e Invoice Limit | Applicability | Latest Notifications

The e-invoice turnover limit under GST is ₹5 crore in 2026. Registered businesses whose aggregate turnover exceeded ₹5 crore in any financial year from 2017–18 onwards are generally required to generate e-invoices for applicable transactions, subject to notified exemptions. This threshold has been effective since 1 August 2023.

A separate reporting rule applies to businesses with annual aggregate turnover of ₹10 crore or more: from 1 April 2025, they must report applicable invoices, credit notes and debit notes to an Invoice Registration Portal (IRP) within 30 days of the document date.

Below, you can check the e-invoice applicability limit, historical threshold changes, turnover calculation and reporting deadlines.

What Is the Current e-Invoice Limit Under GST in 2026?

Latest e-Invoice Limit and Reporting Rules in India

The mandatory e-invoicing turnover threshold was reduced from ₹10 crore to ₹5 crore through Notification No. 10/2023–Central Tax, dated 10 May 2023, effective from 1 August 2023.

A subsequent GSTN advisory introduced a separate reporting deadline. From 1 April 2025, taxpayers with annual aggregate turnover of ₹10 crore or above cannot report e-invoices, credit notes or debit notes older than 30 days on an Invoice Registration Portal (IRP).

Businesses must distinguish between these requirements: the ₹5 crore threshold determines e-invoicing applicability, while the ₹10 crore threshold triggers the 30-day reporting restriction.

Official references:

• GSTN e-Invoicing FAQs
• Government e-Invoice Reporting Advisory

e-Invoicing in Phases

Here is a little back story of how the government has introduced e invoicing limits in phases. 

Introduction of e-invoice Under GST

e-Invoicing was first announced in July 2019 as a part of the GST reform to curb tax evasion and improve tax compliance.

Phase 1: E-Invoicing Above ₹500 Crore – October 2020

Mandatory GST e-invoicing was introduced on 1 October 2020 for eligible businesses with aggregate turnover exceeding ₹500 crore in any financial year from 2017–18 onwards.

Phase 2: E-Invoicing Above ₹100 Crore – January 2021

From 1 January 2021, mandatory e-invoicing was extended to businesses with aggregate turnover exceeding ₹100 crore.

Phase 3: E-Invoicing Above ₹50 Crore – April 2021

Under Notification No. 05/2021–Central Tax, the turnover threshold was reduced to ₹50 crore, effective 1 April 2021.

Phase 4: E-Invoicing Above ₹20 Crore – April 2022

Notification No. 01/2022–Central Tax extended mandatory e-invoicing to businesses with aggregate turnover exceeding ₹20 crore, effective 1 April 2022.

Phase 5: E-Invoicing Above ₹10 Crore – October 2022

Notification No. 17/2022–Central Tax reduced the threshold to ₹10 crore, effective 1 October 2022.

Phase 6: E-Invoicing Above ₹5 Crore – August 2023

Notification No. 10/2023–Central Tax reduced the mandatory e-invoicing threshold to ₹5 crore, effective 1 August 2023.

Current applicability: As of October 2026, eligible businesses whose aggregate turnover exceeded ₹5 crore in any financial year from 2017–18 onwards are generally covered by mandatory GST e-invoicing, subject to applicable exemptions.

Example of Turnover Calculation for e-Invoicing 

Now that it’s clear about the e invoice turnover limits, the next doubt that could come to your mind is – how is my turnover calculated and from which year e-invoicing is applicable. Here are the details about the same. 

E-Invoicing Applicability

If your business turnover in any financial year starting 2017-18 meets the mentioned threshold e invoice turnover limit (currently above Rs.5 Crore), you must start generating e invoices from the applicable date (as mentioned in the above table). 

e-Invoicing Turnover is Calculated at PAN Level not at GST Level

e-Invoicing is typically calculated at the PAN (Permanent Account Number) level. This means that all businesses registered under the same PAN number are treated as a single entity for e-invoicing purposes. As a result, the turnover considered for e-invoicing is the consolidated turnover of all businesses registered under the same PAN number, regardless of their individual turnovers. Therefore, if the combined turnover of these business entities exceeds the specified GST e invoice limit, all of them are required to generate e invoices and comply with e-invoicing regulations. 

• Example 1: If you operate a business with multiple branches located in different cities across India, each branch will have its own unique GST number. However, all of these branches will be linked to the same PAN number, especially if you are the sole proprietor. In this scenario, if the combined turnover of all your branches surpasses the specified threshold GST e invoice limit, you must generate e-invoices at every branch, regardless of the individual turnover of each branch.
• Example 2: Suppose you are the owner of three distinct businesses, each registered with its own unique PAN and GST numbers. In such a scenario, it’s important to assess the turnover of each business independently. Identify the business for which the individual turnover exceeds the GST e invoice limit. For the other businesses whose turnover remains below the threshold e invoice limit, can continue their regular operations without the need for e invoicing compliance.

Which Businesses and Which Transactions Are Eligible for e-Invoicing Under GST?

GST e-invoicing applies to notified registered businesses whose aggregate turnover exceeds the prescribed threshold. However, not every invoice or transaction requires an Invoice Reference Number (IRN).

Which Documents Are Covered Under GST e-Invoicing?

Eligible suppliers must report the following documents to the Invoice Registration Portal (IRP) for applicable transactions:

• Tax invoices
• Credit notes
• Debit notes

Which Transactions Require e-Invoicing?

E-invoicing generally applies to the following outward supplies made by eligible taxpayers:

• Taxable Business-to-Business (B2B) supplies
• Business-to-Government (B2G) supplies where a covered tax invoice is issued
• Exports of goods or services
• Supplies to Special Economic Zone (SEZ) units or developers
• Deemed exports and applicable supplies between distinct persons
• Supplies attracting reverse charge where the notified supplier issues the tax invoice

Note: The reverse charge mechanism does not automatically exempt a transaction from e-invoicing. Applicability depends on the supplier, the nature of the supply and the document issued.

Which Businesses Must Generate e-Invoices?

Mandatory e-invoicing generally applies to GST-registered businesses that:

• Have aggregate turnover exceeding ₹5 crore in any financial year from 2017–18 onwards.
• Make transactions covered under the e-invoicing mandate.
• Do not fall within a notified exempt category.

Aggregate turnover is calculated at the PAN level, considering all applicable GST registrations under the same PAN.

E-Invoicing Exemptions Under GST

Certain transactions and categories of registered persons are excluded from mandatory e-invoicing.

Transactions and Documents Not Covered

• Business-to-Consumer (B2C) invoices
• Bills of supply for exempt or other supplies where a bill of supply is prescribed
• Import transactions
• Delivery challans issued for movement of goods without a tax invoice, including applicable job-work movements
• Financial or commercial credit notes that are not GST credit notes

Categories of Registered Persons Exempt from E-Invoicing

Subject to the applicable GST notifications, the following categories are generally exempt:

• Insurance companies
• Banking companies and financial institutions, including NBFCs
• Goods Transport Agencies (GTAs) supplying road transport services
• Suppliers of passenger transportation services
• Suppliers of services involving admission to cinematograph film exhibitions in multiplexes
• Special Economic Zone (SEZ) units

Important: SEZ units and SEZ developers are treated differently. The exemption applies to SEZ units, while eligible SEZ developers may be required to generate e-invoices.

Government supplies and job-work services should not be treated as automatically exempt. Their applicability depends on the registered person, transaction and applicable GST provisions.

How does myBillBook help with Your e-Invoicing?

Here is a detailed video about how myBillBook helps businesses with their e-invoice generation process. With myBillBook, you can download invoices in JSON format and upload them directly to the e-invoice portal. Once the portal generates the e-invoice, the same gets reflected on the billing software. Further, while the generated e-invoices are available only for 24 hours on the government portal, myBillBook makes them available for a lifetime.