Sale Bill to State Government
This query is : Resolved
24 January 2021
Dear Sir/Mam,
I have business of Construction and I deal in Bricks, Cement, Sand, Steel etc.
Till last month, i was doing business with private sector and this month I got a project of State Government. Thus, please guide, How to raise sale bill to state government ? Is it treated similar like private sector and billing will be same as of private sector company ?
Further, I have my company in Uttar Pradesh and i got project from Haryana Government.
Please guide.
I have business of Construction and I deal in Bricks, Cement, Sand, Steel etc.
Till last month, i was doing business with private sector and this month I got a project of State Government. Thus, please guide, How to raise sale bill to state government ? Is it treated similar like private sector and billing will be same as of private sector company ?
Further, I have my company in Uttar Pradesh and i got project from Haryana Government.
Please guide.
24 January 2021
You have to raise tax invoice for Contract of the Govt also and it is the same as for private sector buyer.
25 January 2021
Thank You Sir. Further Please guide, will it shown to interstate sale to unregistered dealer ?
22 July 2025
Here’s how it works when you sell to a **State Government project** in a different state (like your UP-based company selling to Haryana Govt):
---
### 1. **Raising Sale Bill / Tax Invoice**
* Yes, you must raise a **tax invoice** just like you do for private sector customers.
* The invoice should clearly mention:
* Your GSTIN
* Invoice number and date
* Description of goods/materials supplied
* Quantity, rate, amount
* GST rate and amount separately
* Place of supply (which will be Haryana in your case)
* Recipient details (State Government department)
---
### 2. **Interstate Sale**
* Since your company is in UP and the buyer (Haryana Govt) is in another state, this is an **interstate supply**.
* You need to charge **IGST** (Integrated GST) on the invoice, not CGST/SGST.
* This sale will be treated as **interstate sale to a registered recipient** (assuming the Govt department has a GST registration, which usually they do).
---
### 3. **Sale to Unregistered Dealer?**
* Since this is a government department, generally it will be **registered under GST**.
* If for some reason the government entity is **unregistered**, you still treat it as interstate supply, charge IGST, and report it as sale to an unregistered dealer in your GST returns.
* But most state government departments are registered entities, so verify their GSTIN before invoicing.
---
### Summary:
| Aspect | Treatment |
| ------------------------ | --------------------------- |
| Invoice Type | Tax Invoice |
| Tax | IGST (Interstate sale) |
| Recipient GST Status | Usually Registered (verify) |
| Reporting in GST Returns | Interstate outward supplies |
---
**Tip:** Always ask for the government department's GSTIN before invoicing. It helps in correct GST filing and claim of input credit for the buyer.
---
If you want, I can help you draft a sample tax invoice template for this scenario!
---
### 1. **Raising Sale Bill / Tax Invoice**
* Yes, you must raise a **tax invoice** just like you do for private sector customers.
* The invoice should clearly mention:
* Your GSTIN
* Invoice number and date
* Description of goods/materials supplied
* Quantity, rate, amount
* GST rate and amount separately
* Place of supply (which will be Haryana in your case)
* Recipient details (State Government department)
---
### 2. **Interstate Sale**
* Since your company is in UP and the buyer (Haryana Govt) is in another state, this is an **interstate supply**.
* You need to charge **IGST** (Integrated GST) on the invoice, not CGST/SGST.
* This sale will be treated as **interstate sale to a registered recipient** (assuming the Govt department has a GST registration, which usually they do).
---
### 3. **Sale to Unregistered Dealer?**
* Since this is a government department, generally it will be **registered under GST**.
* If for some reason the government entity is **unregistered**, you still treat it as interstate supply, charge IGST, and report it as sale to an unregistered dealer in your GST returns.
* But most state government departments are registered entities, so verify their GSTIN before invoicing.
---
### Summary:
| Aspect | Treatment |
| ------------------------ | --------------------------- |
| Invoice Type | Tax Invoice |
| Tax | IGST (Interstate sale) |
| Recipient GST Status | Usually Registered (verify) |
| Reporting in GST Returns | Interstate outward supplies |
---
**Tip:** Always ask for the government department's GSTIN before invoicing. It helps in correct GST filing and claim of input credit for the buyer.
---
If you want, I can help you draft a sample tax invoice template for this scenario!
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