MVAT - TAX INVOICE

Essential ingredients of a Tax Invoice: Under the scheme of MVAT, the most important document is Tax Invoice. A registered dealer is entitled to claim set off only on the basis of a valid Tax Invoice. Set-off is not available on purchases effected through a bill or cash memorandum. A 'Tax Invoice is must to claim input tax credit (set-off). To be a valid Tax Invoice, section 86(2) provides that it shall contain the following particulars:

1. The word Tax Invoice in bold letter at the top or at a prominent place.
2. Name, Address and Registration Number of Selling Dealer.
3. Name, Address and Registration Number of the Purchasing Dealer.
4. Serial Number and Date.
5. Description, Quantity and Price of the Goods sold.
6. The amount of tax charged, to be shown separately.
7. Signed by the selling dealer or a person authorised by him.
8. A declaration u/r. 77(1).