Some Misconceptions About E-invoicing Clear!

1. Is e-invoicing appropriate for supplies involving Reverse Charge?

Ans: E-invoicing is applicable if the invoice issued by the notified person is for supplies made by him but attracting reverse charges under Section 9(3). For example, if a taxpayer supplies services to a company (who will be discharging tax liability as a recipient under RCM), such invoices must be reported to IRP by the notified person.

2. Every business above 10 Cr T/O has comply with E-invoicing provisions.

Ans: The T/O limit has been reduced to Rs. 10 Cr under the new update, but there is still a specific list of people who are exempt from the applicability of E-invoicing:

• Special Economic Zone Units
• An insurer, a banking company, or a financial institution, including a non-banking financial company;
• A goods transport agency providing services related to the transportation of goods by road in a goods carriage;
• providers of passenger transportation services; 
• providers of services related to admission to the exhibition of cinematograph films in multiplex screens.

3. Is there a time window within which I must report an invoice to IRP, i.e. is there any validation that the 'document date' (in the payload to IRP) must be within a specified time window in order to report to IRP/generate IRN?

Ans: The portal does not keep such validation.

4. Is the supplier's signature (DSC) required when reporting an e-invoice to IRP?

Ans: No

5. Can e-commerce platforms generate e-invoices on behalf of their sellers?

Ans: Yes, if the suppliers selling through the e-Commerce entity are otherwise notified and required to report invoices under Rule 48. (4).