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GST invoice rules: what a valid bill must show

Compliance · Updated 2026-08-20

A GST invoice is not just a receipt — it is the document your customer needs to claim input tax credit, and the record a tax officer checks first. Miss a mandatory field and the invoice can be treated as invalid. Here is what the rules actually require.

Mandatory fields on a tax invoice

  • Supplier name, address and GSTIN
  • A consecutive serial number (max 16 characters), unique for the financial year
  • Date of issue
  • Customer name, address, and GSTIN if registered (B2B)
  • For unregistered customers where the value exceeds ₹50,000 — name, address, and state with code
  • HSN code for goods or SAC for services (digit count depends on turnover)
  • Description, quantity, unit, total value
  • Taxable value after discount
  • Rate and amount of CGST, SGST/UTGST, IGST and cess shown separately
  • Place of supply for inter-state sales
  • Whether tax is on reverse charge
  • Signature or digital signature of the supplier

Tax invoice vs bill of supply

Registered regular dealers issue a tax invoice. A composition dealer, or anyone supplying exempt goods, issues a bill of supply — no tax is shown, and a composition dealer must print “composition taxable person, not eligible to collect tax on supplies”.

When to issue it

For goods: on or before delivery or removal. For services: within 30 days of supply. For continuous supply: on or before the due date of each payment.

B2C billing at a shop counter

Below ₹200, a registered person need not issue an invoice unless the customer asks — but most POS systems issue one anyway for stock and reporting. A consolidated daily invoice can cover the small B2C sales.

How Billinzo handles this: every field above is filled from your item and customer masters automatically, and the invoice switches between tax invoice, bill of supply and B2B format on its own. See GST billing software.

Related

What is GST e-invoicing?  ·  How to choose billing software

FAQ

How many digits of HSN code do I need on my invoice?

Businesses with turnover up to ₹5 crore use 4 digits for B2B (optional for B2C); above ₹5 crore use 6 digits. E-invoices require at least 6.

Can I revise an invoice serial number series each year?

Yes. The series must be consecutive and unique within a financial year. Many businesses restart numbering each April with a year prefix.

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Put this into practice

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