Role of Enterprise Resource Planning (ERP) software in E-Invoicing

Abstract

Invoicing has always been an important part of any business and invoices the important document. E-Invoice is a new system, where-in Business to Business (B2B) invoices are authenticated electronically by the Goods and Services Tax Network (GSTN) for further use on the common GST Portal. In this type of invoicing system identification number will be issued against every invoice by the Invoice Registration Portal (IRP) and is managed by GSTN. In India, in the last 18 months, more than 150 crores of E-invoices are generated (India, 2022). This paper focuses on businesses crossing the threshold limit of 20 crores turnover are being made aware of the E-invoicing process or not, whether the government is making any difference to customers of E-invoicing and the role of (Enterprise Resource Planning) ERP Software in generating E-Invoicing.

The primary data collected through a survey from the population of businesses with a turnover of more than Rs. 20 Crores per annum shows the important factors and explains the roles of E-invoice. The study results shall make the understanding of the control of the government over Indirect Tax and the influence of Software in generating the E-invoice and factors impacting the generation of E-Invoice, the business which falls in the threshold limits are well aware and have positive perception towards the ERP and E-Invoicing and the Government has made a separate portal for E-invoice and have a positive response to the same, which states that users have been made easy to upload and download the invoice in the portal, have made the portal user friendly and user can avoid duplications. This paper shall provide insight to Goods and Services Tax Practitioners (GSTPs) and Charted Accountants (CAs) about the entire E-invoicing process.