Do you need to generate e-invoices?

A GST e-invoice is your normal invoice with one extra step: before you issue it, the details are reported to the government's Invoice Registration Portal, which returns a unique Invoice Reference Number (IRN) and a signed QR code that must be printed on the bill. Whether you must do this depends on your aggregate turnover crossing a notified threshold, with some suppliers and supplies exempt. The practical answer is to check your turnover and category against the current rule rather than assume.

Last reviewed: September 2026. The e-invoicing threshold has been lowered in stages and exemptions vary by category; confirm the current position for your business with your CA or on the GST portal.

What is GST e-invoicing, exactly?

E-invoicing does not mean emailing a PDF. It means reporting each invoice to the Invoice Registration Portal (IRP) at the moment you raise it, so the government registers the invoice before it reaches your buyer.

In return, the portal validates the invoice, gives it a unique Invoice Reference Number (IRN), and signs a QR code. You print both on the bill. The invoice your customer receives looks much like any other GST invoice, with two additions that prove it was registered: the IRN and the signed QR code.

Who does e-invoicing apply to?

It applies to registered businesses whose aggregate turnover crosses a notified threshold, measured across all registrations on the same PAN, in a relevant financial year. Above that line, e-invoicing is mandatory for the covered supplies; below it, you issue invoices normally.

The exact threshold is set and revised by GST notification, so it is not something to carry forward from memory or from an older article. Check the currently notified aggregate-turnover threshold on the official e-invoice portal or the GST portal, or with your CA, and compare it to your own turnover across all registrations on your PAN before you decide whether you are covered.

Two things make this less simple than a single number. First, the threshold has been lowered in stages since e-invoicing began, so a business that was outside it a few years ago may be inside it now. Second, exemption is not one list — it splits into two different questions.

An exempt entity is a category of registered person excused from e-invoicing altogether, across every supply it makes, regardless of its turnover. A transaction outside e-invoicing scope is a different question: the business itself may otherwise be fully covered, but a particular kind of supply it makes falls outside the e-invoicing requirement on its own terms, independent of the supplier's status. A covered business can still have transactions that fall outside scope, and an exempt entity is excused regardless of what it would otherwise cross in turnover — so check both questions separately: is your entity type exempt, and separately, does this particular transaction fall within scope. The specific categories for each change as notifications are issued, so confirm both on the official GST portal or with your CA, rather than assuming one exemption covers the other.

Because both the threshold and the exemption list can change, the reliable step is to check today's rule for your own PAN and line of business, not to carry forward a figure you remember.

How is an e-invoice different from a normal GST invoice?

The core invoice fields stay the same. What e-invoicing adds is the process and a couple of additions to the print: the IRN and the signed QR code.

	Normal GST invoice	E-invoice
Reported to the IRP before issue	No	Yes
Carries an IRN	No	Yes
Carries a signed QR code from the portal	No	Yes
Separate manual signature needed	Yes	No — the portal's digital signature stands in
Feeds returns and e-way bill	You report separately	Details flow through more automatically

The headline difference is the registration step. Once an invoice is registered, its data can populate parts of your return and the e-way bill without re-keying, which is one of the reasons the system exists — fewer mismatches between what you billed and what you filed.

What are IRN, IRP and the QR code in plain words?

The IRP is the government portal your invoice is reported to. The IRN is the unique number that portal returns for that specific invoice. The signed QR code is the portal's authenticated stamp on the invoice, and because it carries a valid digital signature, an e-invoice does not need a separate manual signature.

Think of it as registration, not re-writing. You still raise the invoice; the portal simply records it and hands back proof, and that proof — the IRN and QR code — is what makes it an e-invoice.

What should a shop owner do about it now?

Four steps, in order.

1. Work out your aggregate turnover across every registration on your PAN, not just one shop. E-invoicing is judged on the total.
2. Compare it to the current threshold and check whether your kind of supplier or supply is exempt — confirm both against the portal or your CA, since the numbers have moved.
3. If you are covered, prepare your billing to report to the IRP and print the IRN and QR code, well before the date it applies to you. Do not leave it to the first bill of the covered month.
4. If you are not covered yet, watch the threshold. As it has been lowered before, a growing business can cross the line between one year and the next.

For a distributor or larger operation, this is worth planning early, because volume makes any last-minute scramble worse — the same reason distributor inventory needs its routes, credit and ageing handled in one place rather than in scattered books.

Does e-invoicing change which tax I charge?

No. E-invoicing is about registering the invoice, not about the tax on it. You still decide CGST and SGST or IGST from the place of supply exactly as before, and you still apply the correct rate for each item's classification. The IRP registers whatever you correctly billed; it does not compute your tax for you, and it will not rescue a wrong rate or a wrong place of supply.

So getting the invoice right still comes first. E-invoicing sits on top of a correct invoice — it does not replace the discipline of building one.

FAQ

What is a GST e-invoice? A GST e-invoice is a normal invoice that has also been registered on the government's Invoice Registration Portal before it is issued. The portal validates the invoice, returns a unique Invoice Reference Number and a signed QR code, and those must appear on the bill you give the buyer. It is not a separate kind of bill — it is your invoice with an extra registration step.

Who has to generate e-invoices? E-invoicing applies to registered businesses whose aggregate turnover crosses a notified threshold, with some categories of supplier and supply specifically exempt. The threshold has been lowered in stages over the years, so more businesses are covered now than at the start. Check the current threshold and exemptions against the GST portal or your CA for your own case.

How is an e-invoice different from a normal GST invoice? The fields are largely the same. The difference is the step before issuing: an e-invoice is reported to the Invoice Registration Portal, which returns an Invoice Reference Number and a signed QR code that must be printed on it. A normal invoice is issued directly without that registration. An e-invoice also flows into your returns and e-way bill more automatically.

What is an IRN and what is the IRP? The IRP is the Invoice Registration Portal, the government system your invoice is reported to. The IRN, or Invoice Reference Number, is the unique code the portal returns for that invoice once it is registered. The IRN and the signed QR code the portal sends back are what make the bill a valid e-invoice, and both must appear on the copy you give the buyer.

Do I need a separate signature if my invoice has a signed QR code? An e-invoice that already carries the valid digital signature from the portal does not need a separate manual signature on the print. That signed QR code is the portal's authentication of the invoice. A normal tax invoice outside e-invoicing still needs the supplier's signature or digital signature as usual.

What should I do if I am not sure whether e-invoicing applies to me? Work out your aggregate turnover across all your registrations on the same PAN, compare it to the current notified threshold, and check whether your type of supplier or supply is exempt. Because the threshold has changed over time, confirm today's figure with your CA or on the GST portal rather than relying on an older number. Then set your billing up before the deadline.

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Related reading: what a GST invoice must contain and CGST and SGST or IGST: how to decide, every time.

If you would rather your billing raised, registered and printed a compliant invoice in one step, see what KillStock does out of the box and what it costs.