CBIC launches two-factor authentication for all e-way bill and e-invoice

NEW DELHI : The Central Board of Indirect Taxes and Customs (CBIC) has enabled two-factor authentication for all e-waybill and e-invoice systems to further enhance the security of the goods and services tax systems. The feature was enabled on December 1 and was rolled out on Monday.

Currently the pilot rollout has been done for a state of Haryana and after seamless operation of the same in the state, it is being rolled out for Punjab, Chandigarh, Rajasthan, Uttarakhand and Delhi taxpayers in the first phase. In the second phase, it will be rolled out across the country.

“Currently, 2FA (two factor authentication) will be rolled out for Punjab, Chandigarh, Uttarakhand, Rajasthan and Delhi in the first phase. In the second phase, it is planned to be rolled out to all states across India,” the GST network (GSTN), the technology provider for goods and services tax, said in an advisory.

What is two factor authentication?

The 2-Factor authentication is an additional security system to protect the GST account of taxpayers from any misuse in addition to the username and password for logging in to the system.

This is linked with the registered mobile number of the taxpayer and a One Time Password (OTP) is generated and sent to the mobile number. The OTP can be sent to a registered mobile number as SMS or through Sandes app, which is a messaging app provided by the government so that taxpayers can send and receive messages.

Apart from that the taxpayers can use the ‘NIC-GST-Shield’ app, which is a mobile app provided by e-wayBill or e-Invoice System, so that OTP can be generated by using the app.

The centre has made the two-factor authentication mandatory for all GST taxpayers who have an annual Aggregate Turnover of Rs 100 crores and above from July 15. Later the threshold was reduced to Rs 20 crore. Now it will be mandatory for all the taxpayers which are registered under GST.