Material Receipt Challan is also known as Store Receipt Challan or Goods Receipts Challan. Store receipt challan shows the receipt of store items by store department. When material is purchased, first of all purchase order is placed on the supplier of goods. One copy of purchase order is given to store department. After the material is received in store department from the supplier, it is the duty of store keeper to check each and every item according to the purchase order. If, there is any difference in quantity and quality of the item purchased, then it should be pinpointed by the store keeper to the concerned authority . After matching the items with purchase order, the store keeper prepares a Store Receipt Challan. Store receipt challan shows the following details:-

  1. Serial Number of Challan
  2. Date of Challan
  3. Purchase Order Number
  4. Supplier’s Name
  5. Invoice Number or Challan Number of supplier
  6. Date of supplier’s invoice.
  7. Particulars relating to items.
  8. Quantity
  9. Rate
  10. Sales Tax
  11. Other Charges.
  12. Total

Minimum four copies of Material Receipt Challans, are prepared for the following purposes:-

    • One copy is to be sent to accounts department.
    • One copy is to be sent to purchase department.
    • One copy is to be given to the supplier of goods.
    • Forth copy is retained by store department for their record.

Store receipt challans are prepared only in organizations where separate store department is maintained.


Material Receipt Challans are useful in the following cases:-

  1. After the store receipt challan is received by the purchase department, they can match all the material with their purchase order and follow up the supplier accordingly.
  2. Store Receipt Challan is very useful for accounts department because accounts department will release the payment to the suppliers only when it is confirmed by the store department and purchase department. Finally the accounts department matches all the items according to the purchase order and material receipt challan.
  3. Store department will also be responsible for all the items which they confirm the receipts of those items.
  4. It is very useful to keep the control on stores because store is as good as cash.