Section 31 to 34 of the CGST Act, 2017 read with Rule 46 to 55, of the CGST Rules,
2017 govern issues relating to Tax Invoice.
1. What is Tax Invoice?
"Invoice" or "Tax Invoice" means the tax invoice referred to in section 31 of CGST Act,
2017.
"Tax Invoice" shall include any revised invoice issued by the supplier in respect
of a supply made earlier. (Invoice is the beginning of every transaction under this
law. If at this level only, involve is prepared complete in all respects, many
disputes can be avoided at later stage. This law is the tax on transactions and
every invoice represents an independent transaction, so it is imperative to be
extremely careful while making it.)
2. Who can issue Tax Invoice?
Registered person supplying taxable goods shall issue Tax Invoice. Where a registered
person is supplying taxable as well as exempted goods or services or both to an
unregistered person, a single invoice-cum-bill of supply may be issued for all such
supplies. A registered person supplying exempted goods or services or both or paying
tax under the provisions of section 10 shall issue, instead of a tax invoice, a bill of
supply. a registered person who is liable to pay tax under sub-section (3) or sub-
section (4) of section 9 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.
3. What is the time limit to issue Tax Invoice? (This is except for banking
institutions, continuous supply, etc.)
4. What is the format of the Invoice series?
A consecutive serial number not exceeding 16 characters, in one or multiple series,
containing alphabets or numerals or special characters- hyphen or dash and slash symbolized as “―“ and “/“ respectively, and any combination thereof, unique for a
financial year. (There can be any number of invoice series separate for
goods/services/activities/clients. But it has to be unique for every financial
year. It means, have to start new for every financial year.)
5. What is the format of Tax Invoice?
There is no specified format for Tax Invoice but should contain all the details
mentioned in Rule 46 of CGST Act, 2017.(As per rule, 17 fields or requirements are
there. If an invoice contains or fulfills all, it shall be an valid invoice.)
6. When Can Tax Invoice, already issued be amended?
This has two segments. First is under what circumstances tax invoice can be
amended. This part of the answer is governed by Sec 34 of the Act. Under following
circumstances, supplier can reduce the value of tax invoice issued by way of credit
note or increase the value by debit note.
The Supplier may issue to the recipient credit note if “-
1. 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
2. where the goods supplied are returned by the recipient, or
3. where goods or services or both supplied are found to be deficient,
Second part of answer is, Amendment shall be allowed till furnishing of the return
under Section 39(GSTR-3B) for the month of September following the end of the
financial year to which such details pertain, or furnishing of the relevant annual
return, whichever is earlier.
7. Can Tax Invoice be revised?
Yes. A registered person may, within one month from the date of issuance of certificate
of registration, 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.
8. How many copies of Tax Invoice to be prepared?
The invoice shall be prepared in triplicate, in the case of supply of goods and in
duplicate, in the case of the supply of services.
9. Till how much time, Tax Invoices are required to be kept in record?
Every registered person shall retain accounts and records until the expiry of seventy
two months from the due date of furnishing of annual return for the year pertaining to
such accounts and records.(72 months from the due date of GSTR-9)
Provided that a registered person, who is a party to an appeal or revision or any other
proceedings before any Appellate Authority or Revisional Authority or Appellate
Tribunal or court, shall retain the books of account and other records for a period of
one year after final disposal of such appeal or revision or proceedings or investigation,
or for the period specified above, whichever is later.
10. How to decide which supply to be treated as B2B and B2C under GSTR-1?
This shall be decided on the basis of the fact that whether GSTIN has been provided
by the recipient to supplier. If yes, then supplier shall be treating that Tax Invoice as
supply made to B2B otherwise B2C and report accordingly in GSTR-1.
