All about Invoice Registration Portal (IRP) under GST

Updated on : Feb 28, 2022 - 04:58:48 PM

08 min read.

IRP, known as the Invoice Registration Portal is instrumental in validating the genuineness of the invoices used in the GST ecosystem. It generates and assigns IRN to every GST invoice.

The infrastructure to support the trial version of the e-invoicing system was first made available for voluntary use from 1st January 2020. The Invoice Registration Portal (IRP) plays a key role in running the show.

Latest Updates

1st August 2022
The e-Invoicing system for B2B transactions has now been extended to those with an annual aggregate turnover of more than Rs.10 crore up to Rs.20 crore starting from 1st October 2022, vide notification no. 17/2022.

24th February 2022
The e-Invoicing system will get extended to those annual aggregate turnover of more than Rs.20 crore up to Rs.50 crore starting from 1st April 2022, vide notification no. 1/2022

30th June 2021
The CBIC has issued a notification seeking to waive the penalty imposed on non-compliance of dynamic QR code provisions for B2C invoices between 1st December 2020 and 30th September 2021.

1st June 2021
CBIC has notified vide Central Tax Notification no.23 dated 1st June 2021 that the e-invoicing system shall not apply to a government department and local authority.

30th March 2021
The CBIC has issued a notification seeking to waive the penalty imposed on non-compliance of dynamic QR code provisions for B2C invoices between 1st December 2020 and 30th June 2021, provided the said person complies with the provisions of the said notification from 1st July 2021.

What is Invoice Registration Portal (IRP)

The Invoice Registration Portals (IRPs) act as Registrars and operate through a website to assign Invoice Reference Numbers (IRNs) to each invoice/credit note/debit note. The invoice details can be uploaded onto the IRP using a prescribed mode to either generate or validate the IRN of the invoice uploaded. Only such invoices with an authorised IRN will be considered valid as per law.

At present, there is only one IRP – NIC. The e-invoice portal currently in use is https://einvoice1.gst.gov.in/. However, the government will add multiple Registrars (IRPs) in the future.

What are the functions of IRP?

The IRP performs the following tasks:

1. Generation of hash/IRN for invoices:

When the invoices have been uploaded without hash, the IRP generates the hash/IRN for that invoice in the prescribed format based on the IRN parameters.

2. De-duplication check:

The IRP conducts a check of the hash/IRN of an invoice for any duplication or repetition by comparing the same with information stored in the Central Depository.

3. Digital Signing of validated invoices:

All the validated invoices are digitally signed by the IRP using the private key of the IRP. This digitally signed JSON is then made available to the supplier.

4. Generation of QR codes in respect of validated invoices:

A QR code is also generated for each invoice by the IRP, along with the digital signature. The taxpayer can use the resulting QR code to verify/print the invoice and have a quick view/access on handheld devices. This feature is handy for tax officers and other stakeholders to verify certain details when they have no/limited access to the internet. The following parameters will be available through the QR code:

GSTIN of supplier
GSTIN of recipient
Invoice number as given by supplier
Date of generation of invoice
Invoice value (taxable value and gross tax)
Number of line items
HSN Code of the main item (the line item having the highest taxable value)
Unique Invoice Reference Number (hash)

5. Sending the invoice via e-mail:

The IRP send a validated invoice to the e-mail address of the seller.

6. Offline app:

The IRP will provide an offline app to authenticate the QR code of an invoice offline and view its basic details. The complete details of the invoice would be available only after connecting to the portal.

7. Integration with GST and e-way bill system:

The uploaded invoice details will automatically be shared with the GST system, which will allow for automatic updating of GSTR-1 (of the seller). Further, the details will also be automatically shared with the e-way bill system wherever required to create an e-way bill even simpler. The e-way bill system would only then require a vehicle number to complete the process of creating an e-way bill.

e-Invoice generation on IRP

E-invoicing ensures that a particular standard or format is followed for the electronic reporting of invoice details. GST taxpayers must follow a prescribed format that helps the system read the output generated by another system (inter-system readability). Therefore, if the details of the invoices are reported as per the prescribed format, it will result in a major improvement in automating the process of filing returns.

Thus, it can be concluded that the purpose of the Invoice Registration Portal (IRP) is not to generate e-invoices online but only to register the details of the invoices generated by the entity on a day-to-day basis. The invoice should be available as a JSON file using an offline tool to upload details of the invoices into the IRP. The ERP must be integrated with the e-invoice system via API, either directly or through GSPs.

Modes of registering invoices with IRP

Multiple modes have been proposed for registering the invoice on the IRP:

Web-based through Bulk Upload:
The applicable taxpayer can enter the details of invoices on an excel-based offline tool that converts the data into a JSON file. The same can be uploaded onto the e-invoice website of the IRP for the purpose of registration/validation of the same. After that, IRN will be generated, along with a QR code.
API based:
The API integration mode will allow big taxpayers and accounting software providers to interact with the Invoice Registration Portal through their own software. For this purpose, server details of their own systems must be registered with the e-invoice system. The IRN can be generated and validated for invoices either one at a time or in bulk, similar to the e-way bill system using the APIs. Prerequisites for integration include an IT-enabled invoice generation system with a static IP address, a pre-production system to test the API interface and SSL based domain name.
Mobile App based:
IRP has proposed a mobile app on the play store or App store, which carries out some functions of the IRP as discussed above. The user must register the IMEI (International Mobile Equipment Identity) number of the mobile phones through which the IRN needs to be generated on the e-invoice system.
GSP based:
Taxpayers can also utilise the GST Suvidha Provider (GSP) services, such as Clear, to help them carry out their e-invoice related compliances. Clear’s e-Invoicing solution offers various modes through which e-invoices can be generated by the taxpayers, such as the seamless API integrations, Excel mode, FTP, SFTP or Tally connector. The user can enjoy numerous value additions such as:

Seamless generation of 5,000 e-invoices per minute.
Integration with a high-fidelity solution with 99.99% uptime.
100+ data validations to ensure an error-free smooth e-invoicing experience.
Auto-retry of failed EWBs (with distance error) to improve the success rate of EWB generation.
Automatic generation of the e-way bill after IRN generation without any ingestion of data.
Faster loading of ‘e-invoices’ and ‘e-way bills’ on the screen for as many as 1 lakh documents.
Reconciliation vis-a-vis e-way bill and GSTR-1 data, insightful reports, customised print template for e-invoice, data archiving, etc.

e-invoicing under GST – What is e-Invoicing? Applicability & Implementation Date

All about Invoice Reference Number (IRN)

Step-by-Step Process to Generate an e-Invoice and IRN

e-Invoice Registration on IRP – Who should register, Steps for Registration