regarding invoice issues with vat

This query is : Resolved

Bhargav (Querist)
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27 June 2016 I am 1st Gen entrepreneur and started a private limited company, taken some money for supply of equipment from a partnership firm last academic year, I have not registered for vat nor service tax till date, goods are delivered but invoices are pending from our side, can you help me out. I bought all the equipment from third party and delivered, I have my invoices of purchase, but I didn't file any input vat sort of things as I had not taken vat nor service tax . My sincere thanks in advance if you can clear how to prepare invoices now.

Rupesh Jain

Rupesh Jain (Expert)
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28 June 2016 you can sale the goods w/o VAt number upto the limit under the state in which you are doing business, every state vat give the sale amount after that you have to apply for VAT registration.

Bhargav

Bhargav (Querist)
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01 July 2016 Thanks for sharing your thoughts, Even though we take vat now, we can file only for last 3 months, but here it was almost 10 months, so can I issue a direct invoice without vat filing anymore as I have any way not taken any input vat credit, iam ready to sacrifice, I just want to issue invoices to my client for closing the IT returns filing

Aashok Kumar Sharma online

Aashok Kumar Sharma online

(Expert)
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20 July 2025 Here’s what you can do in your situation regarding VAT and invoices:

VAT Registration Timing
Generally, if your turnover exceeds the VAT threshold limit for your state, you must register for VAT and issue VAT-compliant invoices.
Since you weren’t registered earlier and the turnover crossed the limit, you should register for VAT immediately.
Issuing Invoices for Past Sales (Before VAT Registration)
For the period before VAT registration, technically, you were not authorized to charge VAT or issue VAT invoices.
You can issue regular invoices without VAT for those earlier transactions. However, you should clearly mention on those invoices that VAT was not applicable as you were not registered.
Filing VAT Returns
Usually, VAT authorities allow filing returns from the date of registration only.
Past sales before registration are considered exempt from VAT since you were unregistered, but you can’t claim input VAT on purchases before registration.
You might face some penalties or interest if your turnover crossed the threshold and you delayed registration, but this varies by state and situation.
Regarding Your Client and IT Returns
You should issue invoices now (without VAT) to your clients for closing your accounting and IT returns.
Clearly state the nature of the invoice (non-VAT) due to the absence of registration at that time.
Keep proper records to explain the situation if needed.
Going Forward
Register for VAT immediately to comply with law going forward.
Start issuing VAT-compliant invoices after registration and file VAT returns timely.
Summary: You can issue normal invoices (without VAT) for past sales when you were not registered. Register now to avoid further non-compliance. Inform your clients accordingly.

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