How to Enable e-Invoice in TallyPrime: Setup & Generate IRN
Setting up e-Invoicing in TallyPrime is not difficult, but the first attempt can be confusing because there is more to it than switching on one option.
You need to enable e-Invoicing for the right GST registration, create the required profile on the Invoice Registration Portal (IRP), make sure TallyPrime can communicate with the portal, and check that your customer and item masters contain the details needed for validation.
The good part is that most of this is a one-time exercise. Once the company, API access and masters are set up properly, you can create an eligible invoice, send its details to the IRP and receive the Invoice Reference Number and QR code without entering the same invoice again on the portal.
This article walks through that complete process. It also covers the problems that usually appear after someone has already enabled e-Invoicing but finds that an IRN still refuses to generate.
How to Enable e-Invoice in TallyPrime: Quick Summary
If you already have GST configured in TallyPrime and only need the setting, use this path:
F11 (Company Features) → Enable Goods and Services Tax (GST): Yes → GST Details → e-Invoicing applicable: Yes
After selecting Yes, enter:
- Applicable from: The date from which e-Invoicing applies to that GST registration
- Invoice bill from place: The location from which the invoices are billed
Press Ctrl+A to save the changes.
For companies using multiple GST registrations, TallyPrime asks you to select the GST registration before changing its e-Invoice settings. Tally confirms that multiple GST registrations are supported in Release 3.0 and later.
This completes the setting inside TallyPrime.
It does not, however, complete the entire e-Invoice setup.
You still need the correct IRP/API access, and the invoice itself must contain valid GST information. This is why some users enable the option successfully but still receive an error when they try to generate the first IRN.
Check Whether e-Invoicing Applies to Your Business
Before changing a live billing process, confirm that e-Invoicing applies to your registration.
The current general threshold is ₹5 crore aggregate annual turnover, subject to the applicable rules, preceding the financial-year test and notified exemptions. The ₹5 crore threshold became effective from 1 August 2023. The turnover condition looks at financial years from 2017-18 onwards rather than only the current year.
This matters because a business may currently have turnover below ₹5 crore but may still fall within the mandate because its turnover crossed the applicable limit in an earlier relevant financial year.
Do not use the turnover figure as the only test either. Certain categories have separate exemptions or conditions under the GST e-Invoice framework.
If applicability is uncertain, confirm the position for the GSTIN before making e-Invoicing part of the company’s normal invoice process.
For most people reading this guide, though, the immediate issue is not determining eligibility. It is getting an already applicable business configured correctly in TallyPrime. The next sections focus on that.
Keep These Things Ready Before Starting
A few minutes spent checking the basics can prevent an hour of chasing the wrong error later.
Before generating the first e-Invoice, make sure you have:
- GST enabled in the company
- Correct company GSTIN
- Correct GST registration selected
- IRP access
- API user credentials for the integration
- Customer GSTIN
- Customer state and PIN code
- HSN/SAC information
- Correct GST rates
- Place of supply
- Suitable invoice numbering
Tally also recommends checking the HSN/SAC, tax rate and type of supply in the relevant ledgers and stock items, along with the address, PIN code and GSTIN/UIN in party masters. Exporters should also maintain the appropriate ISO currency codes.
These details are not just housekeeping.
Suppose your e-Invoice configuration is correct but the buyer’s PIN code belongs to a different state from the one recorded in the party ledger. TallyPrime may let you record the accounting voucher, but the invoice can still run into validation trouble when it reaches the e-Invoice system.
That distinction is useful while troubleshooting: a voucher being accepted by TallyPrime does not automatically mean the IRP will accept the e-Invoice data.
Step 1 — Register on the Invoice Registration Portal
If your GSTIN has not been registered for e-Invoicing, complete the portal registration first.
Tally’s current setup instructions direct users to open the IRP, choose the registration option and complete the GSTIN and OTP verification process. Once verification is complete, you create the username and password used for portal access.
If someone in your accounts or tax team already works with the IRP, check before creating anything new. The business may already have valid portal access.
What often causes confusion is that portal registration is only one part of the setup. TallyPrime also needs an API user profile so it can exchange invoice information with the e-Invoice system.That API profile uses separate credentials.
This is one of the first things worth checking when somebody says: “My IRP password works on the website, but TallyPrime says the login is wrong.” The credentials may not actually be wrong. The wrong type of credential may simply be getting used in the wrong place.
Step 2 — Create the API User Profile for TallyPrime
After logging into the IRP, create the API user profile used for Tally integration.
Tally’s current instructions give the following path:
API Registration → User Credentials → Create API User → Through GSP
Under the GSP selection, choose:
Tally (India) Private Ltd
Then create the API username and password.
Keep those credentials available to the person responsible for e-Invoice generation, but handle them as business login credentials rather than sharing them casually among users.
IRP Credentials and API Credentials Are Not the Same
The difference is simple:
Credentials | Main Use |
IRP username and password | Accessing the Invoice Registration Portal |
API user credentials | Enabling software communication through the integration |
Tally’s setup documentation specifically notes that the API user credential is different from the IRP credential.
There is also no benefit in creating duplicate profiles without checking the existing setup. If you already use an e-Way Bill profile with TallyPrime, Tally states that a separate API user profile is not required just for e-Invoicing.
Ask whoever currently handles e-Way Bills before adding another set of usernames and passwords.
Step 3 — Enable e-Invoicing in TallyPrime
Now move to TallyPrime.
Open the company for which you need to enable e-Invoicing and press:
F11
Set:
Enable Goods and Services Tax (GST): Yes
The GST Details screen opens.
If the company maintains multiple GST registrations, select the GST registration for which e-Invoicing needs to be enabled.
Find:
e-Invoicing applicable
Set it to:
Yes
TallyPrime will display the related settings.
Applicable From
Enter the date from which the registration became subject to e-Invoicing.
Do not automatically enter today’s date.
If the business became applicable earlier, use the correct applicability date based on the company’s actual GST position.
Invoice Bill From Place
Enter the location from which invoices under that registration are billed.
This may be the same as the physical dispatch location, but it does not have to be. Tally specifically describes this field as the place from which supplies are billed, which can differ from the place from which they are shipped.
After checking the details, press:
Ctrl+A
The e-Invoice feature is now enabled for that GST registration.
What to Do If Your Company Has Multiple GSTINs?
This part deserves attention because businesses with branches in more than one state can easily configure the right feature against the wrong registration.
TallyPrime Release 3.0 and later supports multiple GST registrations within one company. During e-Invoice setup, you can select the registration that you want to configure. Tally also supports generating e-Invoices for different GSTINs while working with multiple registrations.
For each GST registration that needs e-Invoicing, check:
- GSTIN
- State
- Registration details
- Applicable-from date
- Bill-from location
Imagine your company has registrations in Delhi and Haryana.
Enabling e-Invoicing against the Delhi GSTIN does not mean the Haryana setup should be assumed correct. Treat each GST registration as something that needs to be checked on its own.
This becomes even more important when invoice numbering, dispatch locations or billing teams differ between branches.
Step 4 — Check the Customer, Item and Service Masters
Before creating the first live e-Invoice, open the customer ledger.
Check the GSTIN character by character. Then check the state, PIN code, registration type and address. If the transaction has a separate delivery location, check the consignee or Ship To information as well.
Next, look at the item or service setup.
You should confirm:
- HSN/SAC
- GST rate
- Taxability
- Type of supply
- Unit of measurement where applicable
Avoid assuming that an old master must still be correct just because it has been used for ordinary invoices before.
e-Invoicing introduces another validation point.
There is also one small invoice-number detail that can save unnecessary troubleshooting. Tally currently warns users not to start the invoice number with 0, / or –, because the IRP can reject such invoice numbers.
If your current voucher numbering starts with one of those characters, review it before the first live submission rather than discovering the problem after invoices have already been recorded.
Step 5 — Create Your First e-Invoice in TallyPrime
Now record the sales transaction.
Choose the customer in Party A/c Name, select the sales ledger and enter the items or services.
Add the quantities and rates where relevant, then check the GST calculation. Do not rush through the GST fields simply because the numbers look familiar. The first invoice is your chance to test the entire setup.
Check:
- Buyer GSTIN
- Invoice number
- Invoice date
- HSN/SAC
- Taxable amount
- GST rate
- Place of supply
- Billing and shipping information
Complete the e-Invoice details required for the transaction and save the voucher.
TallyPrime can generate the IRN while the invoice is being recorded. It also supports generating the IRN later if you do not want to send the transaction immediately.
When prompted for authentication, use the relevant credentials for the e-Invoice process. Once the request is successfully processed, the IRN information is brought back into TallyPrime. At this point, do one more thing before considering the setup finished: check that the result actually came back.
How to Confirm the e-Invoice Was Generated Successfully?
This is an area where a setup guide should not stop with “save the invoice.” A sales voucher can exist in your books even when its IRN has not been generated.
After submitting the invoice, confirm that the IRN details have been updated and that the QR code is available on the invoice output. TallyPrime also has a dedicated e-Invoice report.
Open:
Alt+G (Go To) → e-Invoice
The report helps you track e-Invoices, work with pending IRNs, review errors and sync relevant information with the e-Invoice portal.
For the first invoice, use a simple check:
- Was the sales voucher recorded?
- Was the e-Invoice request submitted?
- Did the IRP accept it?
- Did TallyPrime receive the IRN?
- Is the QR code available?
- Does the printed invoice show the required e-Invoice information?
If all six are fine, your basic setup is working. If the voucher saves but the IRN does not appear, stop there and inspect the actual error. Do not start changing random GST settings.
Enabled e-Invoicing but IRN Is Not Generating?
This is probably the most useful section for someone who has already completed the basic setup.
Most failures point to a specific piece of information.
Problem | Likely Area | What to Check |
e-Invoice option missing | GST setup | F11 and GST registration |
Buyer GSTIN rejected | Party master | Customer GSTIN |
HSN/SAC error | Item/service setup | HSN/SAC master |
PIN and state mismatch | Party address | State and PIN code |
Login error | Authentication | Correct portal/API credentials |
Invoice rejected | Voucher details | Number, date, values and GST data |
IRN not appearing | Pending/failed request | e-Invoice report |
QR code unavailable | IRN information missing | Invoice status |
Many invoices pending | IRNs not generated earlier | Bulk e-Invoice workflow |
The error message should guide the next action. If the GSTIN is invalid, correct the GSTIN. If the HSN is the problem, inspect the item master. If the authentication fails, check the credentials.
Reconfiguring the entire company because one party ledger contains an incorrect PIN code creates more work and does not fix the actual issue.
One more caution: avoid casually altering an invoice after the IRN has already been generated. Tally’s FAQ explains that changes can lead to a mismatch between the voucher information and the QR-code/registered information.
Correct the transaction using the appropriate GST and accounting process rather than treating the registered invoice like an ordinary editable draft.
Can You Generate e-Invoice and e-Way Bill Together?
Yes, when the transaction requires both.
The two documents are related to different compliance requirements. The e-Invoice process reports the prescribed invoice details and results in an IRN. The e-Way Bill deals with the movement of goods under the relevant GST rules. TallyPrime allows e-Way Bill information to be sent along with the e-Invoice where required.
The current Tally configuration includes the option:
F12 (Configure) → Send e-Way Bill details with e-Invoice → Yes
when recording the relevant invoice.
Do not assume, though, that every e-Invoice requires an e-Way Bill. Check the e-Way Bill applicability for the transaction separately.
Where an eligible sales transaction requires both, generating the information as part of the same working process can save the accounts team from repeating transaction details.
What to Do with Several Pending e-Invoices?
A business does not always generate the IRN at the exact moment the sales voucher is entered. The internet may be unavailable. The accounts team may prefer to review invoices first. A user entering vouchers may not have responsibility for GST submission.
TallyPrime supports later and bulk IRN generation for these situations.
Use:
Alt+Z (Exchange) → Send for e-Invoicing
You can select eligible transactions and send multiple invoices for IRN generation instead of opening them one at a time.
This feature becomes useful once invoice volume increases. More importantly, create a small control around it. For example, someone in accounts can review the e-Invoice report at the end of the day and look specifically for invoices that are still pending.
That is better than discovering during GST reconciliation that an invoice was entered correctly three weeks ago but was never reported for IRN generation.
The 30-Day Reporting Rule You Should Not Ignore
Businesses with higher turnover need to pay particular attention to the document date.
From 1 April 2025, taxpayers with Aggregate Annual Turnover of ₹10 crore or more must report covered e-Invoice documents within 30 days of the document date. The restriction applies to invoices, credit notes and debit notes. If the transaction is reported after the permitted period, IRN generation is restricted.
This is separate from the broader ₹5 crore e-Invoicing applicability threshold. In other words, a business may be subject to e-Invoicing because of the ₹5 crore threshold, while the 30-day restriction specifically affects the ₹10 crore-and-above group under the current rule.
If your business falls into that group, pending IRNs should be reviewed regularly. Recording the voucher in TallyPrime is not enough if the transaction also needs to reach the IRP within the allowed reporting window.
Practical e-Invoice Setup Checklist
Before handing the process over to the regular billing team, run through this list once.
Company Setup
- GST enabled
- Correct GSTIN selected
- e-Invoicing applicable set to Yes
- Correct applicability date
- Correct bill-from place
Portal Setup
- IRP registration completed
- Required API profile created
- Correct GSP selected
- Login credentials tested
Master Data
- Buyer GSTIN checked
- State and PIN code checked
- Address updated
- HSN/SAC verified
- GST rate verified
- Place of supply checked
Transaction Test
- First eligible invoice recorded
- IRN generated
- IRN updated in TallyPrime
- QR code visible
- Printed invoice checked
- e-Invoice report reviewed
Do this carefully for the first invoice. After that, the same process should not feel like a special GST exercise every time an invoice is raised. It becomes part of the normal billing workflow.
Frequently Asked Questions
How do I enable e-Invoice in TallyPrime?
Press F11, make sure GST is enabled, open the appropriate GST registration and set e-Invoicing applicable to Yes. Enter the correct applicable-from date and invoice bill-from place, then save the configuration.
Why is e-Invoicing not showing in TallyPrime?
First check whether GST is enabled. If the company maintains multiple GST registrations, make sure you have opened the correct registration. You should also be using an appropriate current TallyPrime release for the latest e-Invoice workflow.
Do I need API credentials for TallyPrime e-Invoicing?
For direct e-Invoice integration, you need the appropriate API setup. Tally instructs users to create an API user through the IRP and select Tally (India) Private Ltd as the GSP. Existing users of a suitable e-Way Bill profile in TallyPrime may not need a second API profile.
Is my IRP password the same as my API password?
No. Tally’s current setup documentation distinguishes the API user credential from the IRP credential. Check which login the screen is asking for before assuming the password is wrong.
Can TallyPrime generate the IRN while saving an invoice?
Yes. TallyPrime supports generating the IRN while recording a transaction. You can also generate it later if the transaction was saved without immediate IRN generation.
Can I generate several e-Invoices together?
Yes. TallyPrime supports bulk IRN generation through Alt+Z → Send for e-Invoicing, where eligible transactions can be selected and sent together.
Why is my e-Invoice getting rejected?
Read the rejection message first. Common areas to review are buyer GSTIN, state and PIN code, HSN/SAC, GST rate, invoice number, invoice date, place of supply and authentication details. The error usually tells you which part deserves attention.
Can I edit an invoice after generating the IRN?
Be careful with changes after IRN generation. Altering the voucher can leave the information in TallyPrime different from the registered e-Invoice information. Use the appropriate correction or cancellation process for the situation instead of casually editing a registered invoice.
Can an e-Invoice and e-Way Bill be generated together?
Yes, where both apply. TallyPrime provides an option to send e-Way Bill details with the e-Invoice. The requirement for an e-Way Bill should still be checked separately for the transaction.
How do I check pending e-Invoices in TallyPrime?
Open:
Alt+G → e-Invoice
The e-Invoice report can be used to review transactions, errors and invoices that still require IRN-related action.
What is the current e-Invoice turnover limit?
The general e-Invoicing mandate currently applies from ₹5 crore aggregate annual turnover, subject to the applicable rules and exemptions. The ₹5 crore threshold has applied since 1 August 2023.
Final Thoughts
The setting itself is the easy part. The smoother e-Invoice setups are the ones where the GST registration, API access and master data are checked before the first live invoice is sent. If something later fails, start with the rejection message rather than changing every setting in TallyPrime.
If your accounts team is still facing IRN errors, multiple-GSTIN configuration problems or difficulty setting up e-Invoicing properly, TallyMantra can help review your TallyPrime setup and identify where the process is breaking down. A focused check of the existing configuration is usually more useful than rebuilding everything from scratch.