🧾 Key GST E-Invoicing Updates (Effective April 1, 2025)
1. Mandatory 30-Day E-Invoice Reporting
Businesses with an AATO of ₹10 crore or more are now required to upload e-invoices, credit notes, and debit notes to the Invoice Registration Portal (IRP) within 30 days from the date of issuance. Previously, this rule applied only to entities with an AATO exceeding ₹100 crore. Failure to comply will result in automatic rejection of the invoice by the IRP, rendering it invalid for Input Tax Credit (ITC) claims and GST returns.
2. Implementation of Two-Factor Authentication (2FA)
To enhance security, Two-Factor Authentication has become mandatory for all taxpayers generating e-invoices and e-way bills, regardless of turnover. This measure aims to prevent unauthorized access and fraudulent activities within the GST system.
3. Case-Insensitive Invoice Number Validation
Starting June 1, 2025, the IRP will treat invoice numbers as case-insensitive. For instance, “ABC123” and “abc123” will be considered identical. This change aligns with the treatment in GSTR-1 and helps avoid duplication due to case mismatches.
4. E-Way Bill Generation Timeframe Restricted to 180 Days
Effective January 1, 2025, E-Way Bills can only be generated for documents issued within the last 180 days. For example, from January 1, 2025, you cannot generate an E-Way Bill for documents dated before July 5, 2024.
✅ Compliance Recommendations
- Integrate Accounting Systems with IRP: Ensure your ERP or accounting software is capable of real-time e-invoice generation and submission to the IRP
- Standardize Invoice Number Formats: Adopt a consistent format for invoice numbers, preferably in uppercase, to prevent mismatches during IRN generation.
- Implement Internal Checks: Set up reminders or automated tools to track invoice upload deadlines and ensure timely reporting.
- Train Staff on New Requirements: Educate your finance and accounting teams about the updated e-invoicing rules to ensure compliance.
- Monitor Turnover Thresholds: Regularly assess your business’s AATO to determine applicability of e-invoicing requirements.