A tax invoice is the document under section 31 of the CGST Act that records a taxable sale and lets a registered buyer claim credit. Rule 46 of the CGST Rules sets what it must contain.
What it must show
- Supplier's name, address and GSTIN.
- A serial number of up to 16 characters, unique for the financial year.
- Date of issue.
- Buyer's name, address and GSTIN if registered.
- HSN or SAC code, description, quantity and unit.
- Taxable value, rate and amount of each tax.
- Place of supply with the state name, for inter-state sales.
- Whether tax is payable on reverse charge.
- Signature or digital signature.
For an unregistered buyer, the name and address are required when the value is ₹50,000 or more.
When to issue it
For goods, at or before removal. For services, within 30 days of supply. Goods invoices are made in three copies: original for the buyer, duplicate for the transporter, triplicate for the supplier.
Keeping it clean
A tax invoice is never deleted. One raised in error is cancelled, with a credit note if it has already been reported. In MatruOS invoices are numbered in one series per financial year and show the tax split, HSN and amount in words.