BILL OF SUPPLY UNDER GST

What is Bill of Supply

As per proviso to section 23 of Model GST Law a registered taxable person supplying non-taxable goods and/or services or paying tax under the provisions of section 8 in relation to composition levy shall issue, instead of a tax invoice, a bill of supply( in lieu of tax invoice) containing the prescribed particulars.

Accordingly, for a bill of supply, following points are relevant:

1. bill of supply to be issued by registered taxable person supplying non-taxable goods and/or services.
2. bill of supply to be issued by registered taxable person paying amount under the composition levy.
3. bill of supply containing prescribed particulars is issued in lieu of tax invoice.
4. bill of supply will also be issued by unregistered persons who are not required to pay GST.
5. bill of supply will generally contain the similar particulars as in case of tax invoice except that of tax charged.

Particulars in a 'Bill of Supply'

According to Rule 3 of draft GST Invoice Rules, a bill of supply issued by the supplier shall contain the following information and details:

1. name, address and GSTIN of the supplier,
2. a consecutive serial number containing only alphabets and/or numerals, unique for a financial year,
3. date of its issue,
4. name, address and GSTIN/ Unique ID Number, if registered, of the recipient,
5. HSN Code of goods or accounting code for services,
6. description of goods or services,
7. value of goods or services taking into account discount or abatement, if any, and
8. signature or digital signature of the supplier or his authorized representative.

When Bill of Supply is not required

According to proviso to Rule 3 of draft GST Invoice Rules, a registered taxable person may not be required to issue bill of supply if the value of the goods or services  supplied is less than one hundred rupees. However, he may be required to issue bill of supply where the recipient of the goods or services requires such bill.

Consolidated Bill of Supply

According to proviso to Rule 3 of draft GST Invoice Rules, a consolidated bill of supply shall be prepared by the registered taxable person at the end of each day in respect of all such supplies where the bill of supply has not been issued and value of  the goods or services supplied is less than one hundred rupees.

Accordingly, consolidated bill of supply shall be prepared by the registered taxable person-

1. at the end of each day,
2. in respect of all supplies for value of less than rupees one hundred (Rs. 100),
3. consolidated bill of supply will only cover supplies where bill of supply has not been issued.