Transportation of Goods Without Invoice

Meaning

Under the Goods and Services Tax (GST) system, a Tax Invoice is a mandatory document for the supply of taxable goods. However, in certain cases, goods can be transported without a tax invoice while remaining compliant with GST regulations.

Cases Where Goods Can Be Transported Without an Invoice

The following are situations where goods can be transported without a tax invoice:

1. Supply of Exempted Goods

   • If the goods being transported are exempt from GST, a Bill of Supply can be issued instead of a tax invoice.

2. Movement of Goods for Job Work

   • When goods are sent to a job worker for processing, repair, or any other activity without actual sale, they can be transported with a Delivery Challan instead of a tax invoice.

3. Supply of Liquid Gas Where Quantity is Unknown

   • In cases where the exact quantity of supply is not known at the time of dispatch (e.g., liquid gas), a Delivery Challan is issued, and a tax invoice is issued later.

4. Transportation of Goods Under an Approved Scheme

   • Goods transported under specific government-approved schemes, such as for testing, R&D, or exhibitions, may not require a tax invoice but must be accompanied by relevant documentation.

5. Return of Goods

   • If goods are being returned to the supplier, a Delivery Challan or Credit Note can be issued instead of a tax invoice.

6. Transfer of Goods Between Branches Without Supply

   • If a company is moving goods between different branches (within the same state and same GSTIN) without sale, a Delivery Challan can be used.

Required Documents for Transportation Without an Invoice

Even when a tax invoice is not issued, the following documents may be required to accompany the goods:

1. Delivery Challan – A document specifying details of the goods being transported, issued in triplicate (for supplier, transporter, and recipient).
2. E-Way Bill (if applicable) – If the value of goods exceeds ₹50,000, an E-Way Bill is required for transportation, even without a tax invoice.
3. Bill of Supply – For exempt supplies or composition scheme dealers.
4. Job Work Challan – When sending goods for job work.

Key Considerations

• Transporting goods without proper documentation may result in seizure, penalties, or fines under GST law.
• The GST officer may demand an explanation if an invoice is missing, and proper records must be maintained.
• If applicable, an E-Way Bill must always be generated to avoid compliance issues.