In short
A contractor's invoice, often a running account (RA) bill, shows the work order or contract reference, the bill number and period, the items of work with quantity, unit and rate, work done to date and in this bill, deductions such as retention money and advance recovery, GST on the works contract (usually 18%, SAC under 9954), and the net amount payable. Business clients may also deduct TDS on contract payments.
Fields to include
- Your firm, address, GSTIN and PAN
- Client's name, site address and GSTIN
- Work order or contract number and date
- RA bill number and the period covered
- Items of work: description, unit, quantity, rate and amount
- Work done to date, previously billed, and this bill
- Deductions: retention, advance recovery, materials supplied by the client
- SAC (under 9954 for construction services), GST and net payable
When to use it
- Civil, electrical, plumbing and interior contractors
- Running account bills on long jobs
- Labour and material contracts with retention
How to make one online
Open the free invoice maker
Tap "Make this invoice free". It opens in your browser; no signup.
Fill in the fields
Type your details, your customer's and the items. Totals and the CGST, SGST or IGST split are worked out for you.
Download or send
Download the PDF to print or share. Sign up free to save it and send it on WhatsApp or email.
Frequently asked questions
What GST rate applies to a works contract?
Most works contracts for businesses are taxed at 18%. Some contracts, such as certain government and affordable housing works, have other rates; check your contract with your CA.
Is retention money taxed?
GST is charged on the full value of the work billed. Retention is a deduction from what the client pays now, not from the taxable value.
Will the client deduct TDS?
Usually yes. TDS on contract payments is 1% for an individual or HUF contractor and 2% for others, above the yearly thresholds. Use the free TDS calculator to check.
More questions? See the Receipt Book FAQ.
Sources
This page explains the rules in general terms as of November 2026. It is not tax or legal advice; check your case with your CA.
Formats for other industries
- Consultant invoice format For consultants and advisers: retainer or hourly fees, SAC 9983, 18% GST, TDS note. Free, no signup
- IT services invoice format For software, web and IT services: milestones, hours, SAC 9983, 18% GST, export without IGST. Free, no signup
- Interior design invoice format For interior designers: design fees, stages, materials and execution billed separately. Free, no signup
- Photographer invoice format For photographers and videographers: shoot fees, edits, albums and travel on one bill. Free, no signup
- Tuition fee receipt format Fee receipt for tuition and coaching: student, course, month and payment mode. Free, no signup
- Repair service invoice format For repair and maintenance: labour and spare parts as separate lines with their GST. Free, no signup
- Commercial rent invoice format Monthly rent invoice for shops and offices: GST at 18%, reverse charge when unregistered. Free, no signup
- Transport invoice format For transporters and GTAs: consignment note, route, freight and the GST option. Free, no signup
- Medical store bill format Pharmacy bill: batch, expiry, HSN 3004, MRP and 5% GST on most medicines. Free, no signup