GST Invoice: A Complete Guide

If your business is GST registered, you must issue GST invoices to your customers for the sale of goods and services. Your GST-registered vendors will issue you purchase invoices that are GST-compliant. The invoice lists the parties involved in the transaction as well as a description of the goods or services provided.

Due to the importance of the invoice in obtaining GST credit, an incorrect invoice may obstruct the process. As a result, getting the correct GST invoice as a buyer and issuing a GST invoice as a seller or supplier is critical.

What is GST invoicing?

A GST invoice is a business document issued by a seller or supplier to the recipient or buyer of goods and services. A document like this lists the names of the parties involved as well as the specifics of the goods or services provided in a transaction.

India's 🇮🇳 #1 Billing App

Download

FREE

Mandatory fields in GST Invoice

To charge the tax and pass on the input tax credit, a tax invoice is usually issued. The following fields are required on a GST invoice:

Invoice number and date

Customer name
Shipping and billing address
Customer and taxpayer’s GSTIN (if registered)**
Place of supply
HSN code/ SAC code
Item details i.e. description, quantity (number), unit (meter, kg etc.), total value
Taxable value and discounts
Rate and amount of taxes i.e. CGST/ SGST/ IGST
Whether GST is payable on a reverse charge basis
Signature of the supplier

If the recipient is not registered AND the value is more than Rs. 50,000 then the invoice should carry:

Name and address of the recipient,
address of delivery,
state name and state code

Who should Issue GST Invoice?

If your business is GST registered, you must issue GST-compliant invoices to your customers for the sale of goods and/or services.

Your GST-registered vendors will issue you purchase invoices that are GST-compliant.

When should you file a GST invoice?

Goods( Normal Case): On or before the date of removal/Delivery

Goods (Continuous Supply): On or before the date of issue of account statement/ Payments.

Service(General Case): Within 30 Days of supply services.

Services (Banks and NBFC): within 45 Days of supply services.

How many copies of GST Invoices should be raised?

For goods– 3 copies
For services– 2 copies

Are invoices revisable before the issue of GST?

Yes. we can make changes to invoices that were issued before the introduction of GST. Before receiving a permanent registration certificate under the GST regime, all dealers must apply for provisional registration. This applies to all invoices issued between the implementation of GST and the issuance of your registration certificate.

As a dealer, you must issue a revised invoice to replace any previously issued invoices. The revised invoice must be issued within one month of the registration certificate being issued.