GST · 16 June 2026
Pakka Bill vs Kaccha Bill: Which One Is a Legally Valid GST Invoice?
A pakka bill is a proper GST tax invoice that carries every field Section 31 of the CGST Act and Rule 46 demand, so the buyer can claim input tax credit and it holds up in a GST audit. A kaccha bill is an informal slip with no GSTIN and no tax breakup, so it gives the buyer no input tax credit and leaves the seller exposed if the sale is ever checked.
By Mrs. Swapna Patel
Last reviewed
16 June 2026
In this section
Answers
- Pakka Bill vs Kaccha Bill: Which One Is a Legally Valid GST Invoice?
- What Fields Must a GST Tax Invoice Carry Under Section 31 and Rule 46?
- Do I Have to Issue e-Invoices? The ₹5 Crore GST Threshold for FY 2026-27
- GST Reverse Charge: When Does a Small Business Pay GST for Its Supplier?
- No HRA from Employer? Claim Rent Deduction Under Section 80GG
- Employer Has Not Issued Form 16 by 15 June: Can You Still File Your ITR?
- Form 16 vs Form 26AS vs AIS: What Does Each One Show, and Which Do You Use to File Your ITR?
- How Do You File ITR-1 (Sahaj) for AY 2026-27, Step by Step?
- Form 26AS Is Now Form 168: What Changed in April 2026?
- Form 16 Is Now Form 130: What Changed in April 2026?
A kaccha bill, the rough slip a shop hands you, is still a valid bill for tax and accounts.
Only a pakka bill, a GST tax invoice carrying the Rule 46 fields, lets the buyer claim input tax credit and survives a GST audit.
What is the difference between a pakka bill and a kaccha bill?
Short answer
A pakka bill is a GST tax invoice raised under Section 31 of the CGST Act with the mandatory fields in Rule 46. A kaccha bill is an informal slip, often handwritten, with no GSTIN, no tax breakup, and no legal standing.
- Pakka bill: a tax invoice carrying the seller's GSTIN, an invoice number, the GST rate and amount, and the buyer's details. It is the document the law recognises.
- Kaccha bill: a rough estimate, cash memo, or handwritten note that records an amount without the GST detail the law requires. Fine as a personal note, not as a tax document.
- The trade terms map to GST law: pakka means the proper tax invoice, kaccha means anything that falls short of it.
Pakka bill vs kaccha bill, side by side
| Pakka bill (tax invoice) | Kaccha bill (informal slip) | |
|---|---|---|
| Legal basis | Section 31 + Rule 46, CGST | None |
| Seller GSTIN | Printed on the bill | Absent |
| GST shown | CGST + SGST, or IGST | Not shown |
| Buyer claims input tax credit | Yes | No |
| Holds up in a GST audit | Yes | No |
| Expense proof for the buyer | Full | Weak, often rejected |
A kaccha bill may record the sale, but only a pakka bill carries the input tax credit and the audit trail.
What fields make a bill 'pakka' under Rule 46?
Short answer
Rule 46 of the CGST Rules lists the particulars every GST tax invoice must carry. Miss them and the bill is not a valid tax invoice.
A pakka bill generator fills every Rule 46 field by default, so the invoice is valid the moment you download it.
- Supplier name, address, and GSTIN.
- A consecutive invoice number, up to 16 characters, and the date of issue.
- Buyer name, address, and GSTIN, or the state and place of supply if the buyer is unregistered.
- HSN code for goods, or SAC code for services.
- Description, quantity, and taxable value of the goods or services.
- GST rate and tax amount, split into CGST and SGST, or charged as IGST.
- Signature or digital signature of the supplier.
Why does a kaccha bill cost you?
Short answer
A kaccha bill blocks input tax credit for the buyer and exposes the seller in a GST check.
- For the buyer: Section 16 of the CGST Act allows input tax credit only against a valid tax invoice. With a kaccha bill, you cannot recover the GST you paid.
- For the buyer at income tax: a vague slip is weak expense proof, while a clean tax invoice is what an assessing officer expects.
- For the seller: handing out kaccha bills on taxable sales understates turnover and reads as suppression in a GST check, with tax, interest, and penalty.
- If you are genuinely below the GST threshold and unregistered, the correct document is a bill of supply under Rule 49, not a kaccha bill.
References & related
Primary sources
- Section 31, Central Goods and Services Tax Act 2017 — CBICRequirement to issue a tax invoice for a taxable supply.
- Rule 46, Central Goods and Services Tax Rules 2017 — CBICMandatory particulars of a GST tax invoice.
- Section 16, Central Goods and Services Tax Act 2017 — CBICConditions for input tax credit, including possession of a valid tax invoice.
- Rule 49 / Section 31(3)(c), CGST — CBICBill of supply: the correct document for unregistered, composition, or exempt suppliers.
Last reviewed: 16 June 2026