What Is an Invoice? How Is It Issued?Differences Between E-Invoice and E-Archive Invoice

Invoice

Moreover, invoices are not only part of business life; they also appear frequently in our daily lives. Whenever we shop online, purchase a service, or deal with accounting while growing our business, we inevitably encounter invoices.

So, what is an invoice? How is an invoice issued? What are the differences between an e-invoice and an e-archive invoice?If you are looking for answers to these questions, you are in the right place. Let’s examine them in detail together.

What Is an Invoice?

An invoice is an official document issued in exchange for goods sold or services provided. In other words, it is the written proof of a transaction. By issuing an invoice to the buyer, the seller records their income and ensures compliance with tax regulations.

The functions of an invoice are not limited to tracking income and expenses. It also:

• Documents commercial transactions

• Serves as evidence for tax authorities

• Acts as an official document in case of disputes between parties

In short, an invoice is indispensable for trade.

What Are the Essential Elements of an Invoice?

An invoice must include certain mandatory information. These essential elements are:

• Invoice date and number

• Seller’s information (name/title, address, tax office, tax number)

• Buyer’s information (name/title, address, tax office, tax number)

• Description of the goods or services

• Quantity and unit price

• Total amount

• VAT rate and calculated VAT

• Grand total

Documents that do not include these elements cannot be considered valid invoices.

How Is an Invoice Issued?

One of the most common questions is: “How is an invoice issued?”

In the past, invoices were issued only through printed invoice books. Sellers would manually fill out paper invoices and deliver them to customers. Today, with technological advancements, digital invoicing systems have come to the forefront.

Steps to Issue an Invoice:

• Obtain the buyer’s information after the sale or service

• Calculate the quantity, unit price, and total amount of the goods or services

• Add the VAT rate to determine the grand total

• Assign the invoice number and date

• Deliver the invoice to the buyer either in paper form or electronically

While paper invoices are still valid, the most commonly used systems today are e-invoices and e-archive invoices.

What Is an E-Invoice?

An e-invoice, one of the most important steps in digital transformation, is the electronic version of the traditional paper invoice.

What is an e-invoice?

• It is an electronic invoice sent and received through the system established by the Revenue Administration (GİB)

• It has the same legal validity as a paper invoice

• Storage and archiving processes are much easier

Advantages of E-Invoices:

• Prevents paper waste and is environmentally friendly

• Eliminates the risk of losing invoices

• Reaches the recipient much faster and more easily

• Greatly simplifies accounting and financial advisory processes

Additionally, e-invoicing is mandatory for businesses exceeding certain turnover thresholds.

What Is an E-Archive Invoice?

An e-archive invoice is an electronic invoice issued to companies or individuals who are not e-invoice taxpayers.

What is an e-archive invoice?

• Issued electronically instead of paper invoices

• Can be sent to customers via email or delivered as a printed copy

• Gains legal validity by being reported to the Revenue Administration

When Is an E-Archive Invoice Used?

• In online sales

• For invoices issued to businesses not registered in the e-invoice system

• In sales made to end consumers

For e-commerce businesses, e-archive invoices are essential.

Differences Between E-Invoice and E-Archive Invoice

Many people ask, “What is the difference between an e-invoice and an e-archive invoice?” Here is the clearest answer:

Feature	E-Invoice	E-Archive Invoice
Issued To	E-invoice taxpayers	Non e-invoice taxpayers and individuals
Delivery Method	Through the GİB system	Via email or printed copy
Mandatory Status	Mandatory based on turnover	Mandatory for e-commerce sales
Legal Validity	Official document registered with GİB	Official document reported to GİB

In summary:

• If the buyer is an e-invoice taxpayer, an e-invoice is issued.

• If the buyer is not a taxpayer or is an individual, an e-archive invoice is issued.

Why Are E-Invoices and E-Archive Invoices Important?

With digitalization in Türkiye, e-invoice systems play a major role in ensuring tax transparency and preventing the informal economy.

Thanks to e-invoices and e-archive invoices:

• Unregistered transactions are reduced

• Accounting processes become faster

• Government tax audits become easier

• Archiving costs for businesses are eliminated

Who Is Required to Use E-Invoices and E-Archive Invoices?

Each year, the Revenue Administration issues regulations that require businesses exceeding certain turnover limits to use e-invoices and e-archive invoices.

For example:

• Businesses with annual turnover above the specified limit

• Companies engaged in e-commerce

• Businesses operating in certain sectors such as fuel, sugar, iron, and steel

In short, digitalization has become inevitable for all businesses.

Conclusion: Which Invoice Should You Use?

Now you know:

• E-invoices are official electronic invoices used between businesses

• E-archive invoices are electronic invoices issued to individuals or businesses that are not e-invoice taxpayers

If you want to grow your business, simplify accounting, and gain speed in official transactions, switching to e-invoices and e-archive invoices will be a major advantage.

Remember, issuing the correct invoice is important not only for compliance with tax regulations but also for building customer trust.

👉 Do you use e-invoices or e-archive invoices in your business? Share your experience in the comments and let’s discuss together.