A GST invoice is generated by a supplier or seller of goods and services to the buyer. The document contains purchase information and details of the supplier and buyer.
According to a circular issued by the Ministry of Finance for the identification of fake GST invoices, a fake GST bill is generated without an actual supply of goods or services or GST payment.
Individuals can identify a fake GST invoice in two ways: by checking the GSTIN format and by checking the authenticity of GSTIN on the GST website.
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Here’s how to check authenticity of GST invoice
Step 1: Head to the Goods and Services Tax website.
Step 2: Click on the ‘search taxpayer’ option.
Step 3: Click to ‘search by GSTIN/UIN’ from the drop-down menu.
Step 4: Enter the GSTIN number mentioned in the GST invoice.
If the GSTIN number is authentic and valid, the details of the supplier will be displayed on the GST portal.
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Understanding GSTIN format
Individuals can also check the GSTIN format to identify a fake GST invoice.
The first two digits of the 15-digit GSTIN number assigned to a supplier indicate the state code. The next ten digits are the PAN number. The 13th digit is the entity number of the pan card holder in the state and the 14th digit is the letter ‘Z’.
The last digit is the checksum digit. Any mismatch in the combination helps in identifying discrepancies in the GST invoice.
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