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General information — not tax advice

Hisabi.ai is not a registered tax agent or accredited e-invoicing service provider in any jurisdiction. The dates, thresholds, and rules below are summarised from public government and tax-authority sources but have not been individually reviewed for your country or your business. Tax law differs by country, changes often, and is enforced locally. Verify anything that affects your filings with a licensed tax consultant in your jurisdiction before acting.

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🇮🇳GST 18%

India GST & E-Invoicing Guide for Businesses (2026)

GST rates, GSTIN, HSN codes, and mandatory IRP e-invoicing — the complete guide

Last updated: 30 April 2026 · Written by the Hisabi team

TL;DR — the key facts

  • GST has four main rates: 5%, 12%, 18%, and 28%. Most services fall under 18%. Registration is mandatory when annual turnover exceeds ₹20 lakh (₹10 lakh for special category states).
  • E-invoicing (IRP) is mandatory for businesses with annual aggregate turnover above ₹5 crore. Invoices must be registered on the Invoice Registration Portal and carry an IRN and QR code.
  • Every GST invoice must include your 15-digit GSTIN, HSN/SAC code, and show CGST/SGST or IGST breakdowns separately.
  • Monthly GSTR-1 (outward supply) and GSTR-3B (summary return) filings are standard for most registered businesses.

What you need to know

Indiatax & invoicing — covered

GST

India GST Rates & Registration

GST is a dual system — Central GST (CGST) + State GST (SGST) for intra-state, or Integrated GST (IGST) for inter-state supply. Rates vary by goods/services. Mandatory registration at ₹20 lakh annual turnover.

  • Mandatory registration: ₹20 lakh annual aggregate turnover (₹10 lakh for special category states)
  • GST rates: 0%, 5%, 12%, 18%, 28% — check HSN/SAC code for applicable rate
  • Composition scheme available for businesses below ₹1.5 crore (pays fixed % turnover, no ITC)
  • GSTIN is a 15-character alphanumeric identifier based on PAN
E-Invoicing

IRP E-Invoicing Mandate

Businesses with annual aggregate turnover above ₹5 crore must generate invoices on the Invoice Registration Portal (IRP), which validates them, assigns an Invoice Reference Number (IRN), and returns a digitally signed QR code.

  • Mandatory for annual turnover above ₹5 crore (from August 2023)
  • Invoices must be uploaded to IRP within 30 days of invoice date
  • IRP returns IRN + QR code — both must appear on the physical/digital invoice
  • Non-compliant invoices are invalid for ITC claims by the buyer
Invoicing

GST Invoice Mandatory Fields

A GST tax invoice must include GSTIN, HSN/SAC code, and show tax components clearly. For IRP-registered businesses, the IRN and QR code are also mandatory.

  • Supplier GSTIN and recipient GSTIN (if registered)
  • HSN code (for goods) or SAC code (for services)
  • Taxable value and applicable GST rate
  • CGST + SGST or IGST amount shown separately
  • Place of supply (state code) for inter-state invoices

Timeline

Key compliance dates

  1. July 2017

    GST launched in India, replacing multiple indirect taxes.

  2. October 2020

    IRP e-invoicing mandatory for businesses with turnover above ₹500 crore.

  3. August 2023

    IRP e-invoicing threshold lowered to ₹5 crore annual aggregate turnover.

GST and invoicing compliance

Frequently asked questions — India

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Most professional services (consulting, IT, marketing) fall under 18% GST. Some services like healthcare, education, and exports are exempt or zero-rated. Always check the SAC (Services Accounting Code) for your specific service category on the GSTN portal.

IRP e-invoicing requires businesses above ₹5 crore annual turnover to upload B2B invoices to the Invoice Registration Portal before delivery. The IRP validates the invoice, assigns an IRN (Invoice Reference Number), and returns a digitally signed QR code — both must appear on your invoice. If your buyer is GST-registered, they cannot claim ITC without a valid IRN.

GSTIN is a 15-character GST Identification Number assigned upon GST registration. The first 2 digits are your state code, digits 3–12 are your PAN, digit 13 is entity number, digit 14 is 'Z', and digit 15 is a check digit. Register on the GST portal (gst.gov.in) with your PAN, Aadhaar, and business documents.

₹20 lakh annual aggregate turnover for most states. ₹10 lakh for special category states (northeast states, Uttarakhand, Himachal Pradesh). For e-commerce sellers, registration is mandatory regardless of turnover.

Most registered businesses file GSTR-1 (outward supplies, monthly or quarterly) and GSTR-3B (monthly summary return with tax payment). Quarterly filers under the QRMP scheme file GSTR-1 quarterly but pay tax monthly via PMT-06. Annual return GSTR-9 is due by December 31 of the following financial year.

Hisabi handles this for you

GST-compliant invoices, automatically

Hisabi generates invoices with the correct tax fields, GSTIN display, and currency for India. Start free — no credit card required.

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