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invoice

CA Abhash (Chartered Accountant) (324 Points)

19 December 2007

what is the difference between commercial invoice and tax invoice

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4 Replies

CA. O.P. Agarwalla (C.A.) (2916 Points)
Replied 20 December 2007

I think you want to say retail invoice and tax invoice. Tax invoices are issued by registered dealers and subjcet to few conditions purchaser get the credit of VAT paid against such puchases. No such credit is available is purchases has not been made against tax invoices.

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Rugs (56 Points)
Replied 26 December 2007

If a company wants to take credit of vat paid on purchase of goods it need to have a tax invoice as vat credit can only be claimed on base of tax invoice and not retail invoice. Retail invoice is also a correct proof of sale but not for vat credit, so for company (or products) not taking any vat credit, retail invoice is perfectly valid

Ramkrishna Mokashi (Chartered Accountant) (734 Points)
Replied 29 December 2007

Retail, Commercial and Tax Invoice are all different. Tax Inv = For availing tax benefits, eg. Tax Credit, Commercial Inv. = For Payment / Accounting Retail Inv. = For Retail Purchasers Theoritically a single invoice can satisfy requirement of both tax invoice and comm. inv. However, it is better to have your seperate tax invoice for numerous reasons; one of which is tax invoice is accompanied with good while it is being transported.