28 April 2010
hi Expert, I am working in an MNC company we provide services for buying & selling of machinery means if a company is looking for a machinery and if we find it for them then we charge them consultancy fees now my consultant says you should raise an bill for the same & my CA says you should raise an Invoice. We charge service tax on our Invoices. We normally take our payment in advance. What is the basic difference between a bill and an Invoice. Please guide .... Awaiting your valuable reply best regards Sim
07 May 2010
An invoice is a commercial document issued by a seller to a buyer, indicating the products, quantities and agreed prices for products or services that the Seller has already provided the Buyer with. An invoice indicates that, unless paid in advance, payment is due by the buyer to the seller, according to the agreed terms.
A bill is a document requesting payment for goods previously supplied. This presentation of a bill is common practice on the part of restaurants, credit card companies, utilities, and other service providers. The bill for something is the total price of all services and goods received but not yet paid for, and is presented in the expectation of immediate payment in full. If a bill is not paid, a collections company is usually given the responsibility of collecting the amount due and service is terminated. Under English law, a person who makes off without paying the bill, or who dishonestly secures a remission in the amount payable, commits an offence under the Theft Act 1978. When a company cannot pay its bills, it is said to be insolvent.
These two words are generally used interchangeably
CAclubindia
