E-invoice (IRN)
Invoice Registration Number
E-invoicing means reporting each B2B invoice to a government Invoice Registration Portal, which returns a unique 64-character Invoice Reference Number (IRN) and a signed QR code that make the invoice legally valid.
The name is misleading: e-invoicing does not mean you send your customer a PDF instead of paper. It means the invoice is registered with the government at the moment it is raised, and comes back stamped. An invoice that should have been registered and was not is not a valid tax invoice, and your customer's input tax credit on it is at risk.
The obligation is turnover-based and, once triggered, permanent. If aggregate annual turnover crossed ₹5 crore in any financial year from 2017-18 onwards, e-invoicing applies — and it continues to apply even if turnover later falls below the threshold.
A separate and frequently confused rule governs how quickly you must report. Businesses at ₹10 crore aggregate annual turnover or above must report each invoice, credit note and debit note within 30 days of its date. Miss that window and the portal refuses the IRN, which means the invoice cannot be validly issued at all. Businesses between ₹5 crore and ₹10 crore must generate e-invoices but are not yet inside the 30-day hard stop.
Key facts
- E-invoicing threshold: aggregate annual turnover above ₹5 crore, unchanged since 1 August 2023.
- The threshold is tested against any financial year from 2017-18 onwards.
- The IRN is a 64-character hash derived from supplier GSTIN, document type, financial year and document number.
- 30-day reporting limit applies at ₹10 crore AATO and above.
- Once applicable, e-invoicing continues even if turnover subsequently falls.
Who this affects
B2B suppliers above the turnover threshold. Business-to-consumer invoices are outside the mandate, though a dynamic QR code requirement applies separately.
How YarnTally handles it
E-invoicing runs through a GSP account you connect — ClearTax, IRIS or Masters India. The GSP subscription is not included; YarnTally supplies the invoice data and stores the returned IRN and signed QR against the invoice.
See what else it doesReviewed September 2026. This is general information about how these rules work, not tax or legal advice, and thresholds and due dates do change. Check your own position with your chartered accountant before acting on it.