Free Delivery Challan Generator

GST rules (Rule 55 of the CGST Rules) let you move goods under a delivery challan, instead of a tax invoice, when the movement isn't a sale yet or the invoice can't be raised at dispatch. Typical cases:

• Sending goods to a job worker for processing, and receiving them back
• Supply on approval or sale-or-return, where the buyer may not keep the goods
• Moving stock to another godown or branch under the same GSTIN
• Taking goods to an exhibition, trade fair or for testing and repair
• Goods whose exact quantity isn't known at dispatch, such as liquid gas
• Machinery shipped in parts or batches, with the invoice raised before the first lot

A delivery challan needs a serial number and date, the name, address and GSTIN of the consignor and consignee, the HSN code, description, quantity and taxable value of the goods, the tax rate and amount where the goods are going to a buyer, the place of supply for inter-state movement, and a signature.

It's issued in triplicate: the original for the consignee, the duplicate for the transporter and the triplicate for the consignor. An e-way bill is generally needed when the consignment value exceeds ₹50,000, and for some movements (such as inter-state job work) regardless of value, so check the e-way bill rules before dispatch.

A branch in another state, or with its own GSTIN, counts as a separate person under GST, so a transfer to it is usually a taxable supply that needs a tax invoice rather than a challan.

An invoice records a sale and asks for payment, and it's the document that carries the GST liability. A delivery challan only records that goods have moved, and why. If goods sent on approval are accepted, or goods are sold after being sent under a challan, raise a tax invoice for them - generally when the sale happens, and for goods on approval no later than six months from when they were sent.