Further, in the case of inter-State supplies, a consolidated invoice can be issued separately in respect of all the recipients located in a State, who are unregistered recipient and where the value of a supply does not exceed 2,50,000/-. Is it necessary for me to issue receipt for advances?

Yes. A ‘receipt voucher’ containing prescribed particulars should be issued on receipt of any advance payment towards supply of goods or services.

(ICAI FAQ PUBLICATION 06-09-2017 -: Tax Invoice, Credit and Debit Notes : FAQ NO. 18)