Sales to Registered or Unregistered Customer
Sales to a registered customer are known as B2B sales, sales to an unregistered customer are known as B2C sales. There is no difference in computation of tax for a B2B and B2C sales. However, they are required to be reported separately in GSTR-1.
Process of sales to registered or unregistered customer has been explained in this document.
Create a sales invoice
Choose the
icon, enter Sales Invoice, and then choose the related link.Select Customer on Sales Invoice header, GST customer type should be Registered or Unregistered.
Select Item Code for goods or G/L Account for service sales on Sales Invoice line. GST Group Code, HSN/SAC Code should not be blank on the item or G/L account.
For example, there is a sales invoice for INR 10,000 and 18% GST (i.e. 9% CGST and 9% SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) has to be charged on the invoice amount.
GST calculation will appear in the Fact Box, as following:
Component Amount GST Base Amount 10,000 CGST 900 SGST 900 IGST 1800 GL Entries for Intra-State or Intra-Union Territory sale of goods to registered or unregistered customer, will be as following:
Particulars Amount Customer Account 11,800 SGST/UTGST Payable Account - 900 CGST Payable Account - 900 Sales Account - 10000 GL Entries for Inter-State sale of goods to registered or unregistered customer, will be as following:
Particulars Amount Customer Account 11,800 IGST Payable Account - 1800 Sales Account - 10000 GL Entries for Intra-State or Intra-Union Territory sale of services to registered or unregistered customer, will be as following:
Particular Amount Customer Account 11,800 SGST/UTGST Payable Account - 900 CGST Payable Account - 900 Sales Account - 10000 GL Entries for Inter-State sale of services to registered or unregistered customer, will be as following :
Particular Amount Customer Account 11,800 IGST Payable Account - 1800 Services Account - 10000
Tip
System will automatically update 'Nature of Supply' for Registered customer as B2B and for Unregistered customer as B2C.