16 October 2022
Our organisation is working with Bank and NBFC collecting EMI. Our invoices are RCM. Turnover for last year exceeds 10 cr. Is it mandatory for us to raise einvoice from 01.10.2022. If answer is yes then how should we raise invoice because some Banks raise self invoice. Please guide me
09 July 2024
Yes, it is mandatory for your organization to generate e-invoices from 1st October 2022, given that your turnover exceeded Rs. 10 crore in the previous financial year. Here’s how you should proceed:
### Steps to Raise e-Invoices:
1. **Understand the Requirement:** E-invoicing involves generating invoices in a standardized format and uploading them to the Invoice Registration Portal (IRP) for authentication and issuance of an Invoice Reference Number (IRN).
2. **Integration with IRP:** Ensure your invoicing software or ERP system is integrated with the IRP. This integration allows your system to generate invoices in the required format and communicate with the IRP.
3. **Generating e-Invoices:** - Use your integrated software to generate invoices as per the e-invoicing schema prescribed by GSTN. - Include all mandatory details required for e-invoicing, such as IRN, QR code, and other specified fields. - Ensure that invoices are generated in real-time or near-real-time at the point of supply.
4. **Handling Self-Invoicing by Banks:** - Some banks and NBFCs might issue self-generated invoices for the services they receive. As a supplier, you should still generate and report your e-invoices. - Ensure that the self-invoices raised by banks include all necessary details and are reported accurately in your GST returns.
5. **Compliance and Reporting:** - After generating the e-invoice and obtaining the IRN from the IRP, issue the invoice to the bank or NBFC. - Record the IRN and other details accurately in your books and GST returns. - Maintain proper records of all e-invoices generated and ensure compliance with GST regulations.
6. **Regular Monitoring:** - Monitor updates and notifications from GSTN regarding e-invoicing rules and any changes in requirements. - Stay informed about any new guidelines or clarifications issued by GSTN or the government.
### Conclusion:
E-invoicing is aimed at improving tax compliance and streamlining the invoice reporting process. It is mandatory for organizations with turnover exceeding Rs. 10 crore to comply with e-invoicing requirements from 1st October 2022. Ensure your systems are updated and compliant to avoid penalties and maintain smooth operations with your banking and NBFC clients. If you need further assistance, consulting with a GST expert or your ERP provider specializing in GST compliance can be beneficial.
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