In everyday conversation, "GST invoice" and "tax invoice" are often used interchangeably. Legally, they are the same document type under GST law — but the confusion comes from the older VAT / Sales Tax terminology and from "retail invoice" / "bill of supply" alternatives.
Tax invoice — the official term
Under the CGST Act, a registered taxpayer supplying taxable goods or services must issue a tax invoice. This is the document that carries GST — CGST + SGST for intra-state supplies, or IGST for inter-state ones — with all mandatory fields listed under Rule 46.
GST invoice — the everyday term
"GST invoice" is just how business owners refer to a tax invoice in day-to-day language. In modern billing tools like Deccan Bill, they are the same thing.
Bill of supply
If you supply exempted goods/services or you are registered under the composition scheme, you issue a bill of supply instead. No GST is charged on this document.
Retail invoice
Some POS systems still call the customer receipt a "retail invoice". Under GST, if the transaction value is under ₹200 and the customer does not want a tax invoice, a simplified retail invoice / receipt is allowed.
Deccan Bill handles all four automatically — see GST Billing Software.
Frequently asked
Is GST invoice and tax invoice the same?
Yes, in modern usage they are the same document. The legal term under GST law is "tax invoice".
When do I issue a bill of supply?
When you supply exempted goods/services, or when you are registered under the composition scheme.
What if the sale is under ₹200?
You can issue a simplified retail invoice / receipt if the customer does not ask for a full tax invoice.
Related reading
How to Create a GST Invoice — Step-by-Step Guide (2026)
Learn how to create a GST-compliant invoice in India step by step — customer GSTIN, HSN codes, CGST/SGST/IGST split, tax total, terms, e-signature and WhatsApp share.
What is GST Billing Software? A 2026 Guide for Indian Businesses
GST billing software helps Indian businesses issue GST-compliant invoices, file GSTR-1/3B and manage stock. Here is what it is, who needs it and how to choose the right one.
Put this into practice
Start with a free Deccan Bill account and create your first GST-compliant invoice in under a minute.