them while generating the e-Way Bill.
  • Managing sub-users – The taxpayer or registered person can create, modify and freeze the sub-users for generation of the e-Way Bill and assign them to his employees or branches as per need. This system also facilitates him to assign the roles/activities to be played by the sub-user on the system.
  • Monitoring the e-Way Bills generated against me – The system facilitates the registered person to know the number of e-Way Bills, generated by other registered persons, against him/her. There is an option to user to reject these e-Way Bills, if they do not belong to him.
  • Generating the GSTR-1 from the e-Way Bills – Based on the e-Way Bills generated, the system pulls the GSTR-1 related information and pushes it to the taxpayers GSTR-1 returns. This avoids the taxpayers in uploading these transaction details.
  • Consolidated e-Way Bill – The system supports the transporters to prepare the consolidated e-Way Bill and hand over to the person in charge of the conveyance instead of giving the multiple e-Way Bills for movement of multiple consignments like parcel in one vehicle.
  • Enabling the unregistered transporters to use e-Way Bill – There is a provision for unregistered transporters to enrol and create a user for him to generate the e-Way Bills and update the vehicle numbers.
  • Common Enrolment – The system allow transporters who are GST registered to generate a Common Enrolment number which will allow them to generate one registration number for generating the e-way bills and updating Part-B throughout the country.
  • Alerting the taxpayers – The system alerts and notifies the users through the web and SMS about the various activities like new notifications, rejected EWB, verified EWB, etc.
  • QR bar code on the e-Way Bill – The QR code on the e-way bill helps for easier and faster verification of the e-Way Bill by the tax officers.
  • Integrating with RFID for tracking the movement of the e-Way Bill – The provision has been made to integrate with the RFID for tracking the movement of e-Way Bill by the tax officers, without stopping the vehicle on the road.

Exemptions

An e-way bill is not required in the following cases:
  • If the value of the consignment is less than Rs. 50,000.
  • When the goods being shipped are exempt from GST.
Note: If the consignment contains both - exempt and taxable goods, the value of exempt goods is excluded from the value of the consignment.
  • If goods are transported by non-motorized conveyances (example: railways). Though an e-way bill is not required, an invoice or a challan should be carried during the transportation of goods.
  • If goods are transported from a port, airport, air cargo complex or land customs station to an inland container depot or a container freight station for clearance by the Customs Department.
  • Transport of goods as specified in Annexure to Rule 138(14) of the CGST Rules, 2017.

Blocking/Unblocking of E-Way Bill Generation

If the GST registered taxpayer has not filed Return 3B for the last two successive months in GST Common portal, then that GSTIN will be blocked for further generation of e-way bill either as Consignor, Consignee or Transporter. Once the Return-3B is filed in the GST Common Portal, the blocked GSTIN will get automatically updated as ‘Unblocked’ within a day in the e-Way bill system and the tax payer can continue with e-way bill generation. To know more about this click here.

FAQs

General

What is an e-Way bill?

E-way bill is a document required by a person in charge of the conveyance carrying any consignment of goods of value exceeding ₹ 50,000 as mandated by the Government. It is generated from the GST Common Portal for E-Way bill system by the registered persons or transporters who cause movement of goods before commencement of such movement.

Who should generate an e-way bill?

The consignor or consignee, as a registered person or a transporter of the goods can generate the e-way bill. The unregistered transporter can enroll on the common portal and generate the e-way bill for movement of goods for his/her clients. Any citizen, other than the above, can also generate the e-way bill for movement of goods for his/her own use.

Note: The consignor can authorize the transporter/courier agency/e-commerce operator to fill PART-A of the e-way bill on their behalf.
An e-way bill should be generated irrespective of the value of the consignment (even if the value is lesser than Rs.50,000) in two cases:
  • When the goods are supplied by a principal to a job worker in an inter-state transaction.
  • During an inter-state transfer of handicraft goods by a supplier who has been exempted from GST registration.
Does an e-Way bill need to be generated in the registered business location?
Some businesses do not have one single location where they operate. Therefore an e-Way bill does not necessarily need to be generated from their headquarters or main offices. Any convenient location is acceptable, as long as the proper address from which the transportation will take place is mentioned in the bill.
How is an e-way bill generated?
An e-Way bill can be generated by a registered person through the following methods:
  • Web-based system
  • SMS-based facility
  • Android app for generating and sharing e-Way bills (available only for taxpayers and enrolled transporters)
  • Bulk generation
  • Site-to-site integration
  • GSP (Goods and Services Tax Suvidha Provider)
Why is an e-Way bill generated?
Section 68 of the Goods and Services Tax Act says that the Government may require a person in charge of conveyance of goods exceeding a value of Rs. 50,000 to possess an e-Way bill. Every e-Way bill generated by a consignee or consignor of goods is automatically updated in the outward sales returns (GSTR1) of the supplier. This saves tax officials time and leaves little room for tax evasions. e-Way bills also reduce paperwork and inter-state clearances for buyers, sellers and transporters.
When is an e-Way bill not required?
An e-Way bill is not required:
  • If non-motorised conveyances such as railways are being used to transport goods. Although an e-Way bill is not required here, an invoice or a challan must be carried during transportation.
  • If goods are shifted from a port, airport, air cargo complex or land customs station to an inland container depot or station for clearance by the Customs Department.
  • If goods specified in Annexure to Rule 138(14) of the CGST Rules, 2017 are being moved.
What types of transactions require an e-Way bill?
All types of transactions which transport goods either as outward or inward supplies or for non-supply reasons, such as transporting for one’s individual use, require an e-Way bill.
What are the pre-requisites needed to generate an e-Way bill?

The pre-requisite for generation of eway bill is that the person who generates eway bill should be a registered person on GST portal and he should also register in the eway bill portal. If the transporter is not a registered person under GST it is mandatory for him/her to get enrolled on e-waybill portal before generation of the e-way bill.

The transporter must carry an invoice, bill of supply, or delivery challan and a transporter’s ID along with the goods they are moving and he must be available with the person who is generating the e-way bill.

What are the contents of an e-way bill?
An e-way bill has two main components:

(1) Part A contains GSTIN of the recipient, Place of delivery (PIN Code), Invoice/Challan number and the date of issue, Value of goods, HSN code, Transport document number (Goods Receipt Number /Railway Receipt Number/Airway Bill Number/Bill of Lading Number), Reasons for transportation.

(2) Part B contains the details of the transporter (example: their Vehicle Number, LR Number etc.)

When is an e-way bill generated?
An e-way bill must be generated before the goods are shipped and it should include details of the goods, their consignor, recipient and transporter.
An e-way bill is generated for:
  • Supply of goods
  • Non-supply transactions like export/import, return of goods, job work, line sales, sale on approval basis, semi or completely knocked down supply, supply of goods for exhibition or fair, and goods used for personal consumption.
Can I consolidate multiple invoices into one e-Way bill?
No, multiple invoices cannot be consolidated into one e-Way bill. You need to generate an e-Way bill for each invoice, irrespective of whether the goods have the same or different consigners and consignees. However, after generating the individual e-Way bills, you can consolidate them into a single document if the consignments are transported in the same vehicle. This situation is also known as ‘Transshipment’.
How are goods with an e-Way bill inspected in transport?
  • An authorized officer may halt the vehicle to check the e-way bill or see the e-way bill number on paper.
  • Verification of the e-way bill may be done through a Radio Frequency Identification Device (RFID), if the e-way bill has been mapped with RFID.
Is there any penalty if the transporter fails to generate an e-Way Bill?
Yes. If a consignment is found without an e-way bill, the concerned person should pay a penalty of Rs. 10,000 or the equivalent amount of tax evaded (the greater of the two).
How can you verify the authenticity of an e-Way bill?
The authenticity of an e-Way bill can be verified by entering details such as the e-Way bill number, date, generator ID and document number in the search option of the e-Way bill portal.
During Transit, what happens if goods are transferred from one vehicle to another vehicle?
When goods are transferred from one vehicle to another during transit, before the actual transfer, and before further movement takes place, the transporter will need to update the details of the vehicle in the e-Way Bill in the Form GST EWB 01, through the common portal.
Note: If goods are transported for a distance less than 10 km within the State or Union territory from the business place of the transporter finally to the business place of the consignee, then it is not mandatory to update the details of the vehicle in the e-Way Bill.
How do I generate an e-Way bill if goods from one invoice are being moved by multiple vehicles simultaneously?
When goods of one invoice are being transported in several batches, a separate e-Way bill must be generated for each consignment based on its respective delivery challan details.
Also, the supplier must take care to issue:
  • A complete invoice before dispatching the first consignment.
  • A delivery challan for each consignment along with a certified copy of the invoice.
  • The original copy of the invoice, to be sent along with the last consignment.
How do I generate e-Way bills for invoices which have different “Bill to” and “Ship to” addresses?
If the “Bill to” and “Ship to” addresses are under the same name, then one e-Way bill is sufficient for the entire transaction. If the addresses are under different names, then two e-Way bills must be generated: one with the “Bill to” party’s address as the place of delivery, and one with the “Ship to” party’s address.
What happens if E-Way Bill is generated but goods are not transported?
In case the e-Way Bill is generated but the goods have not yet transported to the destination, then the bill needs to be canceled. It can either be canceled electronically via the GST website or through a GST Facilitation Centre within 24 hours of generation of the bill. If any officer has already verified the bill during transit, then it cannot be canceled.
What happens if recipient of goods does not communicate the acceptance or rejection within 72 hours?
If the recipient does not confirm his/ her acceptance or rejection within 72 hours, it is assumed that he/she has accepted the consignment, by default.
What if I want to cancel the e-way bill?
An e-Way Bill can be canceled via the GST website/ API/ SMS within 24 hours of its generation. However, the bill cannot be canceled if an officer in transit has verified the same.

Registration And Enrolment

How do I register on the e-Way bill portal?

All registered taxpayers under GST must register on the e-Way bill portal using their GSTIN.

Once the GSTIN is entered, the system sends an OTP to the registered mobile number for authentication and asks to create an account and start generating an e-Way bill.

What is a Transporter ID and how do I enrol for it?

A TRANSIN or Transporter ID is a unique 15-digit number which is generated by the e-Way bill system for an unregistered transporter. It is based on the state code, PAN, and Check code and can be shared among other individuals who are part of the transaction. The Transporter ID can be used to identify an unregistered transporter and assign an e-Way bill to them, instead of the GSTIN which is used by registered transporters.

Transporters can enrol themselves here.

Contents

What does an e-Way bill contain?
An e-Way bill is split into two parts, A and B.
  • Part A contains the GSTIN of the recipient, place of delivery, invoice/challan number, value of the goods, HSN code, transport document number and the reason for transportation.
  • Part B contains details about the transporter, such as their vehicle number.
What is a Part-A slip?
A Part-A slip is an entry made by the user to temporarily store the document details on the e-Way bill system. This can be shared or used later to enter the Part B details and generate an e-Way bill.
Why is my system showing me the Part-A slip instead of generating my e-Way bill after I enter my details?
If details in Part B are left incomplete, the system will take you back to the Part-A slip. This is an indication that you still need to complete the e-Way billing process.
Is filling out the Part-B slip mandatory?
Yes, filling out the Part-B slip is mandatory to generate an e-Way bill. If you are not sure of the required details, you can temporarily fill out the Part-A slip, finish Part B later, and then go on to generate a bill. Part B details can be updated as many times as you want.
Why does the system show ‘Invalid Format’ while entering the vehicle number?
The system expects you to enter the vehicle number details in the proper format.
  • The first two letters of the vehicle number, from the left, indicate the state to which it is registered.
  • The next two numbers are the sequential numbers of the district.
  • The final four-digit number is unique to each vehicle.
  • These three parts are put together to make the vehicle number.
Must Part A and Part B be entered together?
Part A and B do not necessarily need to be filled out together, but all the required details of both must be entered to generate an e-Way bill.
What do I enter in the GSTIN column if I do not have one?
Enter ‘URP’ (for Unregistered Person) if you do not have a GSTIN (Goods and Service Tax Identification Number).
Is an e-Way bill required if a consumer is purchasing goods and handling the transport?
Yes, an e-Way bill is required to transport goods worth more than Rs. 50,000, regardless of the individuals and locations involved.

Updating And Editing

Can a transporter change the mode of conveyance during transportation? How?
Yes, a transporter can make use of different modes of conveyance during transportation, but the mode must be updated in the e-Way bill so that the mode of conveyance being used always matches the details given in the bill. This can be done by selecting the Updating Vehicle Number option in Part B.
What if I make a mistake in the e-Way bill? Can it be modified or edited?
Once an e-Way bill has been generated, it cannot be edited. Only Part B details can be updated, so take care to make all necessary modifications before submitting your details. However, if an e-Way bill has been generated with incorrect information, the entire bill may be cancelled and recreated. Note that cancellation must be done within 24 hours of generating the e-Way bill.
What if the system does not allow me to edit details before submission?
The system normally allows details to be edited before submission. Sometimes, if product details have been entered, the system will not allow you to edit certain fields as the tax rates may change. In order to make changes, delete the entered products and enter them again.

Validity of an e-way bill

What is the validity period for an e-Way bill?
Validity of an e-Way bill depends on the distance travelled. It begins when the first entry in Part B is made. As Part B details can be edited at any time, the validity period is not re-calculated with subsequent entries made in Part B.
How long is an e-Way bill valid?

Validity is calculated based on the distance travelled.

Other than Over Dimensional Cargo vehicles
Distance Validity Period
less than 100 km 1 day from the relevant date
For every 100 km thereafter Additional 1 day from the relevant date

For example, if a total of 110 km is travelled, then the validity lasts for 1+1=2 days.

In case of Over Dimensional Cargo vehicles
Distance Validity Period
Upto 20 km 1 day from the relevant date
For every 20 km thereafter Additional 1 day from the relevant date
What must be done if the bill has expired?

If the validity of the e-Way bill has expired, then the goods are not to be moved. Either a fresh bill with all new details must be generated, or another bill can be made with the expired e-Way bill number and new Part B details.

Cancelling And Rejecting e-WAY Bills

What happens when an e-Way bill is generated but the goods are not transported?
If an e-Way bill is generated but the goods have not been transported, then the bill can be cancelled. Note that once the bill is generated, it may be cancelled citing valid reasons, but cannot be deleted.
What happens if the recipient does not want the goods delivered?
The recipients can reject the goods if they can provide a valid reason. For example, if the details of the recipient in the e-Way bill is entered incorrectly, then they can reject it. If an e-Way bill has not been rejected within 72 hours of its creation, then it is considered to be accepted.
Is a recipient notified about e-Way bills generated on their GSTIN by another party?
If the recipient has enabled SMS notifications, they will receive a message notifying them when an e-Way bill is generated on their GSTIN. If they have not enabled SMS notifications, they can find out about e-Way bills generated on their GSTIN by logging in to their account in the system.

Consolidated e-WAY Bills

What is a consolidated e-Way bill or Form GST EWB-02?
A consolidated e-Way bill is a single document that contains all the e-Way bills created for multiple consignments being carried by one conveyance or goods vehicle. This feature permits the transporter to carry one document for the entire set of goods being transported. It is officially called Form GST EWB-02.
How is a Consolidated e-Way Bill generated?
To generate a consolidated e-Way bill for the movement of multiple consignments in one vehicle, the transporter logs in to the system, navigates to the Consolidated e-Way Bill tab, and selects the Generate New option.
How long is the consolidated e-Way bill valid?
A consolidated e-Way bill does not have a validity period on its own as it is made up of individual bills. Each bill has its own validity period.
Can I change the vehicle number for a consolidated e-Way bill?
Yes, you can change the vehicle number of your existing EWB without having to generate a new bill from scratch. Navigate to the Consolidated EWB menu and select the Regenerate CEWB tab.
Can a CEWB contain goods for multiple destinations?
Yes, a consolidated e-Way bill can contain goods which are to be delivered on the way to the final destination. Each destination’s goods must still have their own individual e-Way bill.

Masters

What are masters? Why are they required by the e-Way portal?

A master is a report of all the products, clients, suppliers and transporters frequently dealt with by a user. A separate master can be created for each heading individually.

To generate an e-Way bill, the system asks for information such as customer details and product specifications. Typing this information every time you generate an e-Way bill can become very tedious, which is why masters were introduced.

How do I create a master?
Once you log in to your account, click My Masters. This will show you a list of the different types of masters you can create: products, clients, suppliers and transporters. Select one, fill in the details and click Submit.

Bulk Generation Facility

What is the bulk generation facility on the e-Way bill portal?
When large businesses have many consignments on the same day, it’s easier to generate all the required e-Way bills in one go instead of individually. The bulk generation facility makes this possible.
What are the prerequisites for bulk generation?
In order to make use of the bulk generation facility, users must be registered on the portal, have an invoice/bill/challan related to consignment of all goods, and have a transporter ID or vehicle number.
How do I generate a bulk e-Way bill?
After you have logged into the system, navigate to the e-Way Bill tab and select the Generate Bulk option. This will take you to the Upload and Generate screen. Upload the required JSON file for the system to process the data.
What is a bulk consolidated e-Way bill?
The bulk consolidated feature of the e-Way bill system allows the user to create multiple consolidated e-Way bills in one go. It can be accessed under the Consolidated e-Way Bill tab, by selecting the Generate Bulk option.

Sub-Users

What are sub-users and why are they needed?
Most businesses have several branches, which makes generating e-Way bills with a single login potentially problematic. This issue was resolved by introducing sub-users. Once created, a sub-user can use the initial login credentials, but their access is limited to the actions that the original user has allowed them.
How do I create a sub-user?
On the left side of the Dashboard, navigate to the User Management tab and click the Create Sub-User option. The system will send an OTP to your registered email or phone number for validation. This will take you to the User Creation screen. Enter the details and click Submit to create a sub-user.

Blocking/Unblocking of E-Way Bill Generation

What is blocking of E-waybill (EWB) generation facility?
Blocking of e-waybill generation facility means disabling taxpayer from generating E Way Bill,in case of non-filingof 2 or more consecutive GSTR3B Returnon GST Portal,by such taxpayer(refer Rule 138E of CGST/SGST Rules, 2017).The GSTINs of such blocked taxpayerscannot be used to generate the e-way bills either as Consignor or Consignee.
What is unblocking of E-waybill (EWB) generation facility?
Unblocking of e-waybill generation facility means restoring the facility of generation of E Way Bill, in respect of such taxpayers GSTIN (as Consignor or Consignee), in the event of filing of the return for the default period(s), thereby reducing the default period to less than 2 consecutive tax periods.
What is unblocking of E-waybill (EWB) generation facility?

Unblocking of e-waybill generation facility means restoring the facility of generation of E Way Bill, in respect of such taxpayers GSTIN (as Consignor or Consignee), in the event of filing of the return for the default period(s), thereby reducing the default period to less than 2 consecutive tax periods.

Also, the Unblocking can be done by the jurisdictional officer online on the GST Portal,upon considering the manual representation received from such taxpayer.

Form when blocking/unblocking of EWB generation facility is beingimplemented on EWB Portal?
Blocking of EWB generation is implemented from 1st December, 2019. Thus the users won’t be able to generate EWB for a GSTIN (whether as consigner or consignee),if the said GSTIN is not eligible for EWB generation as per Rule 138 Eof CGST/SGST Rules, 2017.
What type of Returns not filed are considered for blocking/unblocking of EWB generation facility?
Form GSTR-3B (to be filed by normal taxpayers) is considered for blocking of EWB generation facility.
When blocking of EWB generation facility at EWB Portal will be implemented for non-filing of GSTR 3B return?

As provided in Rule 138 E of CGST/SGST Rules 2017, blocking of EWB generation facility will be implemented on EWB Portal, when the taxpayer does not file GSTR 3B return for two consecutive tax periods.

Thus, taxpayers who are required to file Form GSTR-3B and have not filed it for the month of January and February, will be blocked from EWB generation facility form March onwards.

Whether recipient can generate E Way Bill of blocked GSTINs,indicating themas supplier and vice versa?
No, if a Taxpayer GSTIN is blocked for E Way Bill Generationfacility, that GSTIN cannot be entered in E Way Bill either as supplier or recipient. Thus recipient of such blocked GSTINscannotgenerate E Way Bill indicating suchblockedGSTIN as supplier.
Can transporter generate e-way bill in respect of Blocked GSTIN, either as supplier or as recipient?
No, the transporter cannot generate the e-way bills in respect of such blocked taxpayer’s GSTINs, as supplier or as recipient.
How does blocking take place in the e-waybill system?
The GST System and EWB System are integrated and accordingly GSTIN’s of the taxpayers who have not filed GSTR 3B return,for two or more consecutive period,will be blocked for EWB generation.
How does unblocking take place in e-waybill system?

In case of filing of GSTR 3B returns by taxpayers, resulting in reduction of their return filing default period of less than two tax periods,their return filing status will be updated on E-Way Bill Portal, and their GSTIN will be unblocked for E Way Bill generation facility, next day.

The Unblocking can be done by the jurisdictional officer online on the GST Portal, upon considering the manual representation received from such taxpayer.

How much time does it take to update status on E-Way Bill Portal, for generation of E-Way Bill, after return is filed on GST Portal?
Once the Return is filed on GST Portal, the blocking status is removed by the system, next day.
In spite of filing latest Returns, I have been blocked from e-waybill generation. What can I do?

If the tax payer wants to generate the e-way bills immediately, after filing the GSTR 3B Returns(on GST Portal), then theycan login to the e-way bill portal and select the option ‘Search -> Update Block Status‘ and then enter his/her GSTIN and see the status.

If the GSTINis still shown as blocked, then theycan use update optionto get the latest filing status from the GST Common Portal. If their return filing default period is less than two, their return filing status will be communicated by GST System to E Way Bill Portal, and such blocked taxpayers GSTIN will be unblocked and their E Way Bill generation facility will be restored on EWB Portal.

Taxpayersmay contact the GST helpdesk and raise agrievance, if issue is not resolved.

What happens to the already generated e-way bills,on which goods arein transit (ie EWB generated earlier pertaining to the blocked GSTINs)?
There will not be any effect/impact on the already generated e-way bills,of the blocked GSTINs. These e-way bills are valid and can beused tomovegoodsto the destination.
Can one update the vehicle and transporter details and extend thevalidity of e-way bills, if required, for the e-way bills belonging to the blocked GSTINs?
The transporters/ tax payers can update the vehicle and transporter details and carry out the extension in validity periodof these e-way bills, if required.
What is the effect of blocking/unblocking on the transporters?

There are two types of transporters –the Transporters who have only enrolled themselves on E Way Bill portal(iewho don’t have GSTIN) and the Transporters who are also registered at GST portal (ie who have GSTIN).

Transportersenrolled in EWB Portalandwho are not registered on GST portal,will not be impacted (as they are not required to file GSTR 3B returns).

If the GSTIN of the GST registered transporter is blocked, then that GSTIN cannot be used as Consignor, Consignee or transporter,while generating e-way bill and updating transporter details.

Will the e-way bill system block the updating of Transporter Id, ifregistered in GST& filing GSTR 3B return, if transporter GSTIN is blocked for EWB generation facility?

Yes, the e-way bill system will block the updating of Transporter Id, if registered in GST and has not filed the GSTR 3B Return for last two successive tax periods.

However, there will not be any problem in updating details of the enrolled transporter id(ie who don’t have GSTIN), while generating the e-way bills.

Verification of Vehicle Number

What is verificationof vehicle number in EWB Portal?
E-Way bill has been integrated with Vahan System of Transport Department. Vehicle number entered in e-way bill will now be verified with the Vahan System. If Vehicle no. is not available in the Vahan system user will get ‘Alert Message’about the non-availability of vehicle number in vahan database. However, later, such vehicle numbers will not be allowed for the generation of e-way bill.
Why am I getting alert message when I enter vehicle number in E-way Bill?
The vehicle number entered in the EWB is not available in Vahan Database, you are requested to check and update the vehicle registration with your concerned Regional Transport Office (RTO), otherwise after sometime this vehicle number will not be allowed for e-way bill generation.
When I enter Vehicle number, I get a message that Vehicle is registered in more than one RTO, what should I do ?
This message indicates that the Vehicle details are found in more than one RTOs. You need to approach your RTO and request for updationof the office. Once the details are updated this message will not appear again. Not doing so, later it will be treated as Vehicle no. is not existent and may not be allowed for e-waybill generation.
In spite of having a Valid RC of my Vehicle, I am getting alert message from e-waybill portal. What can I do?
In case, Vehicle number entered in the e-waybill is registered and system still showing ‘Alert Message’ it is suggested to reachtoyour concerned RTO. Once the vehicle details are updated in Vahan system, the status in e-Waybill system will subsequently get updated.
How do I check my vehicle number is available in Vahan system?
Vahan System provides a nation wide search over the digitized data of Registered Vehicles. You can always check your vehicle number in Vahan System.
I am unable to find my vehicle details on Vahan. How to get vehicle details added to the Vahan System?
You need to visit your RTO with original RC and other documents and get the details updated in the Vahan Database.
I am moving vehicles with Temporary Registration. Will these Vehicle numbers be allowed for e-waybill registration.
If the Vehicle number is with temporary registration, the details are not verifiedand enter the temporary number starting with TR.
Details of my Vehicle number are shown in Vahanwebsite, however, in e-way bill portal it shows not available. What should I do ?
You can contact the E-way bill Helpdesk and submit your grievance. Specify the Vehicle number which is there in Vahan system but not available in e-way bill portal.
Source:
  • e-Way Bill GST portal (Documents & FAQs)
  • Zoho books