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GST compliance guide

What is e-invoicing under GST?

Short answer

E-invoicing under GST is the system where B2B invoices are uploaded to a government Invoice Registration Portal (IRP), which validates them and returns a unique Invoice Reference Number (IRN) and a digitally signed QR code. It is mandatory for businesses whose annual aggregate turnover exceeds ₹5 crore in any year since 2017-18.

Updated 2026-06-03 · 399Apps · General GST information, not tax advice

How to generate an e-invoice: step by step

You do not type invoices into a government site. Your billing software prepares the data and exchanges it with the IRP automatically.

  1. 1

    Create the invoice with all GST fields

    Raise the B2B invoice in your accounting/billing software with GSTIN, HSN/SAC, taxable value and tax split — exactly as on a normal tax invoice.

  2. 2

    Generate the e-invoice JSON

    The software converts the invoice into the standard e-invoice schema (Form INV-01 / JSON).

  3. 3

    Upload to the IRP

    The JSON is sent to an Invoice Registration Portal (the NIC IRP or another approved IRP) over API.

  4. 4

    Receive the IRN and signed QR code

    The IRP validates the invoice, generates a unique 64-character Invoice Reference Number (IRN), digitally signs it and returns a QR code.

  5. 5

    Share the invoice with the IRN and QR

    Print or send the invoice showing the IRN and signed QR code — this is now the legally valid B2B tax invoice.

  6. 6

    Auto-flow to GST returns and e-way bill

    The reported invoice auto-populates your GSTR-1, and an e-way bill can be generated from the same data for movement of goods.

What is e-invoicing under GST?

E-invoicing (electronic invoicing) does not mean generating an invoice on a government website. It means reporting a B2B invoice you have already created to a government Invoice Registration Portal (IRP) in a standard format, so the portal can authenticate it and issue an Invoice Reference Number (IRN) and a signed QR code. Only an invoice carrying a valid IRN is treated as a legal tax invoice for businesses covered by the rule.

Who must comply: the turnover threshold

E-invoicing applies based on aggregate annual turnover, which has been lowered in phases since 2020:

  • Mandatory for businesses with aggregate turnover above ₹5 crore in any financial year from 2017-18 onwards (effective 1 August 2023).
  • Applies to B2B supplies, supplies to SEZ, exports, and credit/debit notes.
  • It does not apply to B2C invoices (though a dynamic QR code applies separately for large B2C suppliers).
  • Exempt categories include banks and financial institutions, insurers, goods transport agencies, passenger-transport services, cinema/multiplex admission, and SEZ units (not SEZ developers).

How e-invoicing works: IRP, IRN and QR code

The flow is: your software creates the invoice, converts it to the e-invoice JSON schema, and sends it to an IRP. The IRP checks for duplicates, validates the structure, generates the unique IRN, digitally signs the payload, and returns a QR code that encodes the key invoice details. The signed invoice then auto-populates GSTR-1 and can feed the e-way bill system — removing duplicate data entry.

The 30-day reporting time limit

To keep reporting timely, the GST Network applies a time limit for uploading invoices to the IRP. From 1 April 2025, taxpayers with an aggregate annual turnover of ₹10 crore or more must report e-invoices within 30 days of the invoice date; after that window the IRP will reject the invoice. Businesses near the threshold should report promptly rather than batch invoices at month-end.

Benefits of e-invoicing

Because the invoice is authenticated at source, e-invoicing reduces fake invoices and ITC fraud, removes duplicate data entry across GSTR-1 and the e-way bill, speeds up your buyers’ input tax credit (the data appears in their GSTR-2B), and cuts reconciliation effort at month-end.

How 399Apps helps

Nidhi Books (by 399Apps) supports e-invoicing and e-way bill generation above the applicable thresholds: it builds the e-invoice JSON, fetches the IRN and QR code from the IRP, and prints them on the invoice — so a ₹5-crore-plus business stays compliant without a separate utility or manual uploads.

FAQ

What is e-invoicing under GST — frequently asked questions

What is the turnover limit for e-invoicing under GST? +
E-invoicing is mandatory for businesses with aggregate annual turnover above ₹5 crore in any financial year since 2017-18, effective 1 August 2023. The threshold has been reduced in stages from the original ₹500 crore.
Is e-invoicing required for B2C invoices? +
No. E-invoicing applies to B2B supplies, supplies to SEZ, exports and credit/debit notes — not to B2C invoices. Large B2C suppliers have a separate dynamic-QR-code requirement instead of IRN-based e-invoicing.
What is an IRN in e-invoicing? +
An IRN (Invoice Reference Number) is a unique 64-character hash the Invoice Registration Portal generates for each reported invoice. Along with a digitally signed QR code, it authenticates the invoice as a valid GST tax invoice.
Is there a time limit to generate an e-invoice? +
Yes. From 1 April 2025, taxpayers with aggregate annual turnover of ₹10 crore or more must report invoices to the IRP within 30 days of the invoice date, after which the portal rejects them.
Who is exempt from e-invoicing? +
Banks and financial institutions, insurers, goods transport agencies, passenger-transport operators, cinema/multiplex admissions and SEZ units are exempt, as are businesses below the ₹5 crore turnover threshold.
Try 399Apps

GST billing, returns & e-invoicing — done automatically

Nidhi Books raises GST-compliant invoices and prepares GSTR-1 and GSTR-3B exports, with unlimited users from ₹399/month for your first app (+₹99/month per add-on, prices exclude GST). Free for 14 days.