Method of invoicing for service which receive 100% advance

Harish Desai (Director) (65 Points)

21 July 2017  

We offer Web Development Services which include Domain Registration, Hosting and Web Development etc.

Before GST regime, we used to send Invoice to customer in advance ie. before the services start. We get 100% advance in some services like domain registration and hosting and website maintenance.

In GST regime how to do this invoicing?

If we generate invoice but client refused to pay what would happen? Are we still supposed to pay and then ask for reimbursement if client doesn't pay. How can this situation be avoided? What would be the right method/system of invoicing?

My query

Let's say I raise an Invoice of Rs. 1180 (Rs. 1000/ + Rs. 180 (18% GST)) which is 100% advance on 18-7-2017 for service that would start on Aug 23, 2017. Client pays on Aug 22.


1) Am I supposed to upload invoice on Aug 10 and pay GST of Rs. 180/- on Aug 20 even though I have not received the payment from the client. 

2) What would happen if I pay GST but client cancels the order or just refuses to pay later. How can I recover Rs. 180/-

3) What if the service starts on Aug 23 and client pays on Aug 25.

4) In same invoice if one service starts on Aug 23 and other service starts on Sept 26, when and how do I generate Invoice or do I have to generate 2 separate invoices for service starting on Aug 23 and Sept 26.

Thanks in advance.