eInvoice to eWayBill : The case for Accounting Automation under GST

Core Principle : Goods flow in a supply chain but Information / Data about those goods does not flow spontaneously in the same supply chain.

The solution is to automate accounting/ avoid re-entry across the supply value chain. The advent of GST regime is an opportunity to re-engineer the entire business process in documentation of transfer of goods.

At present, the proposed process for issue of eWay bills is as follows :-

  1. Seller / Consignor issues & transmits the “Invoice” to Buyer / Consignee & particulars of Transporter.
  2. Buyer / Consignee uploads electronically the details in “Invoice” & particulars of the Transporter  on the website of GSTN and generates & downloads the Way Bills from the website of GSTN.
  3. Buyer / Consignee transmits the generated eWay bill to Seller / Consignor.
  4. Seller / Consignor physically dispatches goods alongwith invoice & eWayBill.
  5. The eWayBill and Invoice may be verified during transhipment with their records of State / Central GST departments.

The entire process can be streamlined and automated with the generation of e-Invoice by the Seller / Consignor.

  1. Seller / Consignor issues & transmits the “e-Invoice” to Buyer / Consignor which also contains the particulars of Transportation.
  2. The buyer approves & uploads this “e-Invoice” on the website of the GSTN to generate the eWay Bill. E-Invoice eliminates the need for manual entry at the buyer / consignor’s end while retaining buyer’s control on data processing.
  3. Buyer / Consignee transmits the generated eWay bill to Seller / Consignor.
  4. Seller / Consignor physically dispatches goods along with E-invoice & E-WayBill.
  5. The eWayBill and Invoice may be verified during transhipment with their records of State / Central GST departments.

 

WayBill Automation.jpg

Mapping of Fields in Invoice, eWayBill, Goods Forwarding Note and Goods Receipt Note

Field Invoice eWayBill Goods Forwarding Note Goods Receipt Note
Form No GST INV 1 GST INS 1 Form 7 Form 8
Supplier GSTIN Y N N
Supplier (Consignor) Name Y Y Y
Supplier Address Y Y Y
Origin of Goods / Consignment N Y Y
Invoice No Y N N
Invoice Date Y N N
Invoice Electronic Reference No O N N
ERN Date O N N
Goods Forwarding No N Y Y
GFN Date N Y Y
Goods Reciept No N O Y
GRN Date N O Y
Recipient Billed Name Y N N
Recipient Billed Address Y N N
Recipient Billed State Y N N
Recipient Billed State Code Y N N
Recipient Billed GSTIN Y N N
Recipient Shipped (Consignee) Name Y Y Y
Recipient (Consignee) Shipped Address Y Y Y
Recipient Shipped State Y N N
Goods / Consignment Destination N Y Y
Distance between origin and destination N N Y
Recipient Shipped State Code Y N N
Recipient Shipped GSTIN Y N N
[TableGoodsDetail] Y
Serial No Y N N
Goods Description Y Y Y
Goods HSN Code Y N N
Goods Quantity Y Y Y
Goods Quantity Unit Y Y Y
Rate per unit Y N N
Gross value of goods Y N N
Discount Amount Y N N
Taxable Value of Goods Y N N
CGST Rate Y N N
CGST Amount Y N N
SGST Rate Y N N
SGST Amount Y N N
IGST Rate Y N N
IGST Amount Y N N
Total Gross Value of Goods Y N N
Total Discount Y N N
Total Taxable Value of Goods Y N N
Total CGST Y N N
Total SGST Y N N
Total IGST Y N N
Total Invoice Value (In Figures) Y Y Y
Total Invoice Value (In words) Y N N
No of Packages or Units N Y Y
CGST Amount Reverse Charge Y N N
SGST Amount Reverse Charge Y N N
IGST Amount Reverse Charge Y N N
Name of Signatory (Supplier) Y Y N
Designation / Status of Signatory (Supplier) Y N N
Name of Signatory (Common Carrier) N N Y
Designation / Status of Signatory (Common Carrier) N N Y
Expected / Likely date of delivery N Y Y
Whether consignment booked u/s 10 or u/s 11 of Road Carriage Act? N Y Y
Desirable period of delay for goods u/s 10(2). N Y Y
Normal goods or Dangerous & Hazardous category of goods N Y Y
Insurance Policy particulars for D&H goods N Y Y
Freight collected / paid / due N N Y
Additional Freight collected for additional risk for D&H goods u/s 11 N N Y
Total Field Count 44 0 19 25
FORMS GST INV 1 GST INS 1 Form 7 Form 8
GST INV 1 X _ 9 8
GST INS 1 _ X _ _
Form 7 9 _ X 18
Form 8 8 _ 18 X
Load Request 5 _ 8 8
FORMS New Input Total Fields
GST INV 1 44 44
GST INS 1 _ 0
Form 7 10 19
Form 8 7 25

You may also refer to my earlier post : https://canirmalg.wordpress.com/2016/10/19/how-einvoicing-can-automate-the-process-of-issuing-road-permits-in-case-of-inter-state-transfer-of-goods/

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