Time of Supply and Place of Supply (Overview) + Tax Invoice and E-Invoicing (Basics) Questions

Question 1

Define time of supply in GST.

Accepted Answer

**Time of supply** is the point in time when **GST liability arises** for a supply, used to decide the tax period (concept).

Question 2

Place of supply helps decide IGST vs CGST+SGST. (True/False)

Accepted Answer

True. **Place of supply** determines intra/inter-state classification and hence **IGST** vs **CGST+SGST/UTGST** (concept).

Question 3

State any one purpose of a tax invoice.

Accepted Answer

A **tax invoice** documents GST charged and supports **ITC** for the buyer (subject to conditions) (concept).

Question 4

E-invoicing means sending invoice PDF by email. (True/False)

Accepted Answer

False. **E-invoicing** refers to standardized electronic invoice reporting/validation (IRN etc.) for specified taxpayers (concept/overview).

Question 5

For inter-state supply, which tax is generally charged?

Accepted Answer

**IGST** (concept).

Question 6

Bill of supply is generally issued for exempt supplies/composition scheme. (True/False)

Accepted Answer

True. A **bill of supply** is generally used for exempt supplies or by **composition** taxpayers (basics) (concept).

Question 7

Explain why time of supply is important in GST (any three points) using a small table.

Accepted Answer

Importance of **time of supply** (concept):

| Point | Explanation |
|---|---|
| Tax period | decides in which return period GST must be paid |
| Compliance | guides when invoice/payment events should be reported |
| Interest/penalty risk | delays can cause **interest/late fee** (overview) |

Any three well-written points are sufficient.

Question 8

Differentiate time of supply and place of supply (any three differences) using a table.

Accepted Answer

Differences (concept):

| Basis | **Time of supply** | **Place of supply** |
|---|---|---|
| What it decides | *when* GST is payable | *where/which tax* applies (IGST vs CGST+SGST) |
| Use | determines tax period/return | classifies intra vs inter-state |
| Reason | timing for payment/compliance | destination-based revenue allocation (concept) |

Any three differences are sufficient.

Question 9

List any three key contents of a tax invoice (use a checklist/table).

Accepted Answer

Any three key contents (concept):

| Item | Examples |
|---|---|
| Supplier details | name/address, **GSTIN** |
| Invoice details | invoice number & date |
| Tax details | taxable value, rate and tax amount (**CGST/SGST/IGST**) |
| Recipient details | GSTIN (for B2B) (concept) |
| Place of supply | important for inter-state (concept) |

Write any three items in points/checklist form.

Question 10

Explain e-invoicing (basics) and differentiate it from e-way bill using a table.

Accepted Answer

**E-invoicing** means standardized electronic invoice reporting/validation (IRN etc.) for specified taxpayers/categories (overview/concept).

| Basis | **E-invoice** | **E-way bill** |
|---|---|---|
| Purpose | invoice validation/standardization | movement of goods tracking (concept) |
| Linked to | invoicing/returns integration | transport/documentation |

Do not confuse: e-invoice is about invoices; e-way bill is about movement of goods.

Question 11

Differentiate tax invoice and bill of supply (any three points) using a table.

Accepted Answer

Difference (basics) (concept):

| Basis | **Tax invoice** | **Bill of supply** |
|---|---|---|
| Used for | taxable supplies (regular scheme) | exempt supplies / **composition scheme** (basics) |
| Shows GST | shows **CGST/SGST/IGST** charged | generally does not show GST separately (concept) |
| ITC support | supports buyer’s **ITC** (subject to conditions) | generally not used for ITC (basic concept) |

Any three differences are sufficient.

Question 12

Explain how time of supply and place of supply together affect GST compliance (any three points) with a small flowchart.

Accepted Answer

Both concepts control correct reporting and payment (concept):

- **Place of supply** decides tax type: **IGST** vs **CGST+SGST/UTGST**
- **Time of supply** decides *which return period* to report and pay GST
- Together they help avoid wrong tax payment and interest/penalty risk (overview)

Flowchart:

```text
Supply -> Place of supply (IGST or CGST+SGST)
      -> Time of supply (tax period)
      -> Invoice -> Return filing + payment
```

Question 13

Explain time of supply: meaning and basic trigger events (exam-style) with a table.

Accepted Answer

### Meaning
**Time of supply** is the time when **GST liability arises** for a supply, used to decide the return/tax period (concept).

### Why it is required
GST is paid through periodic returns, so law needs a rule to assign a supply to the correct period and prevent delay/manipulation (concept).

### Basic trigger events (table)

| Event (overview) | How it relates to liability |
|---|---|
| **Invoice issued** | indicates tax has been charged/documented |
| **Payment received** | indicates consideration received |
| Supply completed / service provided | confirms the supply activity |

Conclusion: Time of supply rules ensure timely tax payment and correct period reporting (concept).

Question 14

Explain place of supply and show how it decides IGST vs CGST+SGST using a flowchart and a table (exam-style).

Accepted Answer

### Meaning
**Place of supply** is the rule-based location treated as the **destination/consumption place** for a supply (concept).

### Why it matters
GST is **destination-based**, so place of supply helps decide whether the supply is intra-state or inter-state and allocates revenue properly (concept).

### Table (tax type)

| Classification | Supplier vs place of supply | Tax |
|---|---|---|
| **Intra-state** | same State/UT | **CGST + SGST/UTGST** |
| **Inter-state** | different States/UTs | **IGST** |

### Flowchart (concept)

```text
Supply -> Determine place of supply -> Compare locations
      -> Same State/UT: CGST+SGST
      -> Different State/UT: IGST
```

Conclusion: Place of supply is the key to deciding IGST vs CGST+SGST under GST (concept).

Question 15

Write an exam-style note on tax invoice and e-invoicing: importance, key contents, and common confusions (with a table).

Accepted Answer

### Tax invoice (importance)
A **tax invoice** is the primary document for taxable supplies. It evidences tax liability and supports the **ITC** chain for the buyer (subject to conditions) (concept).

### Key contents (exam points)
- supplier/recipient details with **GSTIN**
- invoice number and date
- description, taxable value, rate and tax amounts (**CGST/SGST/IGST**)
- place of supply (important for inter-state) (concept)

### E-invoicing (basics)
**E-invoicing** is standardized electronic invoice reporting/validation for specified taxpayers/categories. It is not merely emailing a PDF (concept/overview).

| Confusion | Correct idea |
|---|---|
| E-invoice = email PDF | No; it means standardized validation/reporting |
| E-way bill = e-invoice | No; e-way bill is for **movement of goods** |

Conclusion: Proper invoicing ensures compliance, reduces disputes, and improves traceability under GST (concept).

Point	Explanation
Tax period	decides in which return period GST must be paid
Compliance	guides when invoice/payment events should be reported
Interest/penalty risk	delays can cause interest/late fee (overview)

Time of Supply and Place of Supply (Overview) + Tax Invoice and E-Invoicing (Basics)

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