To support an Indian GST input tax credit (ITC) claim, keep each purchase invoice or other prescribed tax document together with records that show what you received, how the purchase was recorded, and how the related tax and ITC were reported. Maintain the required accounts at the registered places of business, make paper or electronic records retrievable, and retain them for the statutory period. An invoice by itself does not establish that a credit is eligible.
Set up a record trail for every purchase
Use the GST record categories as the backbone of your purchase file. Keep the source documents, the purchase entry and the related tax and ITC records linked so that an entry can be traced back to its evidence. That linkage is a practical way to make the records usable; the rules do not prescribe a particular filing system or software format.
As an Amazon Associate I earn from qualifying purchases.
Keep the source documents relevant to the transaction
- Purchase-side tax invoices and debit notes.
- Credit notes and delivery challans connected with the purchase.
- Receipt and payment vouchers, refund vouchers, bills of supply and e-way bills where relevant.
Maintain registers of tax invoices, credit notes, debit notes and delivery challans received or issued during the tax period. Also keep an account of ITC claimed and tax payable, collected and paid. These record categories are set out in the [Accounts and Records Rules](https://cbic-gst.gov.in/pdf/ CGST-Rules-2017-Part-A-Rules.pdf).
The Tool Desk
Outbyte Driver Updater FREEScan for outdated or missing drivers - takes under a minuteDriver Scan →Outbyte PC Repair FREEClear out junk files and repair common Windows errorsFree Scan →Record where and what the business does
The CGST Act requires true and correct accounts of inward and outward supplies, stock, ITC availed, and output tax payable and paid. Records relating to each registered additional place of business must also be maintained. Keep the records at the principal place of business and relevant additional places shown in the registration certificate, as applicable. The rules call for records to be maintained separately for activities such as manufacturing, trading and services. They also require supplier names and full addresses and, for taxpayers other than composition taxpayers, stock details including opening balance, receipts, supplies, losses, write-offs and closing balance. See CGST Act sections 35 and 36.
#1 Best Overall
- Two-Part Carbonless Invoice Book: Each invoice book has 50 sets of invoices, each with a white/light yellow section, with the yellow section retained in the invoice book to maintain detailed records.
- Consecutively Numbered: Enlarged red 6-digit numbers in the upper right corner of each invoice receipt book help you quickly navigate through your orders.
- Wraparound Divider Flap: A thick folded cardboard divider is integrated into the back of each invoice book for use between each two-part sales order to prevent the written content from rubbing off on subsequent copies of the invoice, resulting in wasted invoices.
- 2 Packs/50 Sets (100 Sets Total): Each invoice book provides 50 sequentially numbered carbonless sets of 2 invoice books for long-term use.
- Customizable Space: Each invoice book for small business has space at the top to add a company seal or sticker.
Check the invoice before relying on it
CBIC’s invoice FAQ identifies key details to check: supplier name, address and GSTIN; recipient name, address and GSTIN if registered; a unique invoice number and issue date; description and value of goods; tax rate and amount; and signature. Compare the invoice with the purchase entry and the transaction documents, and keep any correction or amendment with a traceable record of the change. See the CBIC FAQ on invoice details.
Understand what an invoice does—and does not—prove
Possession of a tax invoice or debit note from a registered supplier, or another prescribed tax-paying document, is one condition for claiming ITC under the Act. The Act also lists receipt of the goods or services, payment of the charged tax to the Government and filing the section 39 return, alongside other statutory provisions and restrictions. Review the conditions applicable to the particular transaction rather than treating a document check as a complete eligibility test.
Rank #2
- QUALITY INVOICES: Adams Order books provide a professional invoice or customer receipt; a great way to create and maintain a professional image for small businesses and service providers
- 50 TWO-PART CARBONLESS FORMS: Customers get the perforated white top copy; retain the canary and pink copies for your records
- WRAP-AROUND COVER: Fold the back cover between sets to keep invoices neat and legible
- ROOM FOR CUSTOMIZATION: A blank space at top leaves room for your company stamp; a big savings over custom-printed forms
- CONSECUTIVELY NUMBERED: Large 6-digit numbers in the upper right hand corner help you thumb through orders quickly
A separate payment rule generally applies if the recipient does not pay the supplier the value of the supply plus tax within 180 days: the ITC availed is added to output tax liability with interest in the prescribed manner, and credit may be taken again after payment. The rule excludes reverse-charge supplies from this 180-day proviso. Consult the applicable provisions for the transaction and any relevant exceptions.
Do these 3 things before closing this tab:
1Scan for outdated or missing drivers - takes under a minute2Clear out junk files and repair common Windows errors3Fix the driver behind crashes, sound loss and screen glitchesDo not rely on the September-based deadline displayed in the CBIC-hosted Act text for section 16(4) as current advice. That page’s wording may be older; check the current amended statutory text and applicable notifications for the deadline that applies to your claim.
Rank #3
- QUALITY INVOICES: Adams Invoice books provide a professional invoice or customer receipt; easily customize by using the extra space at the top and your company stamp
- 50-TWO PART CARBONLESS FORMS: Customers get the perforated white top copy; retain the yellow copy for your records
- WRAP-AROUND COVER: Fold the back cover between sets to keep invoices neat and legible
- CONSECUTIVELY NUMBERED: Large 6-digit numbers help you thumb through invoices quickly
- STOCK UP: Each book includes 50 white/canary sets; order several to keep your favorite forms on hand
Choose paper, digital or a mixed filing method
Electronic accounts are permitted, so the practical choice is a record method that preserves the required documents and registers and lets you retrieve them when needed. A paper register can help organize entries, but it does not replace invoices, vouchers or other source documents. Digital or mixed records need the same attention to completeness and retrieval as paper files.
- Can each purchase entry be traced to its source invoice and related transaction records?
- Are all required document types and tax/ITC registers captured?
- Can records be found at the relevant registered places of business?
- For electronic records, are edits and deletions logged, and are backups available?
- Can records be produced in readable form on demand and retained for the required period?
Back up electronic records and be ready to produce them
The rules require proper electronic backups so information can be restored within a reasonable period after accidental or natural loss. Electronic edits or deletions must have a log. On demand, records must be producible in authenticated hard copy or readable electronic form. If requested, the registered person must provide access details, explain codes and record layout, and supply sample print copies. See the [CGST Rules on electronic records](https://cbic-gst.gov.in/pdf/ CGST-Rules-2017-Part-A-Rules.pdf).
Rank #4
- This value 3 pack of Adams Invoice Books give you 150 two part carbonless invoices with a perforated white customer receipt and yellow duplicates for your records; 3 50-invoice books per pack
- Unique horizontal invoice sheets capture the purchased by and shipped to addresses; a compact 5-9/16 x 8-7/16 page still leaves plenty of room for details on up to 12 items sold
- Wraparound back cover prevents write-through between sets; pull out the perforated white customer receipt and the yellow carbonless duplicates stay behind for your records
- Unique 6 digit invoice numbers help you thumb through orders quickly; blank space up top gives you room for a company stamp—an affordable custom touch
- In value packs with three 50-invoice books for your small business; buy ahead to keep on site or take on the road for pop-up shop sales
Retain records for the statutory period
The ordinary retention period is 72 months from the due date for furnishing the annual return for the year to which the accounts and records relate. If records concern an appeal, revision, other proceeding or an investigation for an offence under Chapter XIX, retain them until one year after final disposal or until the ordinary period expires, whichever is later. The period is set out in CGST Act section 36; calculate it by reference to the relevant year and any proceeding affecting the records.
Quick Recap
Best Value
- 2 part carbonless forms (White originals, Canary duplicates) for invoicing customers
- Wraparound cover attached to back to place between sets
- Consecutively numbered within each book
- 50 sets per book
- Space at top for company stamp
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
