Tax invoices

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Tax invoices

Which tax invoice each sale gets: the address boxes, CGST and SGST or IGST, when it is made and where it goes.

Overview

A tax invoice is the GST bill O2M issues for a sale: your company and the customer, each item with its HSN and GST, and the CGST and SGST or IGST totals.

Why use it

Know which bill a customer gets for a delivery, a collection or a counter sale.
Check that the right GST split and place of supply are printed.
See where each invoice goes after it is issued.

Before you begin

Your company address and GSTIN are in Settings → Company profile.
Each outlet has its address in Settings → Offline selling → Outlets.
Your products have an HSN code and GST rate.

What the invoice shows

Every tax invoice O2M issues has the same layout. Your company name and GSTIN are at the top, then the invoice details, the customer, the items and the totals.

Figure 6.1 A tax invoice for an order shipped by courier

Part	What it shows
Under your name	Your GSTIN and the address the goods left from (see the next table)
Details	Invoice number and date, order number and date, courier and AWB when shipped, payment, and place of supply
Customer	One or two address boxes, depending on how the goods reach the customer
Items	HSN, unit price, quantity, taxable value, GST rate, tax amount and total for each line
Totals	Taxable value, then CGST and SGST (or IGST), round off, the total and the amount in words

Your business	The line under your name
Uses Warehouse Management	Ship-from: the warehouse the goods left from
Sells from an outlet, without Warehouse Management	Outlet: the outlet's name and address
Everything else	Address: your company address from Settings → Company profile

Good to know An outlet without an address prints your company address instead. Add the address to the outlet in Settings → Offline selling → Outlets.

Which address box you get

The customer part of the invoice follows how the goods reach the customer. You do not choose it on the invoice: it comes from the order.

What you do	Customer part of the invoice
Order delivered to the customer's own address (the default)	One box: Billing and shipping address
Order with Deliver to another address ticked	Two boxes: Billing address and Shipping address
Order with Customer collects it ticked, or marked Handed over	One box: Billed to, with the customer's name and billing address
Counter bill	One box: Billed to, with the customer's name and phone

Figure 6.2 Delivered to the customer's own address: one box

Figure 6.3 Delivered to another address: billing and shipping boxes

Figure 6.4 The customer collected it: Billed to only

CGST and SGST, or IGST

GST is split by the place of supply, which is printed in the invoice details.

Place of supply	Tax on the invoice
The same state as your GSTIN	CGST and SGST, half the rate each
Another state	IGST at the full rate

How the goods reach the customer	Place of supply
Delivered	The state of the delivery address
Collected or handed over	The state of the warehouse or outlet that handed them over
Counter bill	The outlet's state

The items table shows each line's GST rate and tax amount. The CGST and SGST, or IGST, split is given once, in the totals.

Tip A business customer from another state who buys at your counter still pays CGST and SGST, because the goods were handed over in your state.

When the invoice is made

For orders made by hand, a company admin chooses this in Settings → Orders → Invoice point.

Invoice point	The invoice is made
When the order is shipped (default)	When you choose Mark shipped or Handed over in the order's gear, or when the parcel is packed in Warehouse Management
When the order is made	When you click Save and invoice in Create order, or Invoice now on the order

A counter bill is invoiced the moment you click Bill.

Counter bills

Every counter bill needs the customer's mobile number. A number O2M knows picks that customer; a new number adds the customer when the bill is saved, with the name if you typed one.

The invoice shows the outlet's name and address under your company name.
Payment shows how the customer paid: Cash, UPI, Card, or a mix.
A customer with a GSTIN gets it printed on the bill and is reported as a registered business.

Figure 6.6 A counter bill: outlet address, Billed to and the payment method

Figure 6.7 A counter bill to a business customer with its GSTIN

Marketplace and online store orders

Each channel either issues its own invoice or leaves it to you. Choose it per channel in Settings → Orders → Invoicing.

Choice	What happens
Amazon issues the invoice (or Flipkart, and so on)	The marketplace's invoice is kept on the order in O2M. O2M does not issue a second one.
I issue it from O2M	O2M issues the tax invoice for the channel's orders

When O2M issues it:

With Warehouse Management, the invoice is made when the parcel is packed.
Without it, click Issue invoice on the order.

Online store orders, such as Shopify and your website, are issued from O2M. The address boxes and the GST split follow the same rules as above, using the order's delivery address.

Where invoices go

The order: download, print or send the invoice from the order.
Accounting → Invoices: every invoice issued, with a CSV export.
GST returns: invoices are added to GSTR-1 by themselves: business customers under B2B by GSTIN, others under B2C, and the HSN summary. See GST.
Zoho Books: with Zoho Books connected, each invoice is sent to Zoho as a sales invoice.
Tally and other books: export them with Accounting export.

An invoice can be cancelled on the day it is issued. After that, issue a credit note: GST returns and your books take it in the same way.

When an order is cancelled or comes back

What happened	The invoice
Cancelled before the parcel left, the same day	Cancelled. The number stays used.
Cancelled before the parcel left, a later day (or e-invoiced, or its GST month filed)	Stays, and a credit note is issued at once.
Cancelled after the parcel left	Cancelled if issued that day. Otherwise it stays, and a credit note is issued when the parcel is received back.
Came back undelivered (RTO)	A credit note is issued when it is marked returned.
Returned by the customer	A credit note is issued when the refund is recorded.
Marketplace issues the invoice	The marketplace issues the credit note.

A parcel that never comes back gets no credit note: the sale stands and the units are written off.

Questions

Question	Answer
Why is there no shipping address on the invoice?	The goods were collected, handed over or sold at the counter, so nothing was shipped.
Why does my invoice show IGST?	The place of supply is in another state from your GSTIN.
Why is my warehouse not named on the invoice?	Without Warehouse Management, the invoice shows your company address. With it, the warehouse is named after Ship-from.
Can I change an invoice after it is issued?	No. Cancel it on the same day, or issue a credit note.

Learn more about O2M Order Management.