Pharma Distributor Billing Software

Last updated: 23 October 2026

Most of a pharma distributor's day is billing. Every order has to be picked by batch, priced at the right rate, taxed correctly and sent out, usually on credit. ValueSoft is Windows software from Kala Softech that does this billing together with stock, accounts and GST. This page explains what distributor billing software must do, how ValueSoft does it, which rules apply, and what it costs.

Who is this page for?

C&F agents and stockists have their own pages: C&F agent software and stockist software. Every pharma module is listed on pharma wholesaler and distributor software.

What must pharma distributor billing software do?

In plain words: it makes a correct GST bill for medicines while tracking which batch left your godown, when it expires, what it cost and who still owes you for it. A distributor needs this on every line:

• Batch and expiry. Each line carries the batch number, expiry date and MRP of the exact stock you sent.
• Two trade rates. PTS (price to stockist) is what a stockist or distributor pays the company. PTR (price to retailer) is what a chemist pays. Your margin sits between the two. Our PTR/PTS calculator shows the sums.
• Schemes. Free or deal quantity and more than one discount on the same line.
• GST. HSN code, CGST and SGST or IGST, and the e-Invoice and E-Way Bill when the law asks for them.
• Drug-law details. The particulars your wholesale drug licence asks for on every sale memo (see the rules section below).
• Credit control. Outstanding bill by bill, due dates and a credit limit for every chemist.
• Returns. Expired and broken stock coming back from chemists, and claims going back to the company.

How does batch-wise billing work in ValueSoft?

ValueSoft keeps stock batch by batch, so every bill line carries the batch, expiry, MRP and rate of what you are sending. When you pick an item, ValueSoft offers the batch that expires first. This is FEFO (first expiry, first out): older stock leaves before newer stock. While you bill, the screen also shows:

• Product history and the last deal with this party, so you bill on the terms you agreed.
• The party's recent buying: the last 30 days' sales, item history and profit per product.
• Warnings when an item is going out at a low margin or is close to expiry.

Free items, discounts and products short-listed for the next order go on the same screen. ValueSoft keeps two sale rates (PTS and PTR) on each item and can work out the sale rate from your margin. Discounts can be set item-wise, party-wise or company-wise, so a hospital and a small chemist get different terms without anyone changing rates by hand.

Your staff can open any number of sale, purchase and report windows at once. If a chemist calls in the middle of a bill, open a second bill, take the order and go back. Bills print with your logo, signature and watermark on laser, inkjet or dot-matrix printers.

Can orders from salesmen and chemists come straight into billing?

Yes, through ValueSoft's Android apps. With the CSR app, salesmen book party-wise orders with scheme and discount, see live stock with batch and expiry, and check the chemist's ledger and outstanding before they promise anything. With the eRetail app, chemists order from their own phones at any hour, check their dues and download their invoices. Orders reach the office without re-typing, and bills can be made from them automatically.

ValueSoft's dispatch flow then follows each order through printing, arranging the goods, bill audit, packing and delivery, and customers and staff can see its status. The apps exchange data with ValueSoft through Kala Softech's server, so they need internet. Read more on the salesman order app page.

How do company purchase bills get into ValueSoft?

Typing a long purchase bill from a company is slow and easy to get wrong. ValueSoft imports supplier invoices from CSV, Excel or PDF files with a one-time mapping for each supplier's format, so the next bill from that supplier comes in without typing. You can map a new supplier's format yourself.

The purchase screen has the manufacturer's details and flexible discount columns. PTS and PTR can be worked out from the margin you enter. You can record short supply, see the purchase history of any item and merge several invoices into one. More on the purchase import page.

How does ValueSoft handle expiry, breakage and claims?

ValueSoft's near-expiry reports list stock expiring in 30, 60 or 90+ days, for all items or company by company, and the billing screen warns you before you sell a near-expiry batch.

When chemists send back broken or expired stock, ValueSoft records the damage received from each party and shows what is settled and what is pending. You can issue a slip or a credit note, merge several memos, and take your own expired stock out with the self-breakage option. Every product has a goods ledger and a breakage ledger with bill, party and expiry details. With the company, breakage, expiry and scheme claims are tracked until they are settled. More on the batch and expiry tracking page.

How do you keep track of money owed by chemists?

Most distributor sales are on credit. ValueSoft keeps outstanding bill by bill, adjusted automatically or by hand. It shows outstanding area-wise for customers and suppliers, and gives a due-date report. You can set a credit limit and credit days for each party and see each customer's average payment period, so you know who pays on time and who needs a reminder.

Bills, outstanding reports and ledgers can be shared on WhatsApp, and SMS (including bulk SMS) can go out for bills, payments received and dues. Cheques print from the software. See WhatsApp billing.

What GST work does ValueSoft do for a distributor?

• Separate input and output GST ledgers, with reverse charge (RCM) entries.
• GSTR-1 export to Excel, CSV or JSON, or file GSTR-1 and GSTR-3B straight from the software.
• GSTR-2A and GSTR-2B reconciliation with your purchases, for one month or many (see GSTR-2B reconciliation).
• e-Invoice from the bill: ValueSoft registers B2B invoices, credit notes and debit notes with the Invoice Registration Portal (IRP) and prints the IRN and QR code.
• E-Way Bill from the same bill (see E-Way Bill software).
• An internal audit that checks your data and supplier GSTINs before you file.
• Export of accounting data to Tally if your CA works in Tally.

GST reports, accounting, e-Invoice, E-Way Bill and auto GSTR-2 reconciliation are in the Mini, Lite, Plus and Max plans. The Basic plan does not have them.

Which reports does a distributor use every week?

• Profit bill-wise, party-wise and company-wise.
• Product sale summary with current stock, by company or by area.
• Stock and sales statements for the company's sales representatives, and purchase-invoice-wise sale tracking.
• Stock value at purchase price, sale price or MRP.
• Schedule H, H1 and narcotics reports.

Reports export to Excel, PDF or image, and the eOwner app (from ₹4,000 a year with GST) shows sales, stock, ledgers and outstanding on your phone.

Which rules apply to a pharma distributor's bills?

The main rules as of 23 October 2026, in short. This is not legal advice; check details with your CA. Official sources are listed at the end.

GST rate on medicines

The GST rate changes decided by the GST Council took effect on 22 September 2025. Since then, all drugs and medicines carry 5% GST, except those notified at nil rate. If your item master still shows an old rate, correct it. ValueSoft works out CGST and SGST, or IGST, on each bill automatically.

e-Invoice

You must issue e-Invoices for B2B sales if your aggregate turnover was above ₹5 crore in any financial year from 2017-18 onwards (Notification 10/2023-Central Tax, in force from 1 August 2023). If your aggregate turnover is ₹10 crore or more, each invoice, credit note and debit note must be reported to the IRP within 30 days of its date; from 1 April 2025 the IRP does not accept older documents.

E-Way Bill

Under Rule 138 of the CGST Rules, an E-Way Bill is needed before goods move when the consignment value is more than ₹50,000. This covers sales and also movement for reasons other than a sale.

Input tax credit and GSTR-2B

Under Rule 36(4), you can take input tax credit (ITC, the GST you paid on purchases) only on invoices that your supplier has reported in GSTR-1 or the invoice furnishing facility and that appear in your GSTR-2B. Matching purchases with GSTR-2B every month tells you which credit you can claim.

Drug licence conditions

Rule 65(5) of the Drugs Rules, 1945 says every wholesale sale must be made on a cash or credit memo that carries your name, address and licence number and shows:

• the date of sale;
• the buyer's name, address and sale licence number (for a hospital, a government buyer or a doctor, their name and address);
• the name of the drug, the quantity and the batch number;
• the name of the manufacturer;
• the signature of the competent person who supervised the sale.

Copies of these memos must be kept for three years. Purchase records must show the date, the seller's name, address and licence number, the drug, quantity, batch and manufacturer. Schedule H, H1 and X drugs may be supplied to doctors, hospitals, dispensaries and nursing homes only against a signed written order, which you keep for two years (Rule 65(9)(b)).

ValueSoft prints your drug licence number and the buyer's on every bill and keeps batch and expiry on each line. It also gives Schedule H, H1 and narcotics reports. The H1 report records the prescriber's and the patient's name and address with batch and expiry, which is the separate Schedule H1 register that Rule 65(3)(h) asks for when H1 drugs are supplied on prescription.

ValueSoft vs manual registers vs a generic billing app

What does pharma distributor billing software cost?

ValueSoft desktop plans have a one-time price with GST included:

Compare every feature on the pricing page.

Mini allows ₹2.5 lakh of billing and 450 bills a month, Lite ₹5 lakh and 600 bills, and Plus ₹7.5 lakh and 800 bills. Basic and Max have no limit, but Basic leaves out GST reports, accounting, outstanding, e-Invoice and E-Way Bill. So if your billing goes beyond the Plus limit, Max (₹12,500) is the plan with no limit and every feature. The mobile apps are separate yearly plans.

Is it a lifetime licence?

The desktop licence has a one-time price, GST included. Updates and support are free for the first year. From the second year there is a yearly AMC (annual maintenance contract) of ₹3,500 per user. The mobile apps are separate yearly plans. Read more on our lifetime billing software page.

Can I download it free?

Yes. On the downloads page, enter your 10-digit mobile number and verify the OTP, and the Windows setup (valuesoftsetup.exe) starts downloading. The free version has limited features and entries; a distributor will want a paid plan for GST returns, e-Invoice and unlimited entries. When you upgrade, you keep working on the same data.

Switching from Marg, Tally or Busy?

When you move to ValueSoft from Marg, Tally or Busy, our team moves all your master data and your bills into ValueSoft, and migration assistance is free. Read more about switching from Marg, Tally or Busy.

Sources

• GST Council: FAQs on the decisions of the 56th GST Council meeting (new rates from 22 September 2025; drugs and medicines at 5% except nil-rated)
• GST Council: Notification 10/2023-Central Tax, 10 May 2023 (e-Invoice above ₹5 crore from 1 August 2023)
• GSTN advisory: 30-day time limit for reporting e-Invoices, AATO ₹10 crore and above (from 1 April 2025)
• CBIC: E-Way Bill rules (Rule 138, CGST Rules)
• CBIC: Rule 36, CGST Rules (ITC only on invoices shown in GSTR-2B)
• CDSCO: The Drugs Rules, 1945 (compiled) (Rule 65, conditions of sale licences)