The advent of popular e-invoice software solutions has made it easy for businesses to generate e-invoices without any hassle. However, there’s a lot of confusion regarding which businesses need to generate e-invoices. The government recently made changes in the terms regarding businesses that must generate e-invoices.
New Rule for E-Invoicing
When e-invoicing was introduced, businesses with a yearly revenue of Rs 500 crore had to generate them. Later, it became applicable for all businesses with an annual revenue of Rs 100 crore, followed by businesses with a total yearly revenue of Rs 20 crore.
With the recent update e-invoicing compulsory for businesses with an annual revenue of Rs 10 crore above. Gradually, the limit will be brought down to businesses with annual revenue of Rs 5 crore.
The number of organizations falling under the Rs 5 crore to Rs 20 crore segment is quite significant. Therefore, reducing the barrier will also lead to an increase in the number of businesses generating e-invoices.
Benefits of e-Invoicing
Some popular benefits of e-invoice are as follows:
- It will enable suppliers to track bills in real time. Therefore, the availability of input tax credits will increase considerably.
- Generating e-bill is simple because the taxpayer will only be required to update data. Information in Part-A of the e-way bills will get generated from the GST portal automatically.
- e-Invoices will be generated in one specific format, which will support interoperability.
- Invoices generated by businesses will directly get uploaded on the GST site as part of the e invoice software. Therefore, it will support malfunction reporting. Once the invoices get validated, they are transmitted in real-time to the e-way bill portal and GST site.
- Since no data will have to be entered manually, there won’t be any scope for human error, and the data will be more accurate.
Choosing the Best e Invoice Software
TallyPrime is your comprehensive business management software to deal with e-invoicing and more. The top reasons why you should be using TallyPrime for e-invoice generation are as follows:
- Instant invoice generation: With TallyPrime, your business will be able to generate e-invoices with a single click.
- Single or bulk e-invoice: You can create a single e-invoice using TallyPrime during voucher entry. the software also enables you to create e-invoices in bulk with only a single click.
- Direct integration with IRP: Your e-invoice will get generated smoothly as all the information from your invoices gets directly uploaded to the IRP portal.
- E-Invoice Reports: Your business must be generating multiple invoices, and you need to keep track of all of them. TallyPrime ensures that you can have access to all your e-invoice reports and easily track your e-invoicing tasks.
- Receive useful alerts: In case of redundancy or accidental modification, TallyPrime’s alert mechanism will come to your rescue. It will ensure that you are always in full control.
- Access to online reports: TallyPrime helps with the generation of insightful business reports, and you can access them any time you want, even from your mobile phone.
- Digitally signed tax invoices: TallyPrime enables you to seamlessly add your digital signature to tax invoices, supply bills, and more.
- GST return filing: TallyPrime has an efficient prevention and detection mechanism to ensure that there are no discrepancies in your GST returns.
- IRN cancellation: Sometimes, the invoices for which you have already generated IRN need to be canceled. TallyPrime ensures that you can cancel such invoices and send their details to IRP regarding cancellation right from the software.
- E-Way bill: Apart from generating e-invoices, you will also be able to generate e-way bills using TallyPrime. It will save a lot of time and effort.
- Supports offline export: TallyPrime enables you to perform e-invoicing in offline mode as well in cases of temporary internet disconnection or other issues. In such circumstances, the details can be exported in JSON format and uploaded on the IRP at your convenience.
Closing Thoughts
With e-invoicing being implemented, it will ensure seamless operations, and avoid the risk of tax evasion.
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