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GST & documents
CGST, SGST, and IGST: A Simple Invoice Explanation
Understand the basic difference between CGST, SGST, and IGST before creating a GST invoice.
GST invoice tax labels depend on the nature of the supply and the relevant places of supply. This guide is an introduction, not tax advice; use current official guidance or professional help when a transaction is unclear.
Before you start
- ✓Confirm the seller and buyer locations.
- ✓Identify whether the supply is within a state or across states.
- ✓Use the applicable tax rate for the item or service.
- ✓Keep the invoice calculation and supporting records consistent.
A simple workflow
- 1Enter accurate seller and buyer details.
- 2Review the transaction’s place-of-supply treatment.
- 3Check whether the invoice should show split or integrated tax.
- 4Save the final PDF after reviewing totals.
Ready to continue?
Use our free tool to complete the next step. Your data stays in your browser.
Generate an invoice →Common mistakes to avoid
- Selecting taxes based only on the customer’s city name.
- Using a default rate without checking the item or service.
- Assuming every invoice requires the same tax breakdown.
Frequently asked questions
What is the main difference?
The applicable GST components depend on the transaction and place of supply; verify the current treatment for your case.
Does the generator decide tax compliance?
A generator helps prepare the document, but the business remains responsible for correct details and tax treatment.