Starting from the 1st of August, 2023, businesses with an aggregate turnover more than ₹5 crore in any FY involved in e-invoicing as per GST Notification no. 10/2023. To assist through this transition, effective business management software such as TallyPrime can be used by businesses. 

 However, there are several factors that a business must consider before enterprises implement e-invoicing including specifics of e-invoice, the time that has been set for the implementation and any set date for the extension. Thus, we have decided to create this blog with the help of which we could explain the mentioned aspects and remove all possible confusions regarding this topic. 

 In this article, you are going to learn about the six crucial steps you are expected to fulfil before you start configuring your software and other required facilities to produce and submit e-invoices.

Who are some of the entities that are entitled to file electronic invoices?

Here I want to bring to your notice the most crucial thing you need to know as a business owner – you’re only permitted or capable of filing and submitting e-invoices if your AATO is above Rs. 5 crore in any one of the Financial Year, starting from 2017-2018. The annual aggregate turnover has been proposed to be Rs. 10 crore per annum and this has been further reduced to Rs. 5 crore w. e. f 01. 08. 2023.

• This turnover is calculated with only the real business supplies where supplies of business in question means actual supplies of your business.
  
   
• It is also important to note that taxes will not be included in the formula used to determine the AATO of the business.

Did you verify the status of Enablement for your E-Invoices?

You have confirmed with regards to the conditions of the GST mandate that your business turnover is well below any of those set standards. What’s next? Before filing the e-invoices, you should also verify if the enablement status of e-invoices is available or not. Some points you need to note here are:Some points you need to note here are:

• To do this, you should navigate yourself to the Invoice Registration Portal, and verify whether your GSTIN (Goods & Service Tax Identification Number) is registered or not. You can refer here to do so.

• In the event that your invoice feature is not enabled you need to enable it before embarking on your e-invoicing filing. We shall give a detailed explanation on this in the third step.

• This is important for you to know – You don’t have to do e-invoicing if your GSTIN has passed the enablement status. If for any reason your business is out of the e-invoicing domain and if you have intimated the concerned authority about it, you can ignore this situation even if your GSTIN has been enabled.
  
  
  

  What measures to take when goods and services tax identification number (GSTIN) is not activated?

If you fall under the e-invoicing mandate with regard to your AATO and your GSTIN is still inactive then you have to activate it before anything related to the e-invoicing process begins. You can for the activation at this place.

One can facilitate the invoice under the GST through perfectly enabling the invoice through electronic means. It can be used to manage invoices in businesses, and make sure there are no kinds of differences or mistakes that may occur in this process.

To determine your GST Identification Number enablement status, you can use the link that was given in the second step. In case it is disabled, the link provided in this step can be used to enable it IF it is not enabled.

What to do when your GSTIN is enabled, but your AATO doesn’t qualify for e-invoicing? 

  In this step, we have to solve the opposite of the situation that was described above. If you didn’t get enabled GSTIN and your Annual Aggregate Turnover has not crossed ₹ 5 crores in any of the financial year with effect from 2017-18, then the message as mentioned in the second step was misleading. Here’s what you should do:Here’s what you should do: 

 Raise a Ticket:  Forward this matter to the concerned authorities and appeal to them to block your GSTIN for electronic invoicing. 

 Report the Issue:  Go to the reported link to report the problem and get the status changed to disabled as soon as possible. 

 Is it possible to keep GSTIN active on the site for my business even if its turnover does not meet the requirements of the e-invoicing system? To answer the question Let me start with the short simple answer of yes. It might not take much of a toll on your business whether or not your GST is enabled; however, it may cause your customers to have some doubts. Currently, customers can find any information about any business through the NIC website. They may then notice that your AATO is not captured in the e-invoicing mandate but your GSTIN has been enabled and request for a declaration form from you. 

Therefore, to do away such confusion and other formalities, the appropriate course of action is to log a ticket and get the GSTIN disabled as soon as it is seen enabled on the portal.

Signing up for the live invoice website 

 Your AATO is in the list of e-invoicing mandates, and your GSTIN is rightly activated on the portal. What’s next? Although you are not involved in the issuance of e-invoices, it is advantageous for you to register yourself with the live invoice registration portal or IRP of the Government before proceeding to

implement the internal e-invoicing processing software with the help of TallyPrime. To register yourself and your GSTIN on this live portal, go to the following link here. This is quite significant because you can only lead the generation of the electronic invoices once you have registered on this particular IRP. 

In this way, you can have many GSTINs and creating numerous electronic invoices would not take much of your time and energy. 

 GSP Registration 

 The third party application provider should also register for the electronic invoicing after GSTIN has been enabled and you have registered on the Invoice portal. Your third party application may be a GSP (GST Suvidha Provider), an ASP (Application Service Provider), or any other SAP (System, Applications and Product) like Tally ERP. 

 Regardless of the option chosen, you should identify it on the IRIS IRP portal and approve the API access as well.

Bottom Line

It might be looked at from the standpoint that a number of the ways that are used by businesses to produce their invoices and the way that they can manage them have been made easier through electronic invoices. Nevertheless, in order for this process to be effective; all companies that came under the e-invoicing regulation in regards to turnover should ensure they execute the following six steps without fail.