by Delivery Challan
A delivery challan is a document that contains details of the products in that particular shipment. It is issued at the time of delivery of goods that may or may not result in a sale.
The delivery challan is issued in the following cases:
- Where goods are transported on a sale or return basis.
- Where goods are transported for job work.
Businesses using delivery challans
- Businesses that are involved in trading and manufacturing (especially the FMCG industry as a whole).
- Businesses that have multiple warehouses where the transportation of goods between warehouses is a regular occurrence (textile, clothing and apparel industries).
- Businesses that supply goods (furniture/home furnishings industry).
- Businesses that are wholesalers (electronics and electrical goods).
Contents of a delivery challan
- Name, address and GSTIN of the consignor
- Name, address and GSTIN of the consignee
- HSN code
- Description of the goods being delivered
- Quantity and rate of the goods along with the amount in figures and words
- Signature of the supplier/authorised person
- Date of the challan
- Serial number of the challan
- Place of supply
- Amount of tax, where it is applicable
Rule 55 (2) of the CGST Rules, delivery challans must be issued in three copies as follows:
- For the buyer to be marked as “Original”
- For the transporter to be marked as “Duplicate”
- For the seller to be marked as “Triplicate”
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