Who Needs e-Invoice in India?

As of 2024, all GST-registered businesses with annual turnover above ₹5 crore are required to generate e-Invoices. The threshold has been lowering progressively, and it's expected to cover all B2B transactions soon.

In ERPNext, e-Invoice is handled by the India Compliance app (by Frappe Technologies). This guide covers the setup from scratch.

Step 1: Install India Compliance

If not already installed: bench get-app india_compliance && bench --site yoursite install-app india_compliance && bench migrate

Step 2: Configure GST Settings

Go to GST Settings in ERPNext. Enter your GSTIN, enable e-Invoice, and add your IRP credentials (received from the e-Invoice portal). Enable sandbox mode for testing before going live.

Step 3: Generate Your First e-Invoice

Create a Sales Invoice with a B2B customer (who has a GSTIN). On submission, ERPNext will automatically call the IRP API and populate the IRN, Ack. No., and QR Code fields. The signed e-Invoice PDF is automatically generated.

Common Issues and Fixes

  • GSTIN validation errors: Ensure the customer's GSTIN is correct and active on the GST portal
  • Duplicate IRN error: Each invoice can only get one IRN — don't try to regenerate for the same document
  • Bulk generation: Use the Bulk e-Invoice tool for generating IRNs for multiple invoices at once