With historic lunch of GST, India’s biggest tax reform since independence that will be lunched at midnight on 30th June, 2017 signals new era for Indian Business. As a fall out of this w.e.f. 1st July for all transactions new series of Invoice is need to be issued.

An invoice is a document sent by a supplier to a recipient that specifies detailed account of the products or service and a set of other information that can vary a bit depending on the requirements of both the interested parties and also indicates payments and other commercial terms. It forms a very important document for transacting, recording and preserving accounts.

Under GST several types of invoices or documents are mandated suitable for different circumstances. Let us in this paper discuss different types of invoices like Tax Invoice, Export Invoice, Bill of Supply, Receipt Voucher, Refund Voucher, Payment Voucher, Debit / Credit Notes, ISD Invoice, Delivery Challan, Consolidated Invoice etc.

Types of Invoices under GST:

There are several forms of invoices or documents prescribed in GST and are depicted below:

♠ Tax Invoice (Sec 31 (1) & (2)) – Rule 46

♠ Export Invoice (Sec 31 (1) & (2)) – Rule 46

♠ Bill of Supply Sec 31(3)(c)’) – Rule – 49

♠ Receipt Voucher (Sec 31(3)(d) – Rule 50

♠ Refund Voucher (Sec 31(3)(e) – Rule 51

♠ Self Invoice (RCM) (Sec 31(3) (f) – Rule 46

♠ Payment Voucher (RCM) (Sec 31(3) (g) – Rule 52

♠ Revised Invoice – Debit / Credit Note Sec 31(3)(a) – Rule 53

♠ ISD Invoice – Rule 54

♠ Delivery Challan  – Rule 55

♠ Consolidated Tax Invoice  – Rule 46

Types of Invoices

Tax Invoice (Sec 31 (1) & (2)) – Rule 1

As per Sec 2 (66)  of  CGST Act, 2017, “invoice” or “tax invoice” means the tax invoice referred to in section 31. According to Sec 31, a registered person supplying taxable goods or service shall issue a tax invoice showing the description, quantity or quantum of service and value of goods, the tax charged thereon and such other particulars as may be prescribed.

Gist of point for Tax Invoice :

When a registered taxable person supplies taxable goods or services, a tax invoice is issued.

S.No Description  – Type Section (of CGST) Rule (of Invoice Rules) Time of Issue of Invoice (When to issue Tax Invoice)

 

No. of Copies of Invoice
1 Tax Invoice for Goods Sec31(1) Rule 46 Before or at the time of,—

(a) removal of goods for supply to the recipient, where the supply involves

movement of goods; or

(b) delivery of goods or making available thereof to the recipient, in any other

case,

Issue 3 Copies – Original for Recipient;

Duplicate for Transporter;

Triplicate for Supplier

 

2 Tax Invoice for Services Sec 31(2) Rule  47 & 48 Before or after the provision of service but within thirty days (For Insurer, Banks, NBFCs & Financial Institution – forty five days) Issue 2 Copies – Original for Recipient;

Duplicate for Supplier

Consolidated Invoice :

Case – 1 : Consolidated Invoice of Reverse Charge Mechanism for Supplies from Un-registered

As per Rule – 46 of Central GST Rules, Where an invoice is required to be issued under clause (f) of sub-section (3) of section 31, a registered person may issue a consolidated invoice at the end of a month for supplies covered under sub-section (4) of section 9 (supplies from Un-registered Person), the aggregate value of such supplies exceeds rupees five thousand in a day from any or all the suppliers

Case – 2 : Supplies Less than Rs 200

As per Rule 46 of Central GST Rules, a Registered Person may not issue a tax invoice in accordance with the provisions of Clause (b) of sub-section (3) of section 31 (if the value of the goods or services or both supplied is less than two hundred rupees) subject to the following conditions, namely:-

(a) the recipient is not a registered person; and

(b) the recipient does not require such invoice, and shall issue a consolidated tax invoice for such supplies at the close of each day in respect of all such supplies.

Consolidated Invoice

Time Limit for Issuing Tax Invoice : Rule 47

Taxable Supply of Goods Before or at the time of  Removal of goods / delivery of goods or making available thereof to the recipient
Taxable Supply of Services

(Other than banking company or a financial institution)

Within a period of thirty days from the date of the supply of service
Taxable Supply of Services – banking company or a financial institution Within forty five days from the date of the supply of service

Manner of issuing invoice – Rule 48

 
Rule – 48(1) for Goods Issue 3 Copies –  

                           Original for Recipient;

             Duplicate for Transporter;

                           Triplicate for Supplier

 

Rule – 48(2) for Services Issue 2 Copies –  

                           Original for Recipient;

                           Duplicate for Supplier

Continuous Supply of Goods :

Sec 2(32) of CGST Act  defines : “continuous supply of goods” means a supply of goods which is provided, or agreed to be provided, continuously or on recurrent basis, under a contract, whether or not by means of a wire, cable, pipeline or other conduit, and for which the supplier invoices the recipient on a regular or periodic basis and includes supply of such goods as the Government may, subject to such conditions, as it may, by notification, specify;

S.No Description  – Type Section (of CGST) Time of Issue of Invoice (When to issue Tax Invoice) No. of Copies of Invoice
1 In case of continuous supply of Goods Sec 31(4) Where successive statements of accounts or successive payments are involved, the invoice shall be issued before or at the time each such statement is issued or such payment is received. Issue 2 Copies – Original for Recipient;

Triplicate  for Supplier

Supply of Continuous Services :

Sec 2(33) of CGSt Act  defines “continuous supply of services” means a supply of services which is provided, or agreed to be provided, continuously or on recurrent basis, under a contract, for a period exceeding three months with periodic payment obligations and includes supply of such services as the Government may, subject to such conditions, as it may, by notification, specify

S.No Description  – Type Section (of CGST) Time of Issue of Invoice (When to issue Tax Invoice) No. of Copies of Invoice
1 In case of continuous supply of Services Sec 31(5)

 

Due Date of Payment is ascertainable – On or before the due date of Payment

Due Date of Payment Not Ascertainable – Before or at the time of receipt of payment

Where Payment is linked to completion of Event – On or before the completion of that event

 

Issue 2 Copies – Original for Recipient;

Duplicate for Supplier

Sec 31 of CGST Act

Some Feature of Tax invoice :  Rule 46 of Central Goods and Services Tax Rules, 2017

♣ Subject to Rule 54, a Tax Invoice referred to in section 31 shall be issued by the registered person containing the particulars as specified in the said Rule.

♣ Invoices should have a consecutive serial number not exceeding sixteen characters

♣ One or multiple series numbers may be assigned to Invoices

♣ Invoice number may contain alphabets or numerals or special characters, hyphen or dash and slash symbolized as “-” and “/” respectively, and any combination thereof.

♣ The Invoice must be unique for a financial year.

♣ For Financial year 2017-18 separate series will start w.e.f. July 01, 2017

♣ Separate series for each registration

♣ Other details as per Rule 46 of CGST Rules, 2017

♣ Invoice may not state name and address of the recipient and the address of delivery, along with the name of the State and its code, if such recipient is un-registered and where the value of the taxable supply is less than fifty thousand rupees, however if the recipient requests that such details be recorded in the tax invoice, all such details need to be recorded.

♣ Invoice may mention Harmonized System of Nomenclature (HSN) code for goods or Service Accounting Code (SAC) for services

♣ The serial number of invoices issued during a tax period shall be furnished electronically through the common portal in FORM GSTR-1.

 Sec 31(6) : In a case where the supply of services ceases under a contract before the completion of the supply, the invoice shall be issued at the time when the supply ceases and such invoice shall be issued to the extent of the supply made before such cessation.

 Sec 31(7) : Notwithstanding anything contained in sub-section (1), where the goods being sent or taken on approval for sale or return are removed before the supply takes place, the invoice shall be issued before or at the time of supply or six months from the date of removal, whichever is earlier.

♣ Explanation.––For the purposes of this section, the expression “tax invoice” shall include any revised invoice issued by the supplier in respect of a supply made earlier.

HSN Code for Goods : Notification No. 12/2017 – Central Tax, 28th June, 2017

As per this Notification certain relaxations are being provided as per table below :

S. No. Annual Turnover in the preceding Financial Year Number of Digits of HSN Code
1 Upto rupees one crore fifty lakhs Nil
2 More than rupees one crore fifty lakhs and upto rupees five crores 2
3 More than rupees five crores 4
However, in case of Exports and Imports Eight Digit level Code is required as per existing customs notifications.

Export Invoice :

In case of export of goods or services, the invoice shall carry an endorsement

“SUPPLY MEANT FOR EXPORT ON PAYMENT OF INTEGRATED TAX” or

“SUPPLY MEANT FOR EXPORT UNDER BOND OR LETTER OF UNDERTAKING WITHOUT PAYMENT OF INTEGRATED TAX”,

as the case may be, and shall, in lieu of the details specified in clause (e), contain the following details:

(i) name and address of the recipient;

(ii) address of delivery; and

(iii) name of the country of destination

Bill of Supply Sec 31(3)(c)’ – Rule – 49

As per Sec 31(3)(c)’  a registered person supplying exempted goods or services or both or paying tax under the provisions of section 10 (Composition Scheme) shall issue, instead of a tax invoice, a bill of supply containing such particulars and in such manner as may be prescribed.

A bill of supply referred to in clause (c) of sub-section (3) of section 31 shall be issued by the supplier containing the details as specified in Rule 49 of CGST Rules, 2017,  provided that the provisos to rule 46 shall, mutatis mutandis, apply to the bill of supply issued under this rule.

Provided that the registered person may not issue a bill of supply if the value of the goods or services or both supplied is less than two hundred rupees subject to such conditions and in such manner as may be prescribed;

Receipt Voucher (Sec 31(3)(d) – Rule 50

As per Sec 31(3)(d) of CGST Rules, 2017 a registered person shall, on receipt of advance payment with respect to any supply of goods or services or both, issue a receipt voucher or any other document, containing such particulars as may be prescribed, evidencing receipt of such payment.

A receipt voucher referred to in clause (d) of sub-section (3) of section 31 shall contain the details as specified in Rule 50 of CGST Rules, 2017

Provided that where at the time of receipt of advance,-

(i) the rate of tax is not determinable, the tax shall be paid at the rate of eighteen per cent.;

(ii) the nature of supply is not determinable, the same shall be treated as inter-State supply.

Refund Voucher  – Sec 31(3)(e) – Rule 51

As per Sec 31(3)(e) where, on receipt of advance payment with respect to any supply of goods or services or both the registered person issues a receipt voucher, but subsequently no supply is made and no tax invoice is issued in pursuance thereof, the said registered person may issue to the person who had made the payment, a refund voucher against such payment

A refund voucher referred to in clause (e) of sub-section (3) of section 31 shall contain the details as specified in Rule 51 of CGST Rules, 2017

Self-Invoice (RCM)  – Sec 31(3) (f) – Rule 46

As per Sec 31(3) (f), a registered person who is liable to pay tax under sub-section (3) or sub-section (4) of section 9 (Reverse Charge Mechanism)  shall issue an invoice in respect of goods or services or both received by him from the supplier who is not registered on the date of receipt of goods or services or both.

Payment Voucher (RCM)  – Sec 31(3) (g) – Rule 52

As per   Sec 31(3) (g), a registered person who is liable to pay tax under sub-section (3) or sub-section (4) of section 9 shall issue a payment voucher at the time of making payment to the supplier.

A payment voucher referred to in clause (g) of sub-section (3) of section 31 shall contain the details as specified in Rule 52 of CGST Rules, 2017

Revised Invoice – Sec 31(3)(a) – Rule 53

As per   Sec 31(3)(a) of CGST Act, a registered person may, within one month from the date of issuance of certificate of registration and in such manner as may be prescribed, issue a revised invoice against the invoice already issued during the period beginning with the effective date of registration till the date of issuance of certificate of registration to him.

A revised tax invoice referred to in section 31 and credit or debit notes referred to in section 34 shall contain the details as per Rule 53

The word “Revised Invoice”, wherever applicable, shall be indicated prominently

As per Rule 53 (2),  Every registered person who has been granted registration with effect from a date earlier than the date of issuance of certificate of registration to him, may issue revised tax invoices in respect of taxable supplies effected during the period starting from the effective date of registration till the date of the issuance of the certificate of registration.

Debit / Credit Note – Sec 34 – Rule 53

As per Sec 34. (1)  of CGST Act, Where a tax invoice has been issued for supply of any goods or services or both and the taxable value or tax charged in that tax invoice is found to exceed the taxable value or tax payable in respect of such supply, or where the goods supplied are returned by the recipient, or where goods or services or both supplied are found to be deficient, the registered person, who has supplied such goods or services or both, may issue to the recipient a credit note containing such particulars as may be prescribed.

Sec 34 (2) of CGST Act, Any registered person who issues a credit note in relation to a supply of goods or services or both shall declare the details of such credit note in the return for the month during which such credit note has been issued but not later than September following the end of the financial year in which such supply was made, or the date of furnishing of the relevant annual return, whichever is earlier, and the tax liability shall be adjusted in such manner as may be prescribed:

Provided that no reduction in output tax liability of the supplier shall be permitted, if the incidence of tax and interest on such supply has been passed on to any other person.

Sec 34(3) of CGST Act, Where a tax invoice has been issued for supply of any goods or services or both and the taxable value or tax charged in that tax invoice is found to be less than the taxable value or tax payable in respect of such supply, the registered person, who has supplied such goods or services or both, shall issue to the recipient a debit note containing such particulars as may be prescribed.

Sec 34(4) of CGST Act, Any registered person who issues a debit note in relation to a supply of goods or services or both shall declare the details of such debit note in the return for the month during which such debit note has been issued and the tax liability shall be adjusted in such manner as may be prescribed.

Explanation.––For the purposes of this Act, the expression “debit note” shall include a supplementary invoice.

A revised tax invoice referred to in section 31 and credit or debit notes referred to in section 34 shall contain the details as per Rule 53

The word “Revised Invoice”, wherever applicable, shall be indicated prominently

Consolidated Revised Invoice

As per Rule 53(2), the registered person may issue a consolidated revised tax invoice in respect of all taxable supplies made to a recipient who is not registered under the Act during such period:

Provided further that in the case of inter-State supplies, where the value of a supply does not exceed two lakh and fifty thousand rupees, a consolidated revised invoice may be issued separately in respect of all the recipients located in a State, who are not registered under the Act.

Consolidated Revised Invoice

Input Service Distributor (ISD) Invoice – Rule 54

As per Sec (61) of CGST Act, “Input Service Distributor” means an office of the supplier of goods or services or both which receives tax invoices issued under section 31 towards the receipt of input services and issues a prescribed document for the purposes of distributing the credit of central tax, State tax, integrated tax or Union territory tax paid on the said services to a supplier of taxable goods or services or both having the same Permanent Account Number as that of the said office.

As per Sec 20. (1) of CGST Act, The Input Service Distributor shall distribute the credit of central tax as central tax or integrated tax and integrated tax as integrated tax or central tax, by way of issue of a document containing the amount of input tax credit being distributed in such manner as may be prescribed.

According to Rule 54 (1) of CGST Rules,  An Input Service Distributor invoice or, as the case may be, an Input Service Distributor credit note issued by an Input Service Distributor shall contain the details as per the Rule

Document in Case of Goods Transport Agency (GTA)

As per Rule 54 (3) of CGST Rules, Where the supplier of taxable service is a goods transport agency supplying services in relation to transportation of goods by road in a goods carriage, the said supplier shall issue a tax invoice or any other document in lieu thereof, by whatever name called, containing the gross weight of the consignment, name of the consigner and the consignee, registration number of goods carriage in which the goods are transported, details of goods transported, details of place of origin and destination, Goods and Services Tax Identification

Number of the person liable for paying tax whether as consigner, consignee or goods transport agency, and also containing other information as mentioned under rule 46.

Transportation of Goods without Issue of Invoice

As per Rule 55 (1) of CGST Rules, for the purposes of-

(a) supply of liquid gas where the quantity at the time of removal from the place of business of the supplier is not known,

(b) transportation of goods for job work,

(c) transportation of goods for reasons other than by way of supply, or

(d) such other supplies as may be notified by the Board, the consigner may issue a delivery challan, serially numbered not exceeding sixteen characters, in one or multiple series, in lieu of invoice at the time of removal of goods for transportation, containing the details as per Rule 55

Rule 55(2)  : The delivery challan shall be prepared in triplicate, in case of supply of goods, in the following manner, namely:–

(a) the original copy being marked as ORIGINAL FOR CONSIGNEE;

(b) the duplicate copy being marked as DUPLICATE FOR TRANSPORTER;

and

(c) the triplicate copy being marked as TRIPLICATE FOR CONSIGNER.

Rule 55(3) : Where goods are being transported on a delivery challan in lieu of invoice, the same shall be declared as specified in rule 138 (E-way rule).

Rule 55(4): Where the goods being transported are for the purpose of supply to the recipient but the tax invoice could not be issued at the time of removal of goods for the purpose of supply, the supplier shall issue a tax invoice after delivery of goods.

Goods are being Transported in a Semi knocked down or Completely knocked Down Condition – Rule 55(5)

As per Rule 55(5) : Where the goods are being transported in a semi knocked down or completely knocked down condition –

(a) the supplier shall issue the complete invoice before dispatch of the first consignment;

(b) the supplier shall issue a delivery challan for each of the subsequent consignments, giving reference of the invoice;

(c) each consignment shall be accompanied by copies of the corresponding delivery challan along with a duly certified copy of the invoice; and

(d) the original copy of the invoice shall be sent along with the last consignment.

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5 responses to “Invoice & other Payment / Transaction Documents under GST”

  1. Ajaypal Singh says:

    Hello Sir,

    we have issued few invoices on 31 Mar 2017 and deposited service tax 15%

    Now the sponsor is asking for fresh GST Invoice in current date.
    Please give a solution for service tax amount which we have deposited. Can we issue a credit note now? or any other method to recovery of service tax amount.

  2. Anil Ku;mar Agarwal says:

    Sir
    How to prepare the Stock Transfer Challan or supply of goods to Self depot Delhi to jind

  3. Amol Eknath Andre says:

    Sir,
    Thanks for Sharing such informative article

  4. BHASKAR says:

    please advice how reimbursement expenses can shown in invoice (acting as pure agent for clearing & forwarding services) ex. do, duty cfs etc

  5. kishore Soni says:

    Sir which type of invoice is required to be issued if one branch sends goods to another branch in same state? i.e Intra state.
    Sir, Registration number is single and no business verticals

    Whether delivery challan can be issued?

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