How to Generate a GST Invoice: A Shop Owner's Guide
A GST tax invoice is the document that records a sale and the tax charged on it. Getting it right protects you in audits and lets your customers claim input credit where eligible.
What a tax invoice usually contains
Exact requirements depend on the type of supplier and the sale, so confirm the details with your accountant. In general a tax invoice carries:
- Your name, address and GSTIN
- A unique invoice number and the date
- The customer's name and GSTIN, where applicable
- A description of each item or service, with quantity and HSN or SAC code where required
- Taxable value, tax rate and tax amount for each item
- The total amount payable
CGST, SGST or IGST?
For a sale within one state, GST is split into Central GST (CGST) and State GST (SGST). For a sale from one state to another, Integrated GST (IGST) is charged instead. Software that knows your state and the place of supply can choose the right split on each invoice automatically.
Common mistakes at the counter
- Applying one tax rate to a mixed basket
- Skipping the customer GSTIN on business sales
- Duplicate or missing invoice numbers
- Not issuing a credit note for returns
Let software do the arithmetic
Billing software calculates tax per item, numbers invoices in sequence and produces credit notes for returns. Akinven Billing does this at the counter and prints the bill over Bluetooth, so the invoice is ready before the customer leaves.
Frequently asked questions
Is this tax advice?
No. This is a general overview. Confirm the rules that apply to your business with a qualified accountant.