FAQ on E invoicing

1.  Why E invoicing? 

·         From April 1^st 2020 onwards any enterprise having turnover exceeding Rs. 100 Crore mandatorily have to issue E invoice to their customer.

 

02.  Which invoices covered under E invoice system?

 

·         All business to business i.e B2B invoices which include domestic and export sale.

·         Debit and credit note 

 

03.  Which invoices not covered under E invoice system?

·         Business to consumer i.e  B2C invoices 

·         Onsite sale.

 

04.   How to generate E invoice?

·         The E invoice required to be generated in the Government portal.  

·         There are two ways of generating E-invoice

(i)                 Automatic

(ii)               Manual.  

 

05.  What is the difference between Automatic and Manual process.

SN	Manual	Automatic
1	No additional Technology cost.	There will be additional Technology cost.
2	E invoices will be generated outside SAP and  all additional data of E invoice will be stored  outside SAP  only	The E invoices will be generated in the SAP system only and all additional data of E invoices will be saved in SAP only
3	E invoice will be printed outside SAP in government format.	E invoice will be printed from SAP with our own customized format.
4	Reconciliation to be done manually.	Since data saved in SAP,   system itself will be able to provide the reconciliation.
5	There will be a time lag between  regular invoice and E invoice	Generation of regular invoice and E invoice can be done on real time basis.
6	Due to manual process, there is always scope for error.	Due to automatic flow of data from SAP, there will be 100 % accuracy.