A Quick Guide To Preparing A GST Invoice Format
by Sumona Finance 05 January 2022
A GST invoice format is documentation where you are submitting the records of the supply and goods of the business. This documentation is a case study and the proof of the supply and the goods. The original invoice is recorded as the original copy. And the duplicate copy is marketed as the duplicate or the transporter.
Now let’s see what the exact definition of the GST invoice is.
What Is A GST Invoice?
A GST invoice is a document provided by you to your clients along with goods or services, which lists the details of the goods or services provided, along with the rate of GST, amount charged, and the total amount due for payment.
Invoices must be issued in the manner stipulated by the Goods and Services Tax (GST) Act. You can generate GST invoices using software, or you can even generate them manually by adding relevant details in it.
Invoices are mandatory for a GST registered business. In addition to sharing the invoice with the customer, you are also required to maintain copies of all invoices issued by you for a minimum period of five years from the date of issue.
What Are The Fields In A GST Invoice?
While there is no fixed directive, the basic GST Invoice format will always be the same. However, depending on what kind of business you have and the type of goods or services you provide, you may need to include more information.
Any GST invoice should mandatorily have the following information:
- Invoice numbers, including date
- Attach the shipping, including billing address
- Place of supply
- Customer name
- Register Customer details, including the taxpayer’s GSTIN (if registered).
- Taxable value with applicable discounts
- HSN code/ SAC code
- Rate and fees of taxes i.e., CGST/ SGST/ IGST
- Item details which include content such as a description of the products, amount of the product, price per unit, total value
- Signature of the supplier
- Whether GST on a reverse charge basis is applicable or not
The GST in number format is self-explanatory and very important; hence you should always double-check it. Click here for more info on how to read the format and get information from it.
However, if the recipient of the invoice is unregistered and the value amount in the invoice is greater than INR 50,000, then the following additional information is required:
- Name of the recipient
- Address of the recipient
- Address of delivery
- Name of the state and the state code
At what point should the invoice be issued:
- One time delivery: On or before the date of delivery
- Continuous supply: On or before the account statement issue date or the payment date
- One time delivery: Within 30 days of the date of delivery
- Banks and NBFC: Within 30 days of the date of delivery
The invoice date refers to the date on which the invoice was created and entered in the accounts/bill book. The due date is the date on which the payment is due for making on the invoice.
You must also make sure that:
- Your invoices are accurate and clear.
- GST invoice serial number is maintained strictly. The format may change after informing the GST development officer.
- You must mention that tax is paid on a reverse charge on GST Invoices.
- The Invoice serial number must be mentioned at the bottom of your bills.
- In the case of goods, three copies of the invoice are to be issued – for the recipient, transporter, and the supplier.
- In the case of services, two copies of the invoice are to be issued for the recipient and the supplier
The GST invoice is proof of your supply and the goods. So whenever you are successful in paying the GST at the right time, you must take the GST invoice. Follow these guidelines and know the exact guidelines to print out the GST invoices. If you are already taking out your GST invoices, print them out, then come back to us and let us know your experiences.