GST e-invoicing threshold drops to ₹3 crore from June 2026: who is now in scope and what to fix this week

The Central Board of Indirect Taxes and Customs (CBIC) has notified the next phase of the GST e-invoicing roll-out: the aggregate turnover threshold drops from 5 crore to 3 crore with effect from 1 June 2026. Approximately 1.4 lakh additional taxpayers are estimated to come into scope this quarter, drawn predominantly from the manufacturing, wholesale trade, and B2B services segments.

The mechanics of e-invoicing have not changed since the 5 crore phase. An eligible taxpayer must report every B2B and B2G invoice (and export and SEZ supply) to one of the six Invoice Registration Portals (IRPs) before issuing the document to the buyer. The IRP returns an Invoice Reference Number (IRN) and a QR code, and only an invoice carrying these two markings is a valid tax invoice under Rule 48(4).

The four mistakes that get the buyer input tax credit denied are: issuing the invoice document before generating the IRN; generating the IRN but failing to print the QR code on the customer-facing PDF; reporting on a later date than the document date with more than a three-day lag; and using the wrong supply type field for inter-state versus intra-state.

KAMRIT can run a one-week eligibility recheck and IRP onboarding engagement for newly-covered taxpayers.