Getting the kind of GST right is the first thing an invoice has to do. A sale within your own state carries CGST and SGST. A sale to another state carries IGST. Which one applies depends on the place of supply, not on which tax template someone happened to pick.
In our pre-launch review we found that a new document took the company’s default tax template whatever the customer’s state. Unless someone changed it, an inter-state sale could go out with CGST and SGST. The release of 1 November 2026 fixes that, and a few related things on the invoice.
What MyRecords does now
- The tax follows the place of supply. On quotations, sales orders, deliveries, sales invoices, point-of-sale bills, purchase orders, goods receipts and purchase invoices, MyRecords compares your state with the place of supply (on purchases, the supplier’s state). In-state documents get CGST + SGST; inter-state documents get IGST, and so does every SEZ or export supply.
- A wrong template is switched, with a reason. If a draft carries the wrong kind of template, MyRecords switches it to the same rate in the right kind and tells you why. A document that still has the wrong kind, such as rows typed by hand, cannot be saved.
- A GST tax invoice by default. Sales invoices print as a GST tax invoice, with the HSN or SAC code on each line and the customer’s GSTIN. Letterheads show your GSTIN, not your PAN, and the total is rounded. The PDF, the e-mail, the WhatsApp link and the customer portal all use this layout, and a return prints as a credit note against the original invoice.
- The tax total adds up. The Total row of the taxes table now adds the tax amounts only. Before, it also added the running totals, which made it look larger than it was.
- Clearer labels. The invoice shows “Customer GSTIN”, and any leftover tax ID field says “PAN / tax ID”.
Since 1 November
- Every sales document fills its place of supply. Quotations, sales orders, deliveries and point-of-sale bills now fill it themselves, as sales invoices already did. A place of supply you choose is never changed.
- Item-wise GST rates follow the same rule. An item’s own GST template sets the rate for that item; the place of supply still decides IGST or CGST + SGST, and the template no longer adds extra tax rows.
Why the place of supply matters
Under the GST law, a supply where the supplier’s location and the place of supply are in different states is an inter-state supply and attracts IGST; where both are in the same state, it is intra-state and attracts CGST and SGST (sections 7 and 8 of the Integrated Goods and Services Tax Act, 2017). The rules for working out the place of supply are in sections 10 to 13 of the same Act. Charge the wrong kind and the right tax has to be paid under the right head; the tax paid under the wrong head is then refunded, not adjusted (section 77 of the CGST Act and section 19 of the IGST Act). Until that is sorted out, your customer’s credit is in doubt.
So the place of supply is worth getting right on the first try, which is what the software should do for you.
What you need to do
Nothing, if your company’s GSTIN and state are set in MyRecords and your customers and suppliers have a GSTIN or a state on their address. With neither, MyRecords cannot tell: it puts your own state as the place of supply and leaves the tax as picked, so add the state.
Reverse charge on sales is shown and reported, not charged or booked. If you deal in reverse-charge supplies, please check the treatment with your CA.
Where to read the law
- GST Acts, including the CGST Act and the IGST Act, on the CBIC GST portal
- Notifications and circulars on CBIC’s tax information portal
This post describes MyRecords; it is not tax advice. For your own transactions, ask your CA.
Try the free place-of-supply checker or read how GST billing works in MyRecords.
