B2C Large invoices in GSTR-1

The three conditions

An invoice goes to Table 5 (B2CL) only if all three are true:

1. The buyer is unregistered. No GSTIN on the invoice.
2. The sale is inter-state. The place of supply is in a different state or union territory from your registration, so IGST is charged.
3. The invoice value is above the limit. The limit is currently ₹1 lakh, lowered from ₹2.5 lakh in 2024. Invoice value means the total including tax. Confirm the current figure on gst.gov.in before relying on it.

Fail any one condition and the sale is either B2B (Table 4) or B2C Small (Table 7). The full sorting is in B2B vs B2C invoices in GSTR-1.

Why these sales are reported invoice-wise

Tax on an inter-state sale to a consumer belongs to the state where the goods are consumed. Larger invoices are reported individually so that the place of supply can be checked and the IGST settled with the right state. It also gives tax officers a trail for high-value retail sales across state borders, such as furniture, appliances, jewellery or machinery bought by unregistered buyers.

Worked example

A Bengaluru electronics dealer (Karnataka) in January:

Only the home theatre goes to Table 5: unregistered, inter-state, above ₹1 lakh. For it you report invoice number, date, invoice value, place of supply (33-Tamil Nadu), rate, taxable value ₹1,20,000 and IGST ₹21,600. The laptop to Chennai is inter-state but below the limit, so it joins the Tamil Nadu line in Table 7. The refrigerator is above ₹1 lakh but within Karnataka, so it is B2CS too.

What you need on the invoice

For an unregistered buyer, the tax invoice should carry the buyer's name and delivery address with the state name and state code when the value is ₹50,000 or more. For B2CL this is not optional in practice: without the delivery state you cannot decide whether the sale is inter-state at all. A common checklist at the billing counter:

• Customer name and mobile number
• Full delivery address including PIN code and state
• Whether the customer has a GSTIN (if yes, it is not B2C)
• Delivery mode: shipped by you, by courier, or carried by the customer

The state code list is in GST state codes.

Credit notes and amendments

If a B2CL sale is returned or reduced, the credit note is reported in Table 9B under the unregistered section (CDNUR), against the original invoice's place of supply. If you made an error in a filed B2CL invoice, such as a wrong place of supply or value, it is corrected through the B2CL amendment table in a later GSTR-1, within the time limit. If an invoice was wrongly put in Table 5 when the buyer actually had a GSTIN, the correction is to report it as B2B, so that the buyer gets the credit.

A monthly check before filing

1. Filter the month's sales for parties with no GSTIN.
2. From those, keep invoices where the delivery state differs from your registration state.
3. From those, keep invoices with total value above the current limit. This is your Table 5 list.
4. Check each one for a delivery address with state, and confirm IGST was charged.
5. Everything else without a GSTIN should be in the Table 7 summary, by state and rate.

For most retailers this list is short, often a handful of invoices a month, so checking each one by hand takes minutes.

Common mistakes

• Using taxable value instead of invoice value to test the limit. A ₹90,000 sale at 18% has invoice value ₹1,06,200, which is above ₹1 lakh.
• Putting high-value intra-state retail sales in Table 5. Intra-state B2C is always Table 7.
• Charging CGST + SGST on a sale delivered to another state because the customer paid at your counter. Look at where the goods are delivered.
• Splitting one sale into two invoices to stay under the limit. That misreports the transaction and is easy to spot.

This is general information, not tax advice.

B2C Large in the Cashflow OS GSTR-1 view

Cashflow OS prepares GSTR-1 from your TallyPrime data with B2C Large as its own tile. Opening it lists each invoice with the customer's state, so a missing state or a sale that should be B2B is easy to catch. The JSON is downloaded and uploaded on the GST portal by you or your accountant; Cashflow OS does not file it.