The connected workflow for GST invoices, supported return preparation, review exports, and manual GST-portal handoff.
Automatic CGST, SGST, and IGST calculation based on place of supply. Intra-state and inter-state transactions handled correctly every time.
Pre-built reports cover supported GST return sections. Download GSTN-format JSON plus an Excel review workbook; GST portal validation, payment, and filing remain authoritative manual steps.
Assign HSN or SAC codes to every item. Automatic HSN summary report for supported GSTR-1 sections with the tax-rate breakup for review.
Track ITC on every purchase automatically. See eligible credits, reversals, and net tax liability in one dashboard.
Validate customer and vendor GSTINs at the point of entry. Prevent errors before they reach your GST returns.
Generate e-Invoice compliant data with IRN and QR code support. Stay ahead of e-Invoicing mandates as thresholds come down.
Built specifically for Indian GST rules — not adapted from foreign software.
Every invoice, credit note, and debit note automatically calculates the correct GST based on place of supply and tax rates.
GSTR-1, GSTR-3B, and HSN summary reports cover supported return sections. Review the data, download GSTN-format JSON plus an Excel review workbook, and complete the portal steps manually; GST portal validation remains authoritative.
Automatic GSTIN validation and tax-rate checks flag source errors early. Review and amend source records when needed; the GST portal remains authoritative.
Every transaction has a complete trail — invoice, payment, ledger entry, and GST breakup. Always prepared for GST audits.
ReadyBooks understands the nuances of Indian GST — from place of supply rules for services to reverse charge mechanism, from composition scheme to e-Invoicing requirements. Every calculation follows the latest GST rules.
Whether you file monthly or quarterly, ReadyBooks generates the exact reports you need. GSTR-1 with invoice-level detail, GSTR-3B with summary totals, and HSN summary with rate-wise breakup. Your CA will love it.
A walk-through of the full GSTR-1 → GSTR-3B → GSTR-9 lifecycle, what is automated, and where you still touch the data.
When you raise a sales invoice in ReadyBooks.ai, the engine applies place-of-supply rules in real time. The customer state and your business state are compared against the goods or services line, and the system decides whether the line is intra-state (CGST + SGST) or inter-state (IGST). Reverse charge applicability under Section 9(3) and Section 9(4) of the CGST Act is also evaluated at this point — if the line is RCM, the tax breakup is flipped onto the recipient automatically and the invoice picks up the “Tax payable under RCM” flag so it lands in the right block of GSTR-1.
On the purchase side, every recorded bill produces an input tax credit (ITC) entry. ReadyBooks.ai tags each ITC entry against the GSTR-2A and GSTR-2B records it expects from the supplier. When 2B is published by GSTN, the AI reconciliation engine runs a fuzzy match on GSTIN, invoice number, invoice date, and total. Mismatches show up in a single “ITC mismatch” dashboard with the suggested action — wait for the supplier, raise a communication, or reverse the credit under Rule 37. This is the step Indian SMBs are usually slowest at, and it is the step where ReadyBooks.ai saves the most time.
GSTR-1 filing happens on the 11th of the following month for monthly filers (or the 13th under QRMP). ReadyBooks.ai prepares the return from your sales register — B2B, B2C-Large, B2C-Small, exports, credit/debit notes, HSN summary, and the document-issued table are included for review. Download GSTN-format JSON plus an Excel review workbook, then complete GST portal validation, payment, and filing manually and record the ARN in ReadyBooks. GSTR-3B follows on the 20th: outward liability is pulled from GSTR-1, ITC is pulled from your purchase register net of reversals, and the 3B is shown for review before payment and filing.
GSTR-9 (annual) is a review-only working paper generated for the full financial year by aggregating the monthly returns and books. It is exported for review; GST portal validation, payment, and filing remain outside ReadyBooks. GSTR-9C (audit reconciliation) is not generated in-app today.
As of 2026 the e-invoicing threshold sits at ₹5 crore aggregate turnover, but the GST Council has historically lowered the threshold roughly every twelve months. Treat e-invoicing as inevitable for any business with annual sales above ₹3 crore. ReadyBooks.ai is ready for both the current and the next threshold: every B2B invoice you raise can produce an IRN (Invoice Reference Number) and signed QR code via the NIC portal in real time. The IRN is embedded in the invoice PDF you share with the buyer, and amendment / cancellation flows are governed by the official 24-hour cancellation window.
E-way bills are auto-generated for any invoice that ships goods worth more than ₹50,000 (or the threshold notified by your state). Vehicle number, transporter ID, and supply type are captured at invoice time so the e-way bill JSON is one click away. Part-A and Part-B updates, extensions, and cancellations are all logged with timestamps so an audit trail is always available.
ITC eligibility under the CGST Act is more nuanced than "if I paid GST on a purchase, I claim it back." Section 16 lays out the four conditions — possession of a tax invoice, receipt of goods or services, supplier has filed their GSTR-1 (visible in your GSTR-2B), and you have actually paid the supplier within 180 days. ReadyBooks.ai checks each of these. The 180-day payment-or-reverse rule is the one that catches most SMBs in audits, so the system surfaces a "Reverse ITC under Rule 37" alert on day 165 — not day 181 — for any unpaid bill where credit has been taken.
Blocked credits under Section 17(5) are also enforced automatically. Motor vehicles, food and beverages, club memberships, works contract services for construction of immovable property — if you tag a bill against one of these expense categories, the system books the gross amount to expense and zeroes out the ITC. ReadyBooks computes the Rule 42 common-ITC reversal from the reviewed T1 and period turnover. Rule 43 capital-goods reversal is not auto-calculated; enter and review that additional amount separately in the exact-period GSTR-3B disclosure.
Three common Indian SMB patterns and how the GST engine adapts to each.
ReadyBooks.ai validates the buyer GSTIN at the point of invoice creation, auto-resolves intra vs inter-state based on customer state vs business state, and rejects invoices where the place of supply does not match the recorded state. Amendments drop to near zero.
The export engine batches the B2CS section by state and tax-rate and produces the supported GSTN-format JSON for review and manual upload. Complete GST portal validation, payment, and filing after export; the portal remains authoritative for acceptance.
RCM under Section 9(3) is applied when a GTA / unregistered-vendor bill is recorded. The reverse-charge liability and corresponding ITC populate GSTR-3B for review alongside the books before the GST portal steps.