The GST E-Way Bill is an electronic document required for the movement of goods from one location to another. It must be carried by the transporter along with the tax invoice or delivery challan to authenticate the transportation of goods. The E-Way Bill system was implemented in India from April 1, 2018, under the Goods and Services Tax (GST) regime.
The Central Board of Indirect Taxes and Customs (CBIC) administers GST and provides an online platform for the generation and validation of E-Way Bills, accessible at ewaybillgst.gov.in. The government is also working on linking the E-Way Bill system with the VAHAN portal, maintained by the Ministry of Road Transport and Highways, for vehicle verification.
An E-Way Bill must be generated in the following scenarios:
• Supplier: If transporting goods through self-owned or hired conveyance, railways, air, or vessel.
• Recipient: If the supplier does not generate the E-Way Bill, the recipient must do so.
• Transporter: If the goods are handed over to a transporter for movement.
• If the value of goods transported exceeds INR 50,000.
• If multiple consignments with individual values below INR 50,000 but a total exceeding INR 50,000 are being transported in a single vehicle, a consolidated E-Way Bill must be generated by the transporter.
• If there is a change in vehicle during transit, the transporter must update details on the portal before continuing the journey (FORM GST EWB-01).
The validity period of an E-Way Bill depends on the distance covered:
• Up to 100 km – 1 day
• Every additional 100 km – 1 extra day If the validity expires before the goods reach their destination, a fresh E-Way Bill must be generated.
E-Way Bills are not required in the following cases:
• Non-motorized transport: Goods transported via bicycles, hand carts, etc.
• Customs clearance: Goods moving between ports, airports, inland container depots (ICDs), and container freight stations (CFSs) under customs supervision.
• Rail transport by government entities: If the consignor is the Central/State Government or a local body.
• Short-distance transport: Movement within 50 km within the same state.
• Certain exempt goods: As per Rule 138, including:
o LPG for household consumption
o Postal baggage
o Currency
o Personal household effects
o Jewellery
Step 1: Registration
• Registered taxpayers and transporters must create a user profile on the E-Way Bill portal (ewaybillgst.gov.in).
Step 2: E-Way Bill Generation
• Log in to the portal and select Generate E-Way Bill (EWB-01).
• Enter invoice details, transporter details, and vehicle details.
• Submit and generate a unique E-Way Bill Number (EBN).
Step 3: Updating and Modifications
• If the vehicle changes during transit, update the vehicle number on the portal before further movement.
• If an error is found, cancel the E-Way Bill within 24 hours of generation.
• Failure to generate an E-Way Bill: Penalty of INR 10,000 or tax evaded amount, whichever is higher.
• Incorrect details: May lead to seizure of goods and vehicle until penalty is paid.
• Seamless movement of goods: Reduces checkpoints and transportation delays.
• Real-time tracking: Enhances transparency in goods movement.
• Integration with VAHAN portal: Ensures vehicle authenticity.
• Reduced tax evasion: Automation ensures compliance with GST laws.
With the ever-evolving GST laws, it is crucial for businesses to stay updated and comply with regulatory requirements. At ReturnFilings.com, we provide expert assistance in GST compliance, ensuring hassle-free operations while you focus on your business growth. For professional assistance, reach out to us on email: info@returnfilings.com or on whatsapp: https://wa.me/919910123091 to ensure all statutory obligations are met on time.
