E-Invoicing and use of Digital Signature Certificate

E-Invoicing or e-billing and DSC are poles apart as independent identities but they converge whence authentication is required. It is DSC or digital signature certification that authenticates documents pertaining to legal renders.

Digital Signature Certificate

Unlike electronic signatures, digital signatures are in the form of a cryptic hash. They are generated using a cryptographical method, a technology that has been recently developed. The signatures accompany the electronic documents that are sent by the sender to the receiver using Internet-based messaging systems.  

In the case of DS, the message is encrypted using SHA algorithms. That generates a private key and a public key. The private key remains a secret from the creator or sender. The public is sent along with the document to the receiver. The receiver uses the public key to decrypt the message or document. The process also prevents manipulation midway by hackers. The receiver can make out manipulation from the change in hash value sent by the receiver and the value he receives. In one instance the receiver will know that document or message has been manipulated. They are nonrepudiable and legal and cost little to purchase the validity period is usually one year.

Thus keeping in mind the security angle, and the ease of DSC 3 is commonly used to authenticate the sender by signing the e-documents. It is a legal tender issued by a licensed authority authorized by CCA or controller of certification authority under the Information Technology Act 2006.         

E-Invoicing

E-Invoicing is an electronic format of the regular invoice.  These are B2B invoices and are uploaded on the IRP or the Internet Registration Portal. E-invoicing is created using diverse technologies and the format may differ from one country to another. The electronic version of the invoice is structured invoice data created using EDI or XML formats. The processing is quick and fast the document could be sent in CSV file format as well. This development has helped hasten up the process. The electronic invoice can be uploaded using web applications and email messaging systems. Though big companies have their own invoicing process departments, the process is generally outsourced to third parties efficient in the task. To simplify the process with so many formats available file extensions. INV should be used. This format is easy to open using enterprise accounting software like Tally Prime etc.   

E-Invoicing & GSTN & GSTIN

GSTN stands for Goods and Services Tax Network, while E-Invoicing is an authenticating document by the government using the GSTN Tax Portal.  GSTIN is a tax registration number issued for GST Tax compliance.

Tally Prime E-Invoicing Compliance

Tally Prime can easily generate GST Compliant e-invoices, and manage the easy transition to the Invoice Registration Portal of IRP.  The users can configure Tally Prime as per the need of their business and generate e-bill in the desired format. Tally Prime is a product of Tally Solutions based in Bangalore and sells many enterprise software for accounting and business management purposes. 

For well-established digital agencies digital signature certification has become indispensable. It is used to certify many documents before electronic dispatch.