E-invoicing under GST: who needs it and how the IRN works

An e-invoice is not a new kind of invoice: it is your normal B2B tax invoice, reported to the government’s Invoice Registration Portal (IRP) in a standard format. The IRP checks it, gives it an Invoice Reference Number (IRN), signs it and returns a QR code that carries its key details.

Once registered, the invoice flows into your GSTR-1 and your buyer’s statement automatically.

E-invoicing has been brought in step by step. Since 1 August 2023 it applies to businesses whose aggregate turnover in any financial year from 2017–18 onwards exceeded ₹5 crore. Once you cross the limit in any year, it applies from then on.

Some taxpayers are exempt regardless of turnover — among them insurers, banks and other financial institutions, goods transport agencies, passenger transport services, cinema admission services and SEZ units.

Thresholds and exemptions are notified by the government and have changed several times. Check the current notifications for your business.

• B2B invoices to registered buyers.
• Credit and debit notes to registered buyers.
• Exports.

Sales to consumers (B2C) are not e-invoiced.

Businesses with an aggregate turnover of ₹10 crore or more must report an invoice to the IRP within 30 days of the invoice date (from 1 April 2025); the portal refuses older ones. Reporting as you bill avoids the problem altogether.

1. You bill the B2B invoice as usual.
2. The software sends it to the IRP, directly or through a GST Suvidha Provider (GSP).
3. The IRP validates it and returns the IRN, the acknowledgement number and date, and the signed QR code.
4. The software stores them with the invoice.

In Suiteloom, e-invoicing is switched on when your turnover needs it. B2B invoices then wait in the e-invoice list until filed, one at a time or several together, and any rejection shows the reason the portal gave.