GST invoicing software: A solution to help you get GST invoices faster

6 min readMar 1, 2021

After GST came into existence, business organizations are trying to evaluate many GST software to run tax filing in their business in a hassle-free manner. They do not want to take the risk and are looking for a solution that suits their business type and overall sales/purchases and suits their needs. Also, the GST has several compliances, such as,

GST Rates and HSN Codes
GST registration
GST Return
GST Invoice/ Billing
GST Payment and Refund
GST Penalty and Appeal
GST accounting and records
E-way bill and more.

This GST compliance needs timely and correct solutions.

By implementing GST billing software in your business, you will be able to calculate GST tax, calculate tax returns, earn huge annual returns, reduce costs, avoid dependence on chartered accountants, import and export, debit notes, and track all business operations Helps. This is such an idea that every business has its own best and only option.

Here, in this blog, we are providing you a guide to finding the best solution for GST invoices. With the discussion, you will come to know how GST invoicing software makes invoice generation easy and simple.

What is GST e-invoicing?

E-invoicing is also referred to as electronic invoicing. It is a system of generating electronic authenticated B2B (Business-to-business) invoices by GSTN (Goods and Services Tax Network) to be exchanged between suppliers and buyers. It comes with the concept of reduction in GST evasion during invoice generation.

It is applicable/mandatory to those businesses whose turnover exceeds 500 Crore and they need to generate e-invoices w.e.f October 31, 2020. Whereas, businesses whose turnover is over 100 Crore should generate e-invoices w.e.f January 1, 2021.

Common Invoicing mistake s made by taxpayers

Sometimes business owners/taxpayers forgot to send invoices or send them late.
Another mistake that is made by the owners of any business is the error in specifying the date of payment. This results in payment delays.
Sometimes business owners forget to add invoice numbers in the invoice that may cause trouble in GST filing.
Sometimes business owners forget to convert currency. This mostly happens when business owners are doing business worldwide.
Sometimes business owners are unable to send proper invoice format to customers.

What is GST e-invoicing software?

To reduce the headache of generating GST e-invoices, the concept of GST e-invoice software has been taken into consideration for quick and accurate generation of invoices. In this way, it helps businesses to reduce GST theft. Taxpayers can create e-invoices with the help of software providers on their accounting/billing / ERP systems.

A GST billing software offers you all the features you need to manage GST compliance services in creating invoices and filing returns. This can not only significantly reduce your compliance time but also empower you to achieve efficiency in all tasks related to GST.

If you’re still confused about its relevance, let’s see its significant benefits mentioned below-

It helps in tax evasion.
An e-invoicing system reduces the scope of illegal manipulation of invoices. Only authenticated ITC can be claimed to result at the end of fake GST invoices. With the easy availability of input tax credit and output tax credit, fake input credits can be tracked by the tax authorities.

It allows interoperability.
An E-invoicing system helps in generating invoices in a standardized format. It adds the ability to generate invoices that can easily read by different software without any trouble.

An e-invoicing system facilitates real-time invoice tracking.
E-invoicing enables real-time tracking of invoices prepared by the issuer/supplier. It ensures quick availability of Input Tax Credit (ITC) by which a supplier/buyers can keep track of when the invoice has been sent and received.

It reduces the chances of data entry errors.
To upload invoices to the common portal is essential for the E-invoicing system. An e-invoicing system gives the entire business the ability to authenticate all invoices. And, it transferred invoices to the GST portal and e-way bill portal in real-time. This process eliminates the manual data entry and ensures no error.

It offers seamless account reconciliation.
The account reconciliation feature allows customers to merge multiple invoices into one payment. Also, it gives users a facility to avoid and any disagreement and error in payments. With E-Invoicing system facilitate transparency by sending detailed payments to ensure simplified & seamless account reconciliation.

It helps in creating the e-way bill.
An e-invoicing system generates e-way bills easily where taxpayers are required to update only vehicle details. Other details of an e-way bill get auto-populated from the E-invoice authenticated from the common GST portal.

It adds a QR code feature to send additional copies of issued invoices.
An e-invoicing system adds a QR code feature to send additional copies of issued invoices. This gives the business a hassle-free way if anyone wants quick access to issued invoices.

Process of getting GST e-invoice through GST e-invoicing software

The first step is to create an invoice on the taxpayer’s ERP. To proceed further, the taxpayer needs to integrate with the software system that helps businesses to incorporate with the standard set for e-Invoicing.
In this step, the taxpayer needs to generate a unique IRN number.
The taxpayer must thereafter raise a normal invoice on that software. He must give all the necessary details like, billing name and address, GSTN of the supplier, transaction value, Item rate, GST rate applicable, tax amount, etc.
Now, it is required to generate a QR code. The QR code will enable a quick view, and validation, and access of the invoices from handheld devices. The QR code will consist of the following parameters:

The GSTIN of the supplier
The GSTIN of the recipient
The invoice number as given by the supplier
The date of generation of the invoice
The invoice value (taxable value and gross tax amount)
The number of line items
The HSN code of the main items (the line item having the highest taxable values)
The unique IRN (hash)
The digitally signed QR code will have the unique IRN (hash) which can be verified on the central portal, as well as by offline apps.

Finally, the signed e-invoice data is sent to the GST system where the supplier’s GSTR-1 and buyer’s GSTR-2B/2A are updated based on the details entered in the invoice.

The growing demand for e-invoicing software

In India, e-invoice has become mandatory for businesses with an annual turnover of Rs 500 crore from October 1, 2020, and will be mandatory for businesses with turnover exceeding Rs 100 crore from January 1, 2021. E-invoicing will help in both. Monitoring B2B transactions, standardizing invoices, digitizing the economy, and improving GST compliance. Thus, business owners are now prone to making their technology stack more advanced for smooth and successful GST return filing, e-invoice generation, and more. Some of the major reasons for the early adoption of invoicing software to get GST invoices fast are as follows-

E-invoicing system facilitates enhanced accuracy that enables businesses to process their invoices faster, thus accelerating on-time payments.
The software streamlines administrative tasks that help business persons in generating electronic invoicing and GST-related tasks.
With the help of e-invoicing software, the e-invoices are generated in a standardized format. So, the invoice generated from one software to be read by different software as well. This way, it gives real-time availability of data that will lead to a reduction in frauds.
Traditionally, it takes time to generate invoices. With the e-invoicing system, invoice generation becomes easy as per the current taxation system.
E-invoicing streamlines your accounting tasks. It saves a lot of time and money when it comes to keeping your financial records in order and up to date.

Bottom Lines

E-invoicing is a critical part of any business that comes under GST compliance. Therefore, it is required to have such a solution that manages your GST return filing and ensures the fastest invoice generation.

To know more about the e-invoicing software, contact to SWIL team. The team will assist you the best possible way and equipped you with efficient calculation in GST tax, file return, GST e-invoice, and saving all the sensitive data with complete security.