According to GST for any goods other than zero rated, nil rated, non-taxable or exempted supply the total taxable amount should include delivery or other charges. However, for any invoice created on Swipe you have the option to add 0% delivery charges but the taxable amount will always include other charges
I am not understanding what should be the correct taxable value I have created an invoice, but don't want the taxable value to be kept including the delivery charge. Taxable amount should only be the sum of the amount of goods or service and not other charges.
According to GST for any goods other than zero rated, nil rated, non-taxable or exempted supply the total taxable amount should include delivery or other charges. Hence, for any invoice created on Swipe you have the option to add 0% delivery charges but the taxable amount includes other charges. For more details refer .
Let's take an example,
Rakesh has created an invoice of goods worth ₹1000 on 18% tax and ₹100 delivery charge on 0% tax. According to GST ₹1100 is the taxable value. As taxable value will consider 0% tax items also. Total amount to be paid will be ₹1280.
From GST Portal,
Creating an 18% tax invoice of goods costing ₹1000 and a ₹100 delivery charge without any tax.
Taxable Value: ₹1100 (price of magazines + cost of delivering)
GST Amount: ₹1000 * 18% = ₹180.
Total Amount to be Paid: ₹1280.
Only in case of nil-rated or exempt items it will not be considered taxable value. Nil-rated or exempt items should be issued on bill of supply only as per GST.
Which goods do not attract GST? Zero Rated Supply: The supplier does not have to pay GST on these goods or services. However, they can still claim a refund of the input tax credit. Export goods, supply of goods and services to SEZ (Special Economic Zones) usually have Zero-rate of GST.
Nil Rated Supply: Items in this category attract 0% GST and the Input Tax Credit cannot be claimed by the supplier. Some items which are nil rated include grains, salt, jaggery, etc.
Non-Taxable Supply: These supplies also do not attract GST i.e supplier does not have to charge GST on these items. Items like alcohol, petrol fall into such categories.
Exempted Supply: These supplies also do not attract GST as these supplies are used for everyday purposes like bread, fresh fruits, milk, curd etc.
What is Taxable value? A Taxable value is any value of goods or services on which GST needs to be levied i.e GST has not been added yet to this amount.
What is the invoice value in GST? Invoice value is the value of goods and services on which GST is already levied, i.e it is the sum total of the Taxable value + GST amount.
Lets understand these better with an example,
Let’s take for instance Mr. Anush for the purchase of a good that costs ₹1000 which is a taxable value.
GST @ 18% = ₹180.
CGST = ₹90 (9%).
SGST = ₹90 (9%).
Invoice Value: ₹1180.
FAQs 1. Is it possible to modify some of the entries after generating the e-invoice?
No, an e-invoice once issued cannot be edited because the moment it is created, it becomes frozen. If corrections are needed at all, it is essential to indicate a new number on the invoice.
2. How does an e-way bill work if I modify the invoice after generating the compliant document?
You require a new e-way bill and the old e-way bill has to be deleted.
Any change in the invoice makes the e-way bill linked to it also rejected. The change requires that a new e-way bill must be produced for the new invoice.
3. Getting error “Document number already exists”
This error occurs when a new e-way bill is generated on the portal having the same document number as that of an active e-way bill.
The document number of the original e-way bill must be changed and a new e-way bill created.
4.Can I generate a new e-way bill if my previous one has got spoiled or expired?
No, if the e-way bills have rendered invalid by the lapse of the validity period cannot be cancelled. But then, in such situations, you cannot issue another e-way bill under the same document number in the same financial year.
5. Why is such attention paid to the invoice number?
Invoice number: This is another transaction number A unique number is assigned to each transaction. It is important in record keeping, eliminates duplicate records, and highly relevant to GST regulation needs.
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