Term Sales Invoice under GST

Posted on 10 June 2022 Category : GST terms

What is Sales Invoice under GST

The details about Sales Invoice under GST are explained here.

Sales Invoice

Invoicing Under GST

Under GST invoicing rules and formats have been notified covering details such as supplier’s name, shipping and billing address, HSN Code, place of supply, rate. In this article we will be covering all aspects of invoicing under GST.

Time limit to for invoicing under GST

The GST Model law has defined the time limit for issue of GST tax invoices, revised bills, debit notes and credit note.

Following are the due dates for issuing an invoice to customers:

• Supply of Goods (Normal case) - On or before date of removal/ delivery

• Supply of Goods (Continuous Supply) - On or before date of issue of account statement/ payment

• Supply of Services (General case) - within 30 days of supply of services

• Supply of Services (Banks & NBFCs) - within 45 days of supply of services

Revise Already Issued Invoices under pre-GST regime

Revised tax invoices can be issued by a registered taxable person within one month from issuance of certificate of registration i.e. GST Registration. It will be issued against the invoice already issued during the period starting from the effective date of registration till the date of issuance of certificate of registration to him

What is Bill of Supply?

Tax invoice is generally issued to charge the tax and pass on the credit. In GST there are some instances where the supplier is not allowed to charge any tax and hence a Tax invoice can’t be issued instead another document called Bill of Supply is issued.

When is debit note issued?

Debit note is to be issued by supplier:

1. Original tax invoice has been issued and taxable value in the invoice is less than actual taxable value.

2. Original tax invoice has been issued and tax charged in the invoice is less than actual tax to be paid.

When is credit note issued?

Credit note is to be issued by supplier:

1. Original tax invoice has been issued and taxable value in the invoice exceeds actual taxable value.

2. Original tax invoice has been issued and tax charged in the invoice exceeds actual tax to be paid.

3. Recipient refunds the goods to the supplier

4. Services are found to be deficient

What are the specific mandatory fields in a GST compliant invoice?

To issue and receive a GST compliant invoice is a prerequisite to claim ITC. If a taxpayer does not issue such invoice his customer loses ITC claim and the taxpayer loses its customers. Here we mention the mandatory fields in an invoice:

1. Invoice number and date

2. Customer name

3. Shipping and billing address

4. Customer and taxpayer’s GSTIN

5. Place of supply

6. HSN code

7. Taxable value and discounts

8. Rate and amount of taxes i.e. CGST/ SGST/ IGST

9. Item details i.e. description, unit price, quantity

What are the various types of invoices or supporting documents?

All different types of GST compliant invoices such as:

• Sales invoices

• purchase invoices

• Bill of supply

• Credit notes

• debit notes

• advance receipts

• refund vouchers

• Delivery challahs (for supply on approval, supply of liquid gas, job work and other).

What all details are required to be mentioned in GSTR-1 for documents issued?

For the following nature of documents issued number of documents prepared, cancelled and net issued along with serial number of each must be mentioned:

1. Invoices for outward supply

2. Invoices for inward supply from unregistered person

3. Revised Invoice

4. Debit Note

5. Credit Note

6. Receipt voucher

7. Payment Voucher

8. Refund voucher

9. Delivery Challan for job work

10. Delivery Challan for supply on approval

11. Delivery Challan in case of liquid gas

12. Delivery Challan in cases other than by way