Tax invoice

1. (1) A registered person supplying taxable goods shall, before or at the time of,––
   • (a) removal of goods for supply to the recipient, where the supply involves

movement of goods; or

1. (b) delivery of goods or making available thereof to the recipient, in any other case,

Provided that the Government may, on the recommendations of the Council, by notification, specify the categories of goods or supplies in respect of which a tax invoice shall

be issued, within such time and in such manner as may be prescribed.

1. (2) A registered person supplying taxable services shall, before or after the provision of service but within a prescribed period, issue a tax invoice, showing the description, value,

tax charged thereon and such other particulars as may be prescribed:

2[ Provided that, the Government may, on the recommenda tions of the Council, by notification, - 58

1. (a) ) specify the categories of services or supplies in respect of which a

tax invoice shall be issued, within such time and in such manner as may

be prescribed;

1. (b) ) subject to the condition mentioned therein, specify the categories of services in respect of which, - ( i ) any other document issued in relation to the supply shall be deemed to be a tax invoice; or

( i i ) tax invoice may not be issued.]2

1. (3) Notwithstanding anything contained in sub-sections
2. (1) and (2)––
   • (a) a registered person may, within one month from the date of issuance of certificate of registration and in such manner as may be prescribed, issue a revised invoice against the invoice already issued during the period beginning with the effective date of regi stration till the date of

issuance of certificate of registration to him;

1. (b) a registered person may not issue a tax invoice if the value of the goods or services or both supplied is less than two hundred rupees subject to

such conditions and in such manner as may be prescribed;

1[(c) a registered person supplying exempted goods or services or both or

Provided that the registered person may not issue a bill of supply if the value of the goods or services or both supplied is less than two hundred rupees subject to such conditions and in such manner as may be prescribed;]1

1. (d) a registered person s hall, on receipt of advance payment with respect to any supply of goods or services or both, issue a receipt voucher or any other document, containing such particulars as may be prescribed, evidencing receipt of such payment;
2. (e) where, on receipt of advance payment with respect to any supply of

goods or services or both the registered person issues a receipt

voucher, but subsequently no supply is made and no tax invoice is issued in pursuance thereof, the said registered person may issue to the

person who had made the payment, a refund voucher against such

payment;

1. (f) a registered person who is liable to pay tax under sub -section (3) or sub-

1. (g) a registered person who is liable to pay tax under sub -section (3) or sub- section (4) of section 9 shall issue a payment voucher at the time of

registered‖ shall include the supplier who is registered solely for the purpose of deduction of tax under section 51.]3

1. (4) In case of continuous supply of goods, where successive statements of accounts or successive payments are involved, the invoice shall be issued before or at the time each

such statement is issued or, as the case may be, each such payment is received.

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1. (5) Subject to the provisions of clause (d) of sub -section (3), in case of continuous

supply of services, ––

1. (a) where the due date of payment is ascertainable from the contract, the

invoice shall be issued on or before the due date of payment;

1. (b) where the due date of payment is not ascertainable from the contract, the invoice shall be issued before or at the time when the supplier of service receives the payment;
2. (c) where the payment is linked to the completion of an event, the invoice

shall be issued on or before the date of completion of that event.

1. (6) In a case where the supply of services ceases under a contract before the completion of the supply, the invoice shall be issued at the time when the supply ceases and

such invoice shall be issued to the extent of the supply made before such cessation.

1. (7) Notwithstanding anything contained in sub -section (1), where the goods being sent or taken on approval for sale or return are removed before the supply takes place, the

Explanation .––For the purposes of this section, the expression ―tax invoice‖ shall

include any revised invoice issued by the supplier in respect of a supply made earlier.

1. Please see the clarification pertaining to clause (C) of Sub -Section (3) of Section 31 in the Karnataka Goods and Service Tax (Removal of Difficulties) order 2019 issued vide order No FD 47 CSL dated 08.03.2019.