Question 1

Does a small Kirana grocery store need mandatory GST registration?

Accepted Answer

In India, businesses exclusively engaged in the supply of goods are exempt from GST registration if their aggregate annual turnover does not exceed ₹40 Lakhs (₹20 Lakhs in Special Category States), provided they only make intra-state sales. If your sales are below this limit, you do not need GST and can issue simple retail cash memos or Bills of Supply.

Question 2

What items in a Kirana store are taxed at 0% (Nil GST)?

Accepted Answer

Unbranded or non-pre-packaged staple food items such as loose wheat/atta, loose rice, loose pulses/dals, fresh milk, curd/buttermilk, eggs, salt, fresh fruits, vegetables, and unprocessed grains attract 0% GST (Exempt). However, pre-packaged and labelled pulses, flour, and curd in sealed packets carry 5% GST.

Question 3

How does the 1% GST Composition Scheme work for Kirana stores?

Accepted Answer

Eligible grocery retailers with annual turnover up to ₹1.5 Crore can enroll in the Composition Scheme under Section 10 of the CGST Act. Under this scheme, the store pays a flat tax of only 1% of total turnover (0.5% CGST + 0.5% SGST) and files a simple quarterly statement (CMP-08). Composition dealers cannot charge GST from customers and must issue a 'Bill of Supply' instead of a Tax Invoice.

Question 4

When should a Kirana store issue a 'Tax Invoice' vs a 'Bill of Supply'?

Accepted Answer

Issue a Tax Invoice if you are a regular registered taxpayer selling taxable items (like edible oils, branded snacks, soaps @ 5%, 12%, or 18%) to B2B or retail buyers where GST is separately charged. Issue a Bill of Supply if you are a Composition dealer OR if you are selling 100% exempt goods (like unbranded rice, salt, fresh milk). SwiftGST allows 1-click toggling between Tax Invoice and Bill of Supply (Non-GST mode).

Question 5

Can Kirana stores issue retail bills without the buyer's GSTIN or address?

Accepted Answer

Yes. For Business-to-Consumer (B2C) retail sales to walk-in customers, the buyer's GSTIN is not required. You can simply leave the customer name as 'Walk-in Retail Customer' or 'Cash Sale'. Under GST rules, recipient address is only mandatory for B2C invoices if the invoice value exceeds ₹50,000.

Question 6

Can I collect instant UPI payments by printing a QR code on the grocery bill?

Accepted Answer

Yes! By entering your store UPI VPA (e.g. yourstore@oksbi or 9876543210@paytm), SwiftGST generates an embedded payment QR code directly onto the printed bill or PDF. Customers simply point their PhonePe, Google Pay, or Paytm camera at the paper bill and confirm the exact balance.

HSN Code	Product Description	GST Slab	Key Rule
1101 / 1006	Wheat Flour (Atta) & Rice	0% (Nil) / 5%	0% if loose/unbranded; 5% if pre-packaged & labelled
1512 / 1515	Edible Sunflower, Mustard & Groundnut Oil	5%	All edible cooking oils attract 5% GST
2501	Iodized Table Salt	0% (Nil)	Completely exempt from GST
0405	Butter & Ghee	12%	Processed dairy products (butter, ghee, cheese)
3401 / 3402	Soaps & Washing Detergent Powders	18%	Standard cleaning and personal care FMCG products

Kirana Store Bill Maker & Retail GST Generator

How to Bill Under GST as a Kirana Store & FMCG Retailer

Step-by-Step Kirana Billing & GST Rules

Classify 0% Exempt vs 5% Taxable Groceries

Understand the 1% Composition Option

Simplified Walk-in B2C Cash Memos

Print Dynamic UPI QR Code on Receipts

Common GST Slabs for Daily Grocery & Kirana Products

Frequently Asked Questions (Kirana Store & Retail GST)

Need to check HSN codes for FMCG or calculate reverse GST?