- What is Khata Billing and Why It Matters for GST Compliance
- How Khata Billing Handles Daily GST Invoice Limits
- Step-by-Step: Creating Your First GST-Compliant Invoice in Khata Billing
- Khata Billing Free vs Premium: Feature Comparison for GST-Ready Operations
- Real Business Example: How a Delhi Retailer Uses Khata Billing Daily
- Integrating Khata Billing with POS and Inventory Management
- Upgrading to Khata Billing Premium for Unlimited GST Invoicing
- Frequently Asked Questions
Khata Billing is a GST-compliant invoicing solution that helps Indian retail businesses generate legally valid invoices within the free plan's 10-invoice daily and 100-invoice monthly limits.
For shopkeepers, retailers and service providers across India, Khata Billing simplifies GST compliance through barcode-enabled invoicing, automatic tax calculation, and seamless integration with POS and inventory systems while keeping costs at zero for the free tier.
✅ Key Takeaways
- Khata Billing ensures GST compliance through automated tax calculation and e-invoice generation that meets legal requirements
- The free plan allows 10 invoices per day and 100 per 30-day period without any cost
- Barcode-based invoicing and POS features streamline daily retail transactions for small businesses
- GSTR-1 filing and Profit & Loss reports require Premium plan access for full GST compliance
- Unlimited invoicing and watermark-free printing are exclusive to the ₹1,499/year Premium plan
- Khata Billing integrates with POS systems to support up to 20 billing screens in Premium
- Small business owners can start with zero cost and upgrade only when they need unlimited GST invoicing
What is Khata Billing and Why It Matters for GST Compliance
Khata Billing is free GST invoicing software for Indian retailers that helps create compliant invoices and avoid GST filing errors for small businesses.
When you issue a GST invoice through Khata Billing, the system automatically assigns GSTIN, applies correct GST rates based on HSN and SAC codes, and formats the invoice with required fields like GSTIN, invoice number, and date, ensuring compliance with GST law.
This prevents common filing mistakes such as mismatched tax amounts or missing invoice details that could lead to penalties during GSTR-1 filing.
Khata Billing's free GST billing software supports up to 10 invoices per day and 100 in any 30-day period on its free plan, with basic themes and barcode generation for easy item identification.
The platform also syncs inventory and party balances, helping shopkeepers and traders maintain accurate records that simplify reconciliation and reduce audit risks.
For businesses needing advanced features like unlimited invoicing, detailed GST reports including GSTR-1 and Profit & Loss, and watermark-free invoices, the Premium plan at ₹1,499/year (₹999/year with code SAVE500) removes these limits while keeping the core GST compliance engine intact.
Khata Billing — free GST billing software ensures that every invoice generated meets GST requirements, from proper tax breakdown to correct invoice numbering, making it a trusted tool for MSMEs and retail traders across India.
See more about Khata Billing — free GST billing software.
How Khata Billing Handles Daily GST Invoice Limits
Khata Billing's free plan covers 10 invoices a day, up to 100 in any 30-day period, which shapes how shopkeepers plan their billing workflow.
At a busy Delhi kirana store, the owner typically processes 8-9 transactions before lunch and saves 1-2 for the afternoon rush, staying safely under the daily cap. Each invoice includes GST at 5% on grocery items, 12% on packaged snacks, and 18% on household goods, with amounts like ₹250 (5% GST ₹12.50) and ₹400 (12% GST ₹48). The total daily invoice value stays under ₹2,000, well within the 10-invoice limit while covering diverse stock like dal, biscuits, and soap.
Store owners often group similar items to reduce invoice count: a single ₹500 bill for 5 kg of rice at 5% GST (₹25) replaces five separate 1 kg invoices, efficiently using the daily quota. For larger retailers, splitting high-value sales into multiple smaller invoices with adjusted GST rates ensures compliance without exceeding limits. The system auto-generates barcodes and applies standard themes, letting owners focus on stock movement rather than manual entry. When the 100-invoice monthly ceiling approaches, owners review past transactions via the sales summary report and adjust future plans accordingly. Learn more strategies on the Khata Billing blog to maximize daily efficiency without hitting limits.
See more about Khata Billing blog.
Step-by-Step: Creating Your First GST-Compliant Invoice in Khata Billing
Creating your first GST-compliant invoice in Khata Billing begins with launching the app and selecting the "New Invoice" option from the home screen. Step 1: Enter the customer's GSTIN, which automatically pulls their name and address from the GST portal, ensuring accurate recipient details. Step 2: Add items by searching your product catalog; each item must have a correct HSN code, which Khata Billing displays during selection to avoid manual entry errors. Step 3: Verify the invoice date and the applicable GST rate for each item, as CGST, SGST or IGST will be calculated automatically based on your business location and interstate rules. Step 4: The system generates a unique barcode for the invoice; printing it on A4 paper allows easy scanning at your shop counter, streamlining checkout and record-keeping. Step 5: Review the total invoice value, including CGST, SGST and IGST components, and ensure the final amount matches your shop's billing counter receipt. Step 6: Tap "Print" or "Save as PDF" to issue the invoice, knowing that watermark-free delivery and unlimited invoicing are Premium features, while the free plan covers 10 invoices per day and 100 in any 30-day period. This workflow integrates seamlessly with Inventory & stock management, updating stock levels in real-time as items are billed, and supports thermal printer output for quick transactions at the point of sale.
See more about Inventory & stock management.
Khata Billing Free vs Premium: Feature Comparison for GST-Ready Operations
Khata Billing ensures GST compliance through precise invoice management, where the free plan limits daily and monthly invoice counts while Premium removes these barriers for seamless operations.
The free plan permits only 10 invoices per day and 100 in any 30-day period, requiring careful scheduling for high-volume retail or wholesale businesses, whereas Premium provides unlimited invoicing with no daily or monthly caps, allowing continuous GST-compliant transactions.
GSTR-1 filing and Profit & Loss reports, essential for transparent GST reporting, are exclusive to Premium, eliminating manual reconciliation work for shopkeepers and traders who need accurate return data directly from their billing records.
Watermark-free invoices, which remove Khata Billing branding for professional client presentations, are also Premium-only, whereas free plan invoices display the standard watermark that may affect business credibility with customers.
To generate GST-compliant invoices without restrictions, businesses can use the Free GST invoice generator for basic needs, but upgrading to Premium unlocks advanced GST report generation and watermark removal for truly seamless GST operations.
Real Business Example: How a Delhi Retailer Uses Khata Billing Daily
Ramesh, a Delhi shopkeeper, starts each day by opening Khata Billing on his phone. He uses the barcode scanner to scan items with barcodes already printed on his product labels. For example, he sells 7 packets of biscuits at ₹20 each and 5 soaps at ₹15 each, creating 12 invoice items. Since each scanned item counts as one invoice, he creates 12 invoices in this transaction. The free plan allows 10 invoices per day, so he saves 2 more for later in the day. By 10 am, he has used 10 of his 30‑day limit (10 invoices), remaining 90 for the rest of the month. After lunch, he adds another 5 invoices for customers buying snacks, bringing his daily total to 15. To stay within the 10‑invoice daily cap, he splits the 5 additional sales into two separate transactions, each with its own barcode‑based invoice. At the end of the day, he opens the basic sales summary report, which shows total sales of ₹380, GST of ₹63 (₹200 CGST + ₹43 SGST), and stock levels for biscuits and soaps. This daily workflow lets Ramesh stay fully compliant, use barcode scanning for speed, and never exceed the free plan’s 10‑invoice‑per‑day and 100‑invoice‑per‑30‑day limits.
Integrating Khata Billing with POS and Inventory Management
Khata Billing connects directly to your point of sale screens, allowing up to 20 billing stations in Premium to capture each sale in real time and generate GST-compliant invoices instantly. At the retail counter, the cashier scans items, and the system auto-creates an invoice with correct CGST, SGST, or IGST based on the HSN code, while syncing sales data to the central dashboard. Simultaneously, inventory management updates stock levels immediately — when a product is sold, quantity decreases across all linked devices, preventing overselling and supporting accurate stock valuation. This real-time sync eliminates manual reconciliation between POS and accounting, ensuring that every transaction reflects in the ledger without delay. For GST filing, the integrated system feeds data for GSTR-1 and other returns directly from the POS, so you only review and submit, reducing filing time. The free plan supports basic POS with 2 screens and limited inventory, while Premium expands to 20 screens and advanced stock features like assembled product tracking. With Khata Billing, you maintain a single source of truth for sales, inventory, and tax, making GST compliance seamless for Indian retailers.
Upgrading to Khata Billing Premium for Unlimited GST Invoicing
Khata Billing Premium at ₹1,499/year delivers unlimited GST invoicing for businesses that exceed the free plan's 10 invoices per day and 100 in 30‑day limit, removing the risk of halted transactions during peak periods.
Businesses gain access to advanced GST reports — Profit & Loss, GSTR‑1, GSTR‑2 and Party Ledger — that calculate tax liabilities automatically and support accurate input tax credit claims without manual spreadsheet work.
The Premium plan also expands Point of Sale capabilities, offering up to 20 billing screens, watermark‑free invoices, one‑click duplication, and fully customizable barcode printing for thermal or standard printers, streamlining checkout and inventory tracking.
Additional benefits include unlimited bank and cash accounts, three printable custom fields, and bulk import of up to 2,000 items or parties, enabling seamless scaling as sales volume grows.
For retailers, wholesalers and service providers, the combination of unrestricted invoicing, comprehensive GST reporting, and enhanced POS tools translates into faster billing cycles, reduced compliance errors, and more time to focus on core business activities rather than administrative bottlenecks.
Khata Billing delivers GST-compliant invoicing that fits seamlessly into daily retail operations, eliminating manual errors and ensuring accurate tax reporting for small businesses across India.
Experience the ease of barcode-driven invoicing, real-time stock tracking, and seamless POS integration to streamline billing and boost efficiency. Start free with Khata Billing