GST Exempted Sales
Sales made to an exempted customer are known as exempt sales. GST customer type shall be selected as Exempted. No GST is computed on such transactions.
Process of sale to unregistered customer has been explained in this document.
Create a sales invoice or credit memo
- Choose the icon, enter Sales Invoice or Sales Credit Memo, and then choose the related link.
- Select Customer on Sales Invoice or Sales Credit Memo header, GST customer type should be Exempted.
- Select G/L Account or Item Code on Sales Invoice or Sales Credit Memo line.
For example, there is a sales invoice and a sales credit memo for INR 10,000.
GL Entries for Exempted Sales, will be as following:
Particulars Amount Customer Account 10,000 Sales or Services Account -10,000
GL Entries for Sales Credit Memo for Exempted Sales, will be as following:
Particulars Amount Customer Account -10,000 Sales or Services Account 10,000