E-Invoicing Under GST —
IRP, IRN & the ₹5 Crore Rule
Who must generate e-invoices, the ₹5 crore turnover threshold, how the IRP portal issues the IRN and QR code, the 30-day reporting limit for ₹10 crore+ businesses, and the penalties for getting it wrong.
E-invoicing under GST is mandatory for every business whose aggregate annual turnover crossed ₹5 crore in any financial year since FY 2017-18. You upload the invoice to the Invoice Registration Portal (IRP), which returns a unique 64-character IRN and a digitally-signed QR code. It applies only to B2B, export and SEZ invoices (and debit/credit notes) — B2C is excluded. Businesses with turnover of ₹10 crore+ must report each invoice within 30 days.
E-Invoicing Turnover Threshold
E-invoicing became mandatory in phases. The current threshold — in force since 1 August 2023 — is ₹5 crore aggregate annual turnover, and it is unchanged for FY 2025-26. Once your turnover crosses ₹5 crore in any year from FY 2017-18 onward, e-invoicing stays applicable even if a later year falls below the limit.
| Effective date | Aggregate turnover | Status |
|---|---|---|
| 1 October 2020 | Above ₹500 crore | Superseded |
| 1 January 2021 | Above ₹100 crore | Superseded |
| 1 April 2021 | Above ₹50 crore | Superseded |
| 1 April 2022 | Above ₹20 crore | Superseded |
| 1 October 2022 | Above ₹10 crore | Superseded |
| 1 August 2023 | Above ₹5 crore | Current |
Threshold set by Notification 10/2023-Central Tax; unchanged as of August 2026. "Aggregate turnover" is PAN-India across all GSTINs.
An e-invoice is not an invoice generated on a government portal. You still raise the invoice in your own billing software; e-invoicing means that invoice is authenticated by the IRP, which stamps it with an IRN and QR code before it is legally valid for a registered buyer.
What Is Covered — and What Is Not
E-invoicing applies to B2B supplies to registered buyers, exports and SEZ supplies, along with the related debit and credit notes. Supplies to unregistered buyers (B2C) and certain notified sectors are outside the scope.
| Transaction / entity | E-invoice? | Note |
|---|---|---|
| B2B invoice (registered buyer) | Yes | Core requirement |
| Export invoice | Yes | Including deemed exports |
| SEZ supply invoice | Yes | Supplies to an SEZ unit / developer |
| Debit & credit notes (B2B) | Yes | Linked to the original invoice |
| B2C invoice (unregistered buyer) | No | Excluded (dynamic QR may apply separately) |
| Bill of supply (exempt / composition) | No | No taxable supply |
| Delivery challan / job-work challan | No | Not a tax invoice |
| Banks, NBFCs, insurance, passenger transport, cinema | No | Notified exempt sectors |
| SEZ units as suppliers | No | Exempt as a supplier |
Exemptions per Notification 13/2020-CT as amended. Verify sector-specific status on the GST portal.
For a business that is required to e-invoice, any B2B invoice raised without an IRN is not a valid tax invoice. Your buyer cannot claim Input Tax Credit on it, and it will not auto-populate into your GSTR-1.
How to Generate an E-Invoice
You raise the invoice as usual, send its data to the IRP, and receive it back authenticated. Most accounting software (Tally, Zoho Books, QuickBooks, Busy) integrates directly with the IRP via API, so this happens in the background.
- Register / login at einvoice1.gst.gov.in using your GSTIN credentials.
- The IRP returns a unique 64-character IRN (Invoice Reference Number) and a digitally-signed QR code.
- The IRN-tagged invoice auto-populates GSTR-1 — no re-keying of B2B data.
- For goods movement, Part-A of the e-way bill is auto-filled from the e-invoice data.
- GSTIN registered on IRP
- Billing software IRP-ready
- All mandatory invoice fields present
- IRN printed on invoice
- QR code printed on invoice
- GSTR-1 auto-population verified
- E-way bill Part-A linked
- 30-day reporting tracked (₹10cr+)
Turnover crossed ₹5 crore? Get your billing set up for e-invoicing.
Talk to a GST Expert →The 30-Day Reporting Rule
From 1 April 2025, businesses with aggregate turnover of ₹10 crore or more must report each document to the IRP within 30 days of the invoice date. The IRP rejects anything older than 30 days, so a late invoice can never get a valid IRN.
| Turnover (AATO) | 30-day reporting limit? |
|---|---|
| ₹5 crore to below ₹10 crore | Not yet applicable |
| ₹10 crore and above | Yes — report within 30 days |
Advisory on einvoice6.gst.gov.in. Example: an invoice dated 1 April must be reported by 30 April.
Penalties for Non-Compliance
Failing to issue an e-invoice when required, or issuing an incorrect one, carries penalties under Section 122 of the CGST Act — over and above the buyer losing ITC.
- Non-generation of e-invoice: ₹10,000 per invoice, or 100% of the tax due, whichever is higher.
- Incorrect e-invoice: ₹25,000 per invoice.
- Buyer impact: ITC is denied on any B2B invoice without a valid IRN.
An e-invoice authenticates a tax invoice for GST; an e-way bill covers the movement of goods worth ₹50,000 or more. They are linked — an e-invoice for a goods supply auto-fills e-way bill Part-A — but each has its own trigger and threshold.
Frequently Asked Questions
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Crossed ₹5 Crore? Get E-Invoicing Right
From IRP setup and software integration to IRN generation, GSTR-1 reconciliation and the 30-day reporting rule, TaxClue's CA-led team keeps your e-invoicing compliant — 100% online, across India.