RCM e-Invoice

Overview

GSTZen has implemented support for the new e-Invoice supply types announced by GSTN for recipient-generated self-invoices under the Reverse Charge Mechanism (RCM). The enhancement is ready for testing in the GSTZen sandbox environment.
The feature covers specified domestic supplies from unregistered persons and imports of services where the recipient is liable to pay tax under RCM. The GSTN advisory states that the feature is intended for registered taxpayers with Aggregate Annual Turnover (AATO) of ₹5 crore and above, subject to applicable statutory provisions and notifications.

New supply types

Supply typeDescriptionUse for
RCMDOMRCM – DomesticRecipient-generated self-invoice for specified domestic supplies received from an unregistered person where the recipient is liable to pay tax under RCM.
RCMIMPRCM – Import of ServicesRecipient-generated self-invoice for import of services from a supplier located outside India where the recipient is liable to pay tax under RCM.

How RCM e-Invoices differ from regular e-Invoices

  • The recipient, rather than the supplier, registers the RCM self-invoice.
  • The supply type must be RCMDOM or RCMIMP, depending on the transaction.
  • The reverse charge flag must be set to Y.
  • The supplier GSTIN must be URP.
  • The registering taxpayer must be a Regular or Casual taxpayer, subject to applicable NIC rules.

Required API fields and validations

Common requirements for RCMDOM and RCMIMP

  • SupTyp: use “RCMDOM” for domestic RCM or “RCMIMP” for import of services.
  • RegRev: must be “Y”.
  • SellerDtls.Gstin: must be “URP”.
  • The transaction is registered by the recipient only.
  • The registering taxpayer must be Regular or Casual.

RCMDOM – Domestic RCM

  • Both goods and services HSNs are allowed.
  • Supplier state and place of supply determine whether the transaction is inter-state or intra-state.
  • If IgstOnIntra is set to “Y”, the transaction is treated as inter-state.

RCMIMP – Import of Services

  • Only service-related HSNs are allowed; goods HSNs are not allowed.
  • The transaction is always treated as inter-state.
  • ItemList[].OrgCntry is required for every item.
  • The OrgCntry value must be the same across all invoice items.
  • The OrgCntry master list can be referred from county code option Click here
  • The supplier state code must represent a location outside India.

Illustrative JSON snippets

RCM Domestic – key fields:

{
“SupTyp”: “RCMDOM”,
“RegRev”: “Y”,
“SellerDtls”: {
“Gstin”: “URP”
}
}
RCM Import – key fields and item-level origin country:
{
“SupTyp”: “RCMIMP”,
“RegRev”: “Y”,
“SellerDtls”: {
“Gstin”: “URP”
},
“ItemList”: [
{ “HsnCd”: “”, “OrgCntry”: “” },
{ “HsnCd”: “”, “OrgCntry”: “” }
]
}

These snippets are illustrative only, not complete or schema-validated invoice requests. Refer API documentation for complete Request JSON

Important notes

  • This enhancement is currently ready in the GSTZen sandbox environment; do not assume it is available in production.
  • Use the sandbox to validate your request-building and integration workflows.
  • The production rollout date was not announced in the referenced GSTN advisory.
  • The JSON examples in this guide are illustrative.

Reference

GSTN advisory: https://www.gst.gov.in/newsandupdates/read/678