ClearTax E-Invoice is an integration that submits RMS tax invoices to the Indian government Invoice Registration Portal (IRP) via ClearTax, returning an Invoice Reference Number (IRN) and QR code for each accepted invoice.

Overview

Under Indian Goods and Services Tax (GST) rules, every taxable supply above the prescribed turnover threshold must be registered with the IRP at the point of invoice creation. ClearTax is one of two e-invoicing partners RMS supports for India. When the integration is active on a Property, RMS sends the invoice payload to ClearTax automatically, and the returned IRN and QR code are rendered on the reprinted tax invoice.

This article documents the feature end to end: module activation, the data RMS sends to ClearTax, how the integration decides which invoices are e-invoiced, the Alternate Payee reprint flow for invoices originally billed to a Company or Travel Agent without a GSTIN, and the common setup issues seen during go-live.

The integration applies only to Properties registered in India that have the module active and are operating under GST. It does not impact invoices issued by Properties in other countries.

Prerequisites

• The Property is registered in India and has a valid GST Identification Number (GSTIN).
• A ClearTax account with active API credentials, provisioned directly with ClearTax.
• The E-Invoice module is activated on the Property via the Module Market. Only a System Administrator or the Manager Profile has access to the Module Market.
• A vetted Harmonized System of Nomenclature (HSN) code list approved by the Property's finance or tax team. The authoritative catalogue is published at einvoice1.gst.gov.in/Others/MasterCodes.
• Administrative access in RMS so that Property Options, Lookup Tables, and Accounting settings can be edited.

Information

How the integration works

The integration is triggered at the point a tax invoice is created in RMS. RMS evaluates the Bill To party and the GSTIN recorded on that account, and decides whether to submit the invoice to ClearTax. When submission is required, the payload is sent to the ClearTax API, ClearTax forwards it to the IRP, and the IRP returns an IRN and signed QR code. Those values are stored against the invoice in RMS and printed on the reprinted invoice layout.

If ClearTax rejects the payload, the API error is surfaced to the user and a notification email is sent to the address configured against the integration. The invoice is not flagged as e-invoiced in this case, and the user can correct the underlying data and reprint to retry the submission.

Activation conditions

The integration is only active for an invoice when all three conditions are true:

• The Property Country is set to India.
• The E-Invoice module is enabled on the Property.
• ClearTax is selected as the e-invoicing partner on the Property.

Key terms

• GSTIN (Goods and Services Tax Identification Number) - the 15-character identifier issued to a business registered for GST in India. Required on the Bill To party for an invoice to be e-invoiced.
• HSN (Harmonized System of Nomenclature) - the numeric code that classifies the goods or service supplied. Required on every transaction line of an e-invoice.
• IRN (Invoice Reference Number) - the 64-character hash returned by the IRP when an invoice is registered. Printed on the reprinted invoice.
• IRP (Invoice Registration Portal) - the government portal that registers each compliant invoice. RMS does not call the IRP directly; ClearTax acts as the registered intermediary.
• Alternate Payee - the Guest identity used in place of the original Company or Travel Agent on the reprint of an invoice, where the original Bill To has no GSTIN but the Guest does.

Step 1 - Activate

1. Confirm the Property Country is set to India.
2. Activate the ClearTaxE-Invoice module for the Property via the Module Market.
3. Select ClearTax as the e-invoicing partner and record the ClearTax API credentials and the error notification email address.

Step 2 - Map HSN codes and capture GSTINs

Map an HSN code to each revenue head, so every invoice line inherits a valid HSN:

In the side menu of RMS, go to Setup > Lookup Tables > Grouping > G/L Acc Code Grouping.

1. Add a new Grouping for each distinct HSN code the Property uses. Set Heading For to G/L Acc Code, and Heading to the HSN Code (numeric) prescribed in the GST master catalogue.

Go to Setup > Accounting > G/L Acc Codes.

1. Open each revenue G/L Account (Room, Food and Beverage, Mini-bar, Laundry, Spa, Parking, and so on).

   Set the Trust Grouping on the G/L Account to the Grouping created above. Each invoice line then inherits the correct HSN.

Example HSN codes for hospitality revenue heads:

Capture GSTINs on every Guest profile, Company account, and Travel Agent account that may be the Bill To party on a tax invoice:

Confirm the GST rate configured against each Charge Type matches the rate prescribed for its HSN. Rate or HSN mismatches at the line level cause ClearTax to reject the invoice. For package or composite charges (for example a room and breakfast package), confirm whether the line should be split by component with separate HSNs or whether the principal service's HSN should apply, based on the Property's tax policy.

Step 3 - Test

1. Create a small test reservation and post charges across more than one revenue head, for example one accommodation charge and one food and beverage charge.
2. Settle the reservation and issue a tax invoice with the Bill To set to the Guest, with a valid Guest GSTIN recorded.
3. Confirm the invoice is sent to ClearTax and the returned IRN and QR code are rendered on the reprinted tax invoice.
4. Repeat the test with the Bill To set to a Company account that has a valid GSTIN, and again with a Travel Agent account that has a valid GSTIN. Confirm an e-invoice is sent in each case.

Daily Use

Issuing a tax invoice

When a tax invoice is created in RMS, the integration decides whether to submit it to ClearTax based on the Bill To party and whether a GSTIN is recorded on that account. The decision is made automatically; no user action is needed beyond raising the invoice as normal. The IRN and QR code returned by the IRP are stored against the invoice and printed on subsequent reprints.

Accounts Receivable handling is independent of the e-invoicing decision. The balance is posted to the Bill To party's account as it would be without the integration.

Decision logic on invoice creation

Error handling

If ClearTax rejects the submission, the API error is shown to the user at the point of invoice creation and an email is sent to the configured notification address. The invoice is not flagged as e-invoiced. After correcting the underlying issue (typically an invalid HSN, GSTIN, or tax rate mismatch), the user can reprint the invoice to retry the submission.

Advanced Configuration

Alternate Payee on Invoice Reprint

If the original Bill To is a Company or Travel Agent without a valid GSTIN, but the Guest has a valid GSTIN, RMS offers a reprint option that uses the Guest details as an Alternate Payee. The reprinted invoice carries the Guest GSTIN and is submitted to ClearTax for e-invoicing.

When the Alternate Payee flow is triggered, the system prefills the Guest details (Name, GSTIN, Address Line 1, State, Postcode) and validates the GSTIN format before submitting. Accounts Receivable handling is unchanged: the balance remains posted to the original Company or Travel Agent account. Only the e-invoice legal recipient is the Alternate Payee.

Cancellation

An e-invoice that has been accepted by the IRP cannot be edited in RMS or in ClearTax. To correct an accepted e-invoice, cancel it through ClearTax first, then recreate the invoice in RMS using the correct Bill To, GSTIN, and line items. The recreated invoice is submitted to ClearTax as a new e-invoice and receives a new IRN.

Reporting

After saving your credentials, verify the integration is working by reviewing transmitted invoices in the ClearTax Tax Invoice Export report.

In the side menu of RMS, go to Reports > Accounting > ClearTax Tax Invoice Export.

1. Set the date range to cover a period where invoices have been generated.
2. Select India from the Country filter.
3. Run the report.
   Each row represents one invoice that has been transmitted to ClearTax.
   Check the Invoice Status column. Invoices showing as Reported have been successfully transmitted.
   Any showing as Not Reported or Failed indicate a transmission issue - review your credentials and contact ClearTax support if the problem persists.

Common Setup Issues

• Issue: E-invoice rejected because a line item has no HSN code. Fix: Open the G/L Account in Setup > Accounting > G/L Acc Codes and confirm the Trust Grouping is set to the correct HSN Grouping.
• Issue: Wrong HSN appears on an invoice line. Fix: Check that the G/L Account is not mapped to a shared Grouping that covers multiple HSNs. Create a new Grouping for each distinct HSN where required.
• Issue: Tax rate mismatch on the invoice causes ClearTax to reject the submission. Fix: Confirm the GST rate against each Charge Type matches the rate prescribed for the HSN, and that package components are split correctly across line items.
• Issue: Invoice for a Company or Travel Agent with no GSTIN is not being sent to ClearTax. Fix: This is expected behaviour. Use the Alternate Payee reprint option where the Guest holds a valid GSTIN, or record the GSTIN on the Company or Travel Agent account and reissue.
• Issue: An e-invoice was submitted to ClearTax with the wrong Alternate Payee details. Fix: Cancel the e-invoice through ClearTax and recreate the invoice in RMS using the correct Guest details.
• Issue: No IRN or QR code appears on the reprinted invoice. Fix: Check the configured error notification email for the ClearTax rejection message, correct the underlying data, and reprint to retry the submission.

FAQs

Does ClearTax cost extra?

ClearTax is a separately contracted service. The Property must hold its own ClearTax account and API credentials. RMS does not bill for ClearTax usage.

What happens to invoices below the GST e-invoicing threshold?

RMS submits all invoices that meet the activation conditions to ClearTax. Threshold filtering is handled by the partner and the IRP, not by RMS. Confirm with the Property's finance team whether a manual threshold filter is needed.

Can the integration be enabled for testing only?

Yes. Configure the integration against the ClearTax sandbox environment using sandbox API credentials, run end-to-end tests, then switch to production credentials when the Property is ready to go live.

What if the Property is part of a multi-property group with mixed countries?

Activation is per Property. Only Properties with Country set to India and the E-Invoice module enabled use the integration. Properties in other countries are unaffected.

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