Affect of GST in India on invoicing

Tejasvi_Bhat
Tourist
12 0 3

Hello. This is for all the Indian stores here. Just wanted to check if anyone has an idea about how the invoicing through Shopify will change from July 1st?

Do we have a facility in shopify to show the split between CGST and SGST/ IGST? How can this be done?

Or is needed to be done for a B2C transaction? 

P.S dont mind the silly questions. completely ignorant about tax questions.

Thanks.

Purayati.com

Replies 36 (36)
Hemant_Chauhan
Shopify Partner
20 0 2

Hi,

I also have same issue regarding GST Please post solutions.

Hemant_Chauhan
Shopify Partner
20 0 2

Hi Tejasvi,

I got solution for GST .

rohitmishra
Shopify Staff
Shopify Staff
21 1 13

Hi Hemant, 

Could you share how you are handling the transition to GST for other merchants?

Product Lead, Global Commerce and Sales Tax
Satya_Bhan
Shopify Partner
2 0 2

Hi Hemant

Could you please let us know how are you handling it? It would be really helpful.

Thanks,

Shop_Impression
New Member
1 0 0

can u share the solution

Abhishek_Bardia
New Member
4 0 0

Hi, Did anybody else figure out??

 

We do have options of figuring out taxation by state, so we can always write IGST for all states other than your own state. 

 

 

rohitmishra
Shopify Staff
Shopify Staff
21 1 13

Hi everyone,

We encourage you to talk to your tax consultant to make sure your business is registered and compliant with the GST.

We have put up a guide at https://help.shopify.com/manual/taxes/india-gst To summarise, existing merchants should follow the following steps:

  • Find out what tax rates apply to your products
  • For each applicable tax bucket, create a hidden collection and assign your products to it.  
  • Change tax label from VAT to GST
  • Override taxes for each collection if applicable
  • Talk to your shipping/invoicing app partner or a Shopify expert to generate GST compliant tax invoices 

 

Product Lead, Global Commerce and Sales Tax
ESolvify_Soluti
New Member
1 0 2

Hello Rohit,

I changed the label from VAT to GST but now I want to change it to CGST. However, I am not able to locate the field anywhere.

Can you please mention exact location where I can change federal tax label from GST to CGST?

Thanks.

 

 

 

 

Satya_Bhan
Shopify Partner
2 0 2

Yeah that would take care of this issue. My suggestion to SHopify is:

1. Please allow the default federal name to be CGST 

2. Sellers can set default CGST Tax rate @9%

3. For all interstate orders, sellers can override the default CGST with IGST@18%

4. For intrastate, sellers add SGST @9% to the default CGST@9% ( this will allow sellers to diplay the 2 separate taxes clearly as required by Govt.)

5. For Union Territories sellers can add UTGST @9% to the default CGST@9% ( this will allow sellers to diplay the 2 separate taxes clearly as required by Govt.)

 

It's really a very small change that Shopify need to make - either set the default name to CGST OR allow sellers to make change to the default Tax name.

Karan_Agrawal
New Member
10 0 0

Hi,

Have a look at the Sufio app and see if it works for you:
http://sufio.com/shopify/invoice/india

Thanks,

Karan

Tejasvi_Bhat
Tourist
12 0 3

Sufio was an option I considered but it didn't look like they had a ready update and as I needed it urgently I went with following

Get a QuickBooks.in account. Costs 5k Indian rupees for an annual plan though they were giving some offer last week. Next install onesaas app on Shopify. This costs 29 USD per month for 300 transactions. 49 us for next plan. Using onesaas you sync your products and order to QuickBooks and then use quickbooks' gst updated invoice feature to get your invoice. 

It's added cost but I couldn't see any other option till Shopify provides an update to it's store or the order printer app. 

Karan_Agrawal
New Member
10 0 0

Please guide us on the same, i.e. invoicing and charging IGST, CGST & SGST.

Sufio
Shopify Partner
145 1 54

Hi everyone,

We have put together a short GST guide for Shopify stores in India, it should help to correctly set up taxes in your Shopify store.

Once all the tax settings are correctly configured, our invoicing app Sufio can help you to issue correct invoices compliant with the new Indian GST legislation.

Hope this helps!
Katy, Sufio

Adam_cashier
New Member
1 0 0

Hi Hemant, 

Could you guide how to handling the GST for invoicing and charging????

Hemant_Chauhan
Shopify Partner
20 0 2

Hi,

I want to ask how we can charge GST on shipping in india.

Actually in our business we have all 4 taxes 5%,12%,18% and 28% .

according to rules on all products we have to charge shipping according to there GST (individual GST of product ). So can anyone solve this problem.

I am using order printer for print invoices. so can we do by liquid. Because there is not any option regarding this in shopify.

In shopify only one tax can apply on Shipping.

rohitmishra
Shopify Staff
Shopify Staff
21 1 13

Hi Everyone, 

I want to share a few updates here:

1. For new shops, we are now setting country tax label as CGST @9% and then SGST @9% added to federal tax for Karnataka. For all other states, we set tax as IGST @18% which replaces federal tax. You can replace the configuration done for Karnataka by your own shipping state. If you have products that fall under multiple tax slabs, you can create a hidden collection and use the above method to set tax overrides. By doing this, all your taxes will be correctly available at a line item level. Existing shops can also use this setup. However, you would need to change your tax label from VAT/GST to CGST in liquid. 

2. We have also made the HS tariff code field on product page available to all merchants. It was earlier restricted only to US merchants who use Shopify Shipping. This field does expect you to use a minimum 6 character HS code. We would encourage you to use this as you would need to set this if you are doing international shipments. 

3. We have worked with Sufio to make sure that you have an invoicing solution which you can use if you are unable to customise order printer on your own. You can find more details about it at: https://sufio.com/articles/shopify/taxes/gst-india-shopify/

We continue to work on further changes which can reduce the configuration required for taxes on merchants' end. 

Best,
Rohit 

 

 

 

 

Product Lead, Global Commerce and Sales Tax
rohitmishra
Shopify Staff
Shopify Staff
21 1 13

Hi Hemant, 

We do only support one tax rate for shipping. It will typically pick up from your default country rate, but you can override it only once, unlike products which can have multiple overrides via collections. 

Does your logistics carrier charge you different GST rates for different category of products?

Rohit

Product Lead, Global Commerce and Sales Tax
Hemant_Chauhan
Shopify Partner
20 0 2

Hi,

Recently i am not using online store for my business. I am creating order for my off line store.

In which we are shipping by own.and according to GST rule we have to apply taxes on shipping according to to basis of product i can send you sample for that.

Basically i am using order printer for print my invoices and i create liquid in which shipping rate and GST are showing for individual product.

But it could't add in total tax and total price.

 

Hemant_Chauhan
Shopify Partner
20 0 2

Basically i have made what i want the only thing is that i want to add this shippping add in 2nd table which will show total 9%,or 14% or so on add which is charge in bill.

So, any onew please help me with liquid.