E-invoicing applicability for Input Service Distributor (ISD) Invoices

[Sayali Jawle]

Hi,

Is E-invoicing is applicable to ISD invoices also?

[Ashika Agarwal]

No. You can refer FAQ on E-Invoice dated 11.11.2020.

[Amit Agrawal]

Rule 48 deals with 'Manner of issuing invoice' wherein sub-rule (1) & (2) talks about supply of goods & services respectively and sub-rule (4) talks about E-invoicing. As per Section 2 (66), “invoice” or “tax invoice” means the tax invoice referred to in section 31.

'a document containing the amount of input tax credit being distributed' as referred in Section 20 (1), is different from invoice / tax invoice referred in Section 31.

Hence, E-invoicing is not applicable to ISD invoices.

These are ex facie views of mine and the same should not be construed as professional advice / suggestion.

AI Summary

E-invoicing for ISD invoices is not required because ISD documents differ from tax invoices under invoicing rules. E-invoicing does not apply to ISD invoices because the statutory 'invoice' or 'tax invoice' relevant to e-invoicing refers to the tax invoice under the invoicing provisions, whereas the ISD distribution document, being a record of input tax credit distribution, is a different instrument and therefore falls outside the electronic invoicing requirements.