On 16 October 2026, GSTN announced two new supply types for the e-invoice system: RCMDOM and RCMIMP. They are meant for the self-invoices that a business raises when it has to pay GST under reverse charge. This is not mandatory yet. The new codes are open for testing only, and no date has been announced for going live. So there is nothing to do differently in your returns today. Still, if your turnover is ₹5 crore or more, it is worth understanding what is coming, because your accounts team and your software vendor will need time to get ready. This guide explains the idea in plain words, covers what GSTN has actually said, and points out what is still undecided.
In short
|
Question |
Answer |
|---|---|
|
What is new? |
Two new supply types in the e-invoice system: RCMDOM and RCMIMP |
|
Who reports? |
The registered recipient, for their own self-invoice |
|
Which businesses? |
Aggregate annual turnover of ₹5 crore and above (the current e-invoicing limit), subject to notifications |
|
What do they get? |
An Invoice Reference Number (IRN) for the self-invoice |
|
Where does it stand? |
Sandbox testing on all six invoice portals |
|
Start date? |
Not announced |
|
Mandatory today? |
No |
What is reverse charge (RCM)?
Normally the seller charges GST on the invoice and pays it to the government. Under the reverse charge mechanism (RCM), the buyer pays the tax instead. The government decides which supplies fall under RCM. For some of them, the law applies it when a registered business buys from an unregistered person. Do not mix this up with GST TDS, where a specified deductor holds back a small part of a payment and deposits it with the government. RCM is about who pays the tax. TDS is about deducting a portion at the time of payment.
What is a self-invoice?
An unregistered supplier is someone who has not taken a GST registration, so they cannot issue a GST tax invoice. The registered buyer therefore prepares the document. That document is the self-invoice. The buyer pays the RCM tax, reports it in the return, and claims input tax credit if the conditions are met. If you are curious what registration costs, see our note on GST registration fees. Import of services works in a similar way. In many cases the foreign supplier does not charge Indian GST, so the Indian buyer pays it under RCM and raises a self-invoice.
What is e-invoicing, and what is an IRN?
With e-invoicing, the details of a business-to-business invoice are sent to a government system called the Invoice Registration Portal (IRP). The IRP checks them and returns a unique Invoice Reference Number (IRN). So far, it has been the supplier who reports the invoice. As things stand, the self-invoice that a recipient raises under RCM is not reported on the IRP. That is the part this announcement is about.
Read More: GST Number Check: How to Verify if a GSTIN Is Valid or Fake
What GSTN announced
Here is the order of events:
- 8 October 2026: the GST Council, in its 57th meeting, recommended extending e-invoicing to domestic supplies received from an unregistered person where tax is payable under reverse charge, and to import of services, for taxpayers with turnover of ₹5 crore and above. We covered the rest of that meeting in our post on the 57th GST Council meeting.
- 16 October 2026: GSTN published an advisory saying the e-invoice system is being enhanced for this purpose.
The advisory says:
- Two new supply types, RCMDOM and RCMIMP, are being added to the e-invoice framework.
- Eligible and active registered recipients would report the self-invoice through an authorised IRP, choosing the right supply type code. After the details are validated, an IRN is generated.
- The changes are available in the sandbox of all six IRPs. The sandbox is a test area, so nothing there affects your real returns.
- The date of production rollout and the start of the reporting requirement will be communicated later.
- The scope, applicability and effective date will depend on notifications that the government is yet to issue.
RCMDOM and RCMIMP: the two new supply types
|
Supply type |
Stands for |
Used for |
|---|---|---|
|
RCMDOM |
Reverse charge, domestic |
Self-invoices for specified domestic supplies received from unregistered persons, where the registered recipient pays tax under RCM |
|
RCMIMP |
Reverse charge, import of services |
Self-invoices for import of services from suppliers located outside India, where the registered recipient pays tax under RCM |
RCMDOM in plain words
The buyer is a registered business in India. The seller is an unregistered person in India. The supply is one that the government has placed under reverse charge. The advisory uses the word specified supplies and does not list them, so wait for the notification before you assume which purchases are covered.
Read More:- GST Portal Filing Update and Preparation Guide
RCMIMP in plain words, with an example
Here is an example. The numbers are only for illustration.
A company in Pune pays a design firm in the United States ₹10,00,000 for services. The US firm sends an invoice without Indian GST. The Pune company has to pay the tax under RCM and raise a self-invoice. Say the rate is 18%, which we are assuming only to keep the sum simple. The tax then comes to ₹1,80,000. An import of services is generally treated as an inter-state supply, so the tax is IGST, not CGST and SGST.
Once this facility goes live, and if the company is covered, that self-invoice would be reported with the supply type RCMIMP and get an IRN. For a domestic purchase under RCMDOM, the tax would be CGST and SGST if the supply is within one state, and IGST if it crosses state lines.
Who will be affected?
- Registered recipients with turnover of ₹5 crore and above. The advisory calls this the current threshold for e-invoicing, subject to notifications.
- Smaller businesses. The advisory does not extend this to them for now.
- Suppliers. The advisory is about the recipient's self-invoice. It does not give any new duty to the unregistered supplier. If you are a small supplier yourself, our guide on GST for freelancers in India explains how GST works for you.
- Software teams. ERP vendors, GST Suvidha Providers (GSPs) and Application Service Providers (ASPs) have to build and test this.
What has not been decided yet
- The go-live date for the production system.
- The notification that fixes the scope and the effective date.
- Which domestic supplies are 'specified' for RCMDOM.
- Any time limit for reporting the self-invoice. The advisory does not mention one.
- The detailed release note from NIC IRP-1, which will carry the technical rules and validation codes.
- A webinar, which GSTN and the IRPs plan to hold. The details will come separately.
The advisory also says the validations will be the same on all six IRPs.
What you can do now
Nothing here needs to change in your live system today. A few quiet preparations are still sensible.
Check where your turnover stands
See whether your aggregate annual turnover is already ₹5 crore or more, or close to it. That decides whether this is on your radar.
List your RCM purchases
Go through the last 12 months and list what you bought under reverse charge, from whom, and how much tax you paid. Your GSTR-3B has a table for inward supplies liable to reverse charge, which is a good starting point.
Talk to your ERP or GSP
Ask your vendor whether they plan to support RCMDOM and RCMIMP, and when they will test in the sandbox. The portals are the ones listed in the advisory: NIC IRP-1, NIC IRP-2, Cygnet IRP-3, Clear IRP-4, EY IRP-5 and IRIS IRP-6, along with the NIC e-invoice API developer portal.
Keep your paperwork in order
Keep foreign invoices, payment proofs and vendor details together. Clean records will make any new reporting step easier.
Keep matching your records
A regular GST reconciliation helps you spot RCM entries that are missing or wrong before they turn into a problem.
Common doubts
'Is this compulsory from now?' No. The facility is in the sandbox, and the start date is not announced.
'Does this apply to businesses below ₹5 crore?' The advisory names ₹5 crore and above, subject to notifications.
'Does an IRN change the tax I pay?' Nothing in the advisory changes who pays the tax or how much. It deals with reporting.
'Do I have to test in the sandbox myself?' The advisory invites taxpayers, GSPs, ASPs and ERP providers to test. Most businesses will leave it to their software vendor.
Other recent GST updates you may have missed
- Council recommendations. Late fee relief, refunds, penalties and more are covered in our post on the 57th GST Council meeting.
- Multistate registration. On 1 October 2026, GSTN introduced a facility for applying in several states at once under the same PAN. We explained it in Multistate Registration.
- E-way bills. GSTN has put the proposed e-way bill enhancements on hold. Read our note on the e-way bill changes on hold.
- Appeals. If you receive a demand order, our note on a GST appeal against a nil demand order in APL-01 shows the form.
Terms in simple words
|
Term |
What it means |
|---|---|
|
Reverse charge (RCM) |
The buyer pays the GST instead of the seller |
|
RCMDOM |
The new supply type for domestic reverse charge self-invoices |
|
RCMIMP |
The new supply type for import of services self-invoices |
|
Self-invoice |
An invoice the buyer prepares when the seller cannot issue a tax invoice |
|
Unregistered person |
A seller who has not taken GST registration |
|
Import of services |
A service received from a supplier located outside India |
|
E-invoice |
An invoice whose details are reported to the government's invoice portal |
|
IRP |
Invoice Registration Portal, the system that checks e-invoices |
|
IRN |
Invoice Reference Number, the unique number the IRP gives |
|
AATO |
Aggregate annual turnover |
|
Sandbox |
A test environment where nothing affects real returns |
|
ERP, GSP, ASP |
Business software, GST Suvidha Provider and Application Service Provider |
|
Input tax credit (ITC) |
Credit for GST paid on purchases, set off against GST on sales |
Source and disclaimer
Sources: GSTN advisory dated 16 October 2026 on the introduction of e-invoicing for recipient-generated self-invoices under reverse charge (RCMDOM and RCMIMP), available through the GST portal's news and updates and the e-invoice portal. Also the PIB press release on the 57th GST Council meeting, posted on 8 October 2026.
Read More:- Multistate GST Registration
Need help with GST?
If you need help with GST registration, return filing or reconciliation, share your requirement with Paytaxs through our GST services page and our team will get in touch to understand your situation.
Frequently asked questions
What are RCMDOM and RCMIMP?
They are two new supply types in the e-invoice system. RCMDOM is for specified domestic supplies from unregistered persons under reverse charge. RCMIMP is for import of services under reverse charge.
Is e-invoicing for RCM mandatory now?
No. The facility is available only for testing. The date for production rollout and reporting has not been announced.
Who has to report these self-invoices?
The advisory refers to eligible and active registered recipients with aggregate annual turnover of ₹5 crore and above, subject to notifications.
Does the unregistered supplier have to do anything?
The advisory does not mention any new duty for the supplier.
What is an IRN?
It is the Invoice Reference Number that the invoice portal generates after it validates the invoice details.
Where can I test this?
The sandbox is available on all six invoice portals and the NIC e-invoice API developer portal. Your software vendor can tell you how to connect.
Will there be more details?
Yes. NIC IRP-1 will issue a release note, and GSTN and the IRPs will hold a webinar. Watch the e-invoice portal for updates.
