How to Create GST Invoice Correctly in Seconds

With the inception of GST with effect from 1st July 2017 which has changed the Indirect Tax system in India. Due to the migration of traders from GST for the earlier Tax System there are different compliances for the traders. So after the GST Registration one such compliance is for the invoices under GST. so Let’s understand all about GST Invoice Guide like how you can raise the GST Invoice in seconds.

There are two types of invoices under GST:

  1. Tax Invoice
  2. Bill of Supply

Tax Invoice is to be used for all types of taxable sales. Bill of Supply is to be used for exempt sales with sales by Composition dealer. It has to be notes that for both goods and services, it will be same series i.e. bill book. Also there will be same bill book for the local and central sales. There will be a separate bill book i.e. Bill of Supply only for the exempted goods.  The main difference between Tax Invoice and Bill of Supply are:

S. No. Point of Difference Tax Invoice Bill of Supply
1. Who has to issue? Taxable Supplier who is supplying Taxable goods or Taxable Services. Supplier of Exempt Goods  or services and Composition Tax payer
2. When need not be issued Need not issue a  Tax Invoice if the value of the goods or services supplied is less than ₹200/- and recipient is unregistered .(Need to prepare one aggregate Invoice for each day) Need not issue a bill of supply if the value of the goods or services supplied is less than ₹200/-.(Need to prepare one aggregate BOS for each day)
3. Can Input Tax claimed?  Input Tax Credit(ITC) can be claimed based on Tax Invoice Input Tax Credit(ITC) cannot be claimed based on ‘Bill of Supply’

 

One can easy understand the types by following:

GST Invoice Format

 

Comparison of GST Invoice and VAT and CST Invoice

S. no. CST & VAT Invoice GST Invoice
1. Used 2 bill books one for Tax Invoice for local sale to registered person and second for retail invoice for local sales to unregistered person as well as for CST sales Only one tax invoice for all kinds of taxable sales.
2. Sales Tax No. (Invoice No) of buyer is compulsory GSTIN of buyer is nopt compulsory i.e. even if buyer is unregistered till tax invoice can be issued
3. For exempted sales, Retail invoice to be issued For exempted sales, Bill of supply to be issued.

 

How will be GST charged on bills

On the local sales CGST and SGST will be charged and on central sales IGST will be charged. One can see the following example one is for the goods and another is for services:

How to Raise Invoice under GST

Raise Invoice under GST for Service

Compulsory items required in Tax Invoice in GST

  1. Name, Address, GSTIN No. of Supplier
  2. Unique serial number of each invoice in 1 or multiple series
  3. Date of issue of invoice
  4. In case of unregistered Buyer name, Adress state place of delivery is compulsory if the invoice value before taxes is more than 50,000.
  5. HSN code of Goods
  6. Desrpition of goods
  7. Quantity as well as quantity code or units
  8. Total value
  9. Discount if any and taxable value
  10. Rate of Tax ( show separately CGST, SGST)
  11. Place of supply for interstate sales
  12. Address for delivery
  13. Signature of authorized signatory.

Sample format of the tax invoices in GST

Tax invoice on goods local

https://www.teachoo.com/6276/1947/Download-Excel-Format-of-Tax-Invoice-in-GST/category/GST-Invoice-Format/

Tax invoice on goods central

raise invoice under gst for inter state goods

Tax invoice on service local

raise invoice under gst for local service

 

Tax invoice on services central

raise invoice under gst for inter state service

So Hope this article guide to you regarding the Invoice Format on the GST. if you are looking for the GST Return Filings then you can place the request on our website & File your GST Returns at one click.