Electronic billing that satisfies the IRD, not just your accountant
Lotussoft ERP is approved by the Inland Revenue Department and integrates with the Central Billing Monitoring System, so every invoice you issue is compliant the moment it is printed.
Unapproved software is a liability you can't see
Plenty of shops in Nepal bill from a spreadsheet, a generic invoice app, or software that was never registered with the IRD. It works fine — until an audit, a tax clearance, or a turnover threshold turns years of informal records into a problem. By then, the records cannot be recreated.
The rules have also moved: electronic billing is now mandatory above a turnover threshold, and any business issuing computerised invoices must transmit that data to the IRD as it is generated. Getting this right is no longer only about good bookkeeping.
Do the rules apply to your business?
At or above the e-billing threshold
Businesses with annual turnover of Rs. 10 crore or more are required to issue invoices electronically. If you are near that line, moving before you cross it is far less disruptive than moving after.
Anyone billing by computer
Whether the law required the move or you chose it, issuing computerised invoices means using approved software linked to the IRD's central monitoring platform, so invoice data reaches the department as it is issued.
Below the threshold, by choice
Smaller businesses can adopt electronic billing voluntarily. In practice most do it for their own benefit — accurate stock, real VAT figures, and no scramble when the turnover threshold is eventually crossed.
Turnover thresholds are set by the IRD and have changed more than once in recent years. Treat the figures above as a guide and confirm the current rule with your accountant or the Inland Revenue Department before you make a decision.
From counter to CBMS in four steps
You issue a bill
The counter operator bills as normal — scan, price, collect payment, print.
The invoice is validated
Lotussoft checks the invoice against the required fields and VAT rules before it is finalised.
CBMS receives it
The invoice is transmitted to the IRD's Central Billing Monitoring System in real time.
Your books update
The same invoice posts to stock and to your ledger, so the VAT return is already assembled.
Compliance features, not compliance paperwork
IRD-Approved Software
Lotussoft ERP is approved by the Inland Revenue Department, so the bills it prints are accepted as valid tax invoices.
Real-Time CBMS Sync
Every sales invoice is transmitted to the Central Billing Monitoring System as it is issued — no end-of-day upload, no manual file.
Materialised Bill Format
Invoice numbering, fiscal year, buyer PAN, and VAT breakdown all follow the format the rules prescribe, on every bill.
No Silent Deletion
Issued bills cannot be quietly removed. Corrections are made through credit notes, leaving the audit trail the IRD expects.
VAT Returns From Your Own Data
Sales and purchase books, and the VAT return figures, are generated from the same records — not rebuilt at filing time.
Multi-Branch, One PAN
Bill from several counters or branches under one PAN, with each location's sales reported correctly and separately.
Compliance is a by-product of using the system, not a separate month-end job. Bill the way you already bill, and the IRD-ready records assemble themselves.
The same invoice does four more jobs
An IRD-compliant invoice is only the visible part. The same record drivesstock levels, the customer ledger and your books, the daily sales and VAT reports, and the margin figures you use to decide what to reorder. See thebilling & POS modulefor how the counter itself works.
Setup differs by trade — apharmacy, a departmental store, and a wholesale distributoreach bill differently while meeting the same rules.
Common compliance questions
Is Lotussoft ERP an IRD-approved billing software?
Yes. Lotussoft ERP is approved by the Inland Revenue Department of Nepal for computerised billing, and it is built to integrate with the Central Billing Monitoring System (CBMS).
What is CBMS?
CBMS is the IRD's Central Billing Monitoring System. Approved billing software transmits sales invoice data to it as invoices are issued, giving the department a real-time view of taxable sales instead of relying only on periodic returns.
Does my business have to use electronic billing?
It is mandatory for businesses with annual turnover of Rs. 10 crore or more. Below that it is optional, and any business can adopt electronic billing voluntarily; most that do cite accurate stock and clean VAT figures rather than compliance. Either way, once you issue computerised invoices you must do it through IRD-approved software linked to CBMS. Thresholds are revised from time to time, so confirm the current figure with your accountant or the IRD before deciding.
What happens if my internet goes down mid-day?
Lotussoft ERP is cloud-based, so billing needs a connection — but it is not tied to one machine or one line. Any device with internet becomes your counter, so staff can carry on from a phone or tablet on mobile data while a fixed line is down.
Can I switch to Lotussoft ERP in the middle of a fiscal year?
Yes. We import your products, parties, and opening balances, and continue your invoice numbering from where it stands so the fiscal year's records stay continuous.
Do I still need an accountant?
Most businesses do, and the software is designed to make that work easier rather than replace it. Your accountant gets clean, complete books instead of a shoebox of bills at the end of the year.
Guides on e-billing and CBMS
- Who must comply, and whenWho the rules apply to, what the Rs. 10 crore threshold means, and why moving early costs less.
- What CBMS actually meansWhat changes at your counter — and what happens when the internet goes down.
- A 10-point buying checklistTen questions to ask any vendor before you commit, including us.
- How VAT billing worksA plain-language guide to VAT billing requirements for small businesses.
- Billing & POS moduleThe counter itself: scanning, price lists, and VAT invoices in seconds.
- PricingCompare plans and request a quote for your business size.
Move to IRD-approved billing before you have to
Book a free demo and we'll show you exactly what changes at your counter — and what stops being your problem at filing time.
Request a Free Demo