Invoicing for MSMEs in India: A Complete Guide to Electronic Invoice, E-Invoice & Getting Paid Faster

Tax Invoice

Regular GST supply

ITC applicable

Bill of Supply

Composition scheme

No GST charged

Proforma Invoice

Pre-supply estimate

Not tax document

Credit Note

Returns or discounts

Reduces liability

Debit Note

Undercharged value

Increases liability

GST Calculation

Manual

Automatic

Errors

High risk

Low risk

Sharing

Physical/email

Instant

Tracking

Difficult

Real-time

Reminder

Manual

Automated

E Invoice Ready

No

Yes

Audit

Time-consuming

Easy access