# Delivery Challan
## When is a Delivery Challan Used?
A tax invoice is normally required at the time of removal of goods. But in two situations, the invoice cannot or need not be issued at that moment — so a delivery challan is used:
1. Quantity is unknown at the time of removal (e.g., liquid gas decanted later).
2. Movement is for a reason other than supply — examples:
- Sending goods for job work
- Sending artist work to an exhibition
- Goods sent on sale or approval basis
The tax invoice is issued later (e.g., when quantity is determined or when sale is confirmed).
## Documentation Requirements
- Delivery challan must be prepared in triplicate (same as a tax invoice):
- Original — for consignee
- Duplicate — for transporter
- Triplicate — for consignor
- The e-way bill must indicate that goods are moved on a delivery challan (not on an invoice).
## Special Case — CKD / SKD / Goods Sent in Batches or Lots
When goods are transported in Completely Knocked Down (CKD) or Semi Knocked Down (SKD) condition, or in batches/lots:
1. Supplier must issue complete tax invoice before the 1st dispatch.
2. For every consignment, a delivery challan must be issued along with a copy of the complete invoice.
3. Original invoice is sent with the last consignment / lot.
This rule prevents revenue leakage when one supply moves in pieces across multiple shipments.