GST invoice is a bill or receipt of items sent or services that a seller or service provider offers to a customer. It specifically lists out the services/products, along with the total amount due. One can check a GST invoice to determine said product or service prices before CGST and SGST are levied on them.
A GST invoice bill also displays the amount of taxes charged on each product or service, that an individual purchases from the seller or provider.
As per Section 2(66) of the Central Goods and Services Tax Act of 2017, to understand the exact format of a tax invoice, one must refer to Section 31. Even though Section 31 outlines a general guideline for GST invoice formats, it does not go into specifics.
However, Section 31 does state the requirements or entries that such an invoice must carry to qualify as an official GST document. Moreover, such an invoice can be electronic, as well as manual.
The following pointers are mandatory inclusions in such a bill –
Apart from these sections, a GST tax invoice must include the following particulars as well –
The table below is indicative of how a GST invoice bill generally looks. One should understand that the layout of such receipts differs from one supplier or seller to the next. Nevertheless, the information and details should match the one presented in the following table –
|Per Item Rate
|Tax Invoice Value (In figures)
|Tax Amount Subject to Reverse Charges
Generating a GST invoice as soon as items are shipped or services rendered can be difficult in certain cases. Thus, to ease matters, the Indian Government has outlined a general time limit for suppliers to follow.
Goods suppliers need to draw up such an invoice on or before the date of removal of said products. Under Section 2 (96) of CGST Act, 2017 removal of goods can mean one of two things –
If the invoice concerns a recipient with whom the supplier maintains a constant order of business, then the latter can issue an invoice under GST on or before the account statement is generated or payment received.
In the case of a GST invoice bill on services rendered, one needs to issue the same within 30 days of providing the services in question.
In the event of financial services provided by banks and other financial institutions, the deadline for issuing a GST receipt is not within 30 days unlike all other services, but 45 days from the date of service supply.
In the event of raising a GST invoice for goods supply, the issuer would need to arrange three copies for the following members involved in such transactions –
Since there are no transporters involved in a supply of service, issuers need to only draw two copies of the GST invoice bill.
Under Rule 53 of the CGST Act, 2017, revised tax invoices can be raised against issued invoices. The revision of the GST invoice bill can involve a downward or upward change in the prices of goods or services supplied. It can also lead to a change in the CGST/SGST/IGST rates, previously applied to this bill.
The following particulars must be present in a revised GST invoice –
A supplier can avoid issuing a GST invoice only under the following two conditions –
Keep in mind that both of these parameters must be satisfied for a supplier to avoid the legal mandate of issuing a GST invoice. Instead, the registered supplier can issue a consolidated tax invoice at the end of each day, concerning all such supplies in question.
A bill of supply is quite similar to a GST invoice except for that bill of supply and does not have any tax amount as the seller can’t charge GST to the buyer.
When the value of multiple invoices is less than Rs. 200 and the buyer is unregistered, the seller can issue an aggregate or bulk invoice for the multiple invoices every day.
A debit note is issued by the seller when an amount payable by the buyer to the seller goes up. A credit note is issued by the seller when the value of the invoices goes down.