GST on frequent purchase

[Kishan Barai]

My friend has a trading shop of tools & nut bolts, he registered in GST as his turn over was above 20,00,000 INR , now many small carpenter , garage owner , home decor biz came to his shop for purchasing tools & nut bolts & my friend billed them after a month. Every time when they come to buy he give them chalan with bill to be paid & they pay Complete bill with tax after a month or two.

Now how to continue this system in GST ??

Is chalan allowed in GST ?? / Debit note ??

If my friend suggest them to pay bill every time at the time of purchase, huge Business loss could occur

So how do you address to this problem legally ??

AI Summary

Business Owner Queries Validity of Monthly Billing Practice Under GST; Consider Chalan and Single Bill Solution A business owner operating a tool and nut bolt trading shop, registered under GST due to exceeding the turnover threshold, faces a challenge with billing practices. Customers like carpenters and garage owners receive goods with a chalan and pay the total bill, including tax, after a month or two. The concern is whether this system is permissible under GST regulations and if issuing a chalan or debit note is allowed. A response suggests that dispatching goods on a chalan and raising a single bill at the end of the month is a viable solution.