A step-by-step procedure on how to generate QR code for an e-invoice

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Date: 23 Oct 2022


The e-invoicing system aims at having a standardised way of generating and recording invoices. 

What is a QR Code?

A quick response code or a QR code is a two-dimensional barcode. A QR code is applied to goods or invoices to present information in a machine-readable format. There are two types of QR Codes, namely, Static QR codes and Dynamic QR codes. 

Dynamic Quick Response Code, often known as a dynamic QR code, is used under GST to promote digitisation and digital payments. These are some of the advantages of dynamic QR codes: 

  • Dynamic QR codes are all distinctive. 

  • The buyer or payee may not alter the value or amount. 

  • Any UPI app can be used to quickly and conveniently pay the amount indicated or due.

Purpose of a QR Code

The QR Code will be utilised in the e-invoicing system to quickly offer details about a specific invoice, eliminating the need to get this information from an outside source, such as the internet. The following requirements would be satisfied:

  • Using machines to extract the data from invoices for quick and precise input will improve the efficiency of conducting business.

  • The use of mobile gadgets would assist indirect tax officials in determining whether a specific invoice is genuine and contains all necessary information. They may use this a lot more while they are on the field.

  • The supplier needs to utilise the QR Code to create a PDF of the signed e-invoice after the Invoice Registration Portal (IRP) provides the e-invoice to them after assigning the QR Code.

What does a QR Code entail?

The QR Code contains the following parameters:

  • GSTIN of the supplier

  • GSTIN of the recipient

  • Invoice number given by the supplier

  • Date of the generation of invoice

  • Invoice value

  • Number of line items

  • HSN Code of the main item

  • Unique Invoice Reference Number/Hash

Applicability of QR Code on B2B Invoices

Regarding B2B invoices, the invoice registration portal will produce the e-invoicing QR code based on the e-invoice details reported or submitted to the portal. It follows that, in the case of B2B invoices, the registered person who must abide by the e-invoicing regulations will automatically receive produced QR code from the Invoice Registration Portal. 

Applicability of QR Code on B2C Invoices

If a supplier's cumulative revenue in the three financial years before 2017–18 exceeded Rs. 500 crores, they must show a dynamic QR code on all B2C invoices they generate. The cross-reference of the payment made by a dynamic QR code should be made available when the supplier makes it available via a digital display.

Documents to which QR Code applies

According to the GST law, the e-invoicing system will be required starting in 2017–18 for taxpayers with an aggregate turnover of more than Rs. 500 crores in any prior fiscal year.

Businesses with annual revenue of more than Rs. 100 crore in any prior fiscal year is now included as of January 1, 2021, beginning with the 2017–18 fiscal year. The government has expanded the use of electronic invoicing to companies with annual revenue of more than Rs 20 crore, effective April 1, 2022.

As a result, all of those taxpayers must use the e-invoicing system to send credit notes, debit notes, and B2B tax invoices.

The e-invoicing system also mandates that printed invoices feature a QR code field. Since tax invoices must be made for exports and RCM supply, the QR code must also be used in these situations.

Generation of QR Code

To generate an Invoice Reference Number, the JSON of the invoice must be uploaded to the Invoice Registration Portal (IRP) (IRN). The IRP permits the addition of a digital signature and a QR code to the JSON after the successful production of the IRN.