E–invoice is a system notified by the Central Board of Indirect Taxes and Custom to electronically authenticate B2B transactions and ensures the seamless flow of tax credit between registered suppliers. The Invoice Registration Portal will generate a unique Invoice Identification Number in response to the B2B invoices reported by a registered supplier on IRP.
E-Invoice Format: Form GST INV 01
The Central Board of Indirect Taxes and Customs has notified Form GST INV 01 as the format of e-invoice. Any invoice other than this format will be immediately rejected by IRP. However, most ERP (Enterprise Resource Planning) accounting and financial software follow this format to upload the invoice to the IRP like TallyPrime. If your ERP software does not produce an e-invoice in this GST INV 01 format then contact the vendor. To understand the various errors for which your e-invoice in Tally Prime can be rejected from the common portal. It is important to learn the official format of GST INV 01. It is given below
FORM GST INV – 01
(See rule 138A)
Generation of Invoice Reference Number
| IRN: | Date: | |||||||
| Details of Supplier | ||||||||
| GSTIN | ||||||||
| Legal Name | ||||||||
| Trade name, if any | ||||||||
| Address | ||||||||
| Serial No. of Invoice | ||||||||
| Date of Invoice | ||||||||
| Details of Recipient (Billed to) | Details of Consignee (Shipped to) | |||||||
| GSTIN or UIN, ifavailable | ||||||||
| Name | ||||||||
| Address | ||||||||
| State (name and code) | ||||||||
| Type of supply – | ||||||||
| B to B supply | ||||||||
| B to C supply | ||||||||
| Attracts Reverse Charge | ||||||||
| Attracts TCS | GSTIN of operator | |||||||
| Attracts TDS | GSTIN of TDS Authority | |||||||
| Export | ||||||||
| Supplies made to SEZ | ||||||||
| Deemed export | ||||||||
Also Read: Important Guide on How To Take Backup In Tally ERP 9 For Knowledge
| Sr.No. | Description of Goods | HSN | Qty. | Unit | Price (per unit) | Value | Discount, if any | Taxable value | Central tax | State or UT tax | Integrated tax | Cess | ||||
| Rate | Amt. | Rate | Amt | Rate | Amt. | Rate | Amt. | |||||||||
| Freight | ||||||||||||||||
| Insurance | ||||||||||||||||
| Packing and Forwarding Charges etc. | ||||||||||||||||
| Total | ||||||||||||||||
| Total Invoice Value (In figure) | ||||||||||||||||
| Total Invoice Value (In Words) | ||||||||||||||||
Signature of the Signatory
The Frequent Errors in the Einvoice in Tally Prime
There are frequent errors in the invoices due to which the IRP portal rejects the invoices of the supplier. Here is a list of a few frequent errors and the Solutions to them:
| Errors shown by IRP | Reason for Error | Solutions |
| The field Location must be a string with a minimum length of 3 and a maximum length of 50 | The GST INV 01 has a specified location. It is not as per the form | Field location refers to the location of the supplier. Depending on your business operation, this can be either the same or different from the location where your supplies are shipped from. It must be within 2 or with a maximum of 30 characters without any special characters. |
| The document number doesn’t match the regular expression | The document number is not as per the required format | A document number must be as follow: It should not start with zero or can not be empty It should not exceed 16 characters excluding space.Special characters like /, -, etc can not be used as a document number either; it should be included in a sequence of the document numbers. |
| The document date should not be a further date. | Bills or invoices cannot be generated for a future date | E-invoices should be generated for the current date only even though the supply will take place at a future date |
| The State Field is required | The state code is missing in the document | The GST portal has issued a state code for every state for distribution of Integrated Goods and Service Tax, ensuring you enter the correct state code from the dropdown list there. |
| The field address 1 or address 2 must be a string with a minimum length of 1 and a maximum length of 100 | Address 1 is not as the GST INV 01 form | The address should not exceed the length of 200 words, 100 each for address 1 and address 2 |
| The pin code does not match with the state code of the supplier | Incorrect pin code of the state | You have entered an incorrect or invalid pin code of the buyer or it is a pin code that does not match with the pin code assigned for that particular state. |
E-way Bills Errors
| Error Message | Error Code | Reason | Solution |
| The distance between the pin code is too high or low | 4013 | The distance specified in the e-invoice does not match the actual distance between the place of the supplier to that of the buyer | There is a distance calculator developed by the E-Way bill system on the portal. However, a Difference of 10% of the total distance will be allowed additionally. |
| The GSTN cannot recognize the JSON file which has been uploaded | 2140 | The JSON used is not as per GST INV 01 Form | Go to the API portal for details |
| Invalid Supplier State code | 2259 | State code mentioned is incorrect | Pass the correct state code in the supplier details |
| Your login credentials are not correct | 2146 | You have login in with a different credential with the IRP portal | Please recheck the login credentials and try again. |
| Unable to sign the invoice please try after sometime | 2147 | There is difficulty in reporting the invoices to the IRP | Please check your internet connection and try again after some time |
| Duplicate INR | 2148 | Entered IRN does not exist or is invalid | Check IRN correctly and enter again |
| Supplier GSTIN is required | 2155 | Supplier GSTIN is missing in the e-invoice | It is important that the GSTIN of both the supplier and Recipient of goods or services or both should be incorporated in the invoice so that seamless credit can flow from supplier to recipient. |
| Invalid format from date – (The correct format is DD-MM-YYYY) | 2156 | You are writing the date in a wrong format | The specified date format is dd/ mm/ yyyy. Please make sure you write the date of the invoice in the correct format |
| Invalid value for reverse charge applicable field | 2159 | Values have been incorrectly entered for a supply under reverse charge | Please refer to the relevant JSON scheme for correct values |
| Reverse charge is not applicable for this transaction | 2162 | Transactions are not covered under reverse charge | The reverse Charge Mechanism was introduced under GST for registered recipients who are receiving a supply of goods or services from an unregistered person to which tax is chargeable, the recipient of goods or services, or both are required to pay tax. Normally, the Supplier of goods or services is required to pay tax. However, Tax under Reverse Charge is not applicable to all taxable supplies; rather, The Central Board of Indirect tax and Customs has a notification of a long list of taxable events to which tax is required to be paid under reverse charge by the recipient. Thus, if the supply is not chargeable to tax under reverse charge, This error will pop up. |
| Invalid HSN Code | 2167 | You entered an incorrect HSN number | Harmonized System of Nomenclature short for HSN Code is required to be mentioned on the invoice issued by the supplier. Currently, A registered person having annual turnover in the preceding Financial year is equal to or less than ₹5 Crores is required to mention a 4 digit HSN code on every B2B supplies made by him. While for B2C supplies, he is required to mention 4 digit HSN code which is an optional compliance. For a registered supplier having annual turnover in the preceding Financial year is more than ₹5 Crores. Then, they are required to mention a 6 digit HSN code on every invoice issued by them |
FAQs
Q: When did compliance with the E-invoice become mandatory?
Ans:
E-invoicing is mandatory from 1st October 2020 to all registered businesses under GST whose aggregate turnover has exceeded the ₹500 crores limit in any of the previous financial years starting from 2017-18. Currently, the aggregate turnover limit is ₹10 Crores.
Q: What is the reason behind compliance with E-invoice?
Ans:
There were a lot of fake GST invoices issued by fraudulent suppliers to pass on tax credits to a long chain of buyers or receipts of goods or services or both. To put an end to this, various amendments were made to GST laws to check the movement of goods. Through e-invoice, the government keeps track of the movement of the tax credits. Details from the e-invoice are fetched to auto populate the GSTR 1 of the supplier and GSTR 2B of the buyer.
Q: When did compliance with the E-invoice become mandatory?
Ans:
E-invoicing is mandatory from 1st October 2020 to all registered businesses under GST whose aggregate turnover has exceeded the ₹500 crores limit in any of the previous financial years starting from 2017-18. Currently, the aggregate turnover limit is ₹10 Crores.
Q: What is the reason behind compliance with E-invoice?
Ans:
There were a lot of fake GST invoices issued by fraudulent suppliers to pass on tax credits to a long chain of buyers or receipts of goods or services or both. To put an end to this, various amendments were made to GST laws to check the movement of goods. Through e-invoice, the government keeps track of the movement of the tax credits. Details from the e-invoice are fetched to auto populate the GSTR 1 of the supplier and GSTR 2B of the buyer.
Q: What is the official format of an E-invoice?
Ans:
The Central Board of Indirect Taxes and Customs has notified Form GST INV 01 as the official format of e-invoice.