What is e way bill under gst | eway bill rules | in India

What is the meaning of e way bill under GST?

Full form of e way bill under GST is an electronic way bill. Meaning of a eway bill is a bill generated for the movement of goods from one place to another.

So, when movement of goods is taken from one place to another then transporter should carry eway bills. We can say eway bills are proof of movement of goods.

Where a eway bill can be generated?

Eway bill can be generated on ewaybill.gst.gov.in or we can generate from GST common portal where the link for generation of eway bill is presented.

On generation of eway bills, a unique 12 digit number is generated.
Alternatively we can also generate eway bills through SMS, Android App, and by site-to-site integration through API.

Once eway bill is generated it shall be recommended to another party for acceptance or rejection. And the time given is 72 hours. If no response from the party it will be deemed accepted.

 

Who is required to generate a eway bill and when eway bill is issued?

Every time the movement of goods taken from one place to another it is required to generate eway bills.

And for this movement of goods can be within the state (Intra-state) or between the states (Inter-State), It is required to generate in both cases.

But there is a condition to generate e way bills.

The condition is that if before movement of goods from one place to another (whether intra or interstate) the value of goods exceeds rupees 50,000 then only it is mandatory to generate e way bill.

Note:

• It is not necessary that there should be supply of goods or service of both from generation of eway bill. Even if you are transferring goods but it does not constitute supply under GST, you have to generate e way bills.
• How to calculate the value of goods: It is a simple addition of value as per section 15 of CGST Act, GST (whether IGST, CGST, SGST/UTGST) and compensation cess.
• Anyone can generate eway bills whether he may be supplier, recipient of transporter. If a supplier is not able to generate it then the transporter has to generate every registered as well as unregistered person has to generate it.

*If the value does not exceed rupees 50,000 then it is voluntary to generate eway bills.

However in the following situation, whatever the value of goods, we have to mandatory generated ewaybill :-

• Inter-State movement of goods from principal to Job-worker.
• Inter-state movement of Handicraft goods.

 

What is the content of eway bills?

Eway bill contain two parts: - Part A and Part B

• Part A: It contains details of Name, address, GSTIN of supplier and recipient. It also contains details regarding HSN, Value, Description of goods transported.
• Part B:  It contains details of Name, address, GSTIN etc. of the transporter.

 

Note:

Transporter details in Part B are not required, if goods are transported within the state/union territory from a distance up to 50 kms.

It does not mean that you have not to generate eway bills. Eway bill is generated but the relief is given only for the filling of particulars in Part B.

 

Types of eway bill

We can classify eway bill in the following types: 

Normal eway bill

Normal eway bill means a bill which is generated from a particular movement of one type of goods. One type of goods means goods with one HSN code.

 

Bulk eway bill

Bulk eway bill means a bill which is generated for movement of multiple types of goods. Here multiple types means more than one HSN code goods. If transporters carry more goods having different HSN code then he can generate Bulk eway bill, which means different eway bills for different goods.

 

What is the meaning of consolidated eway bill?

When the transporter is carrying goods from more than one supplier at a time in a single vehicle, then instead of carrying a eway bill of each supplier, the transporter can generate a consolidated eway bill. It is easier for transporters to carry one document instead of multiple documents.

 

What is the validity of eway bill?

Type of Conveyance	Distance	Validity
Normal Cargo (other than over dimensional cargo)	Up to 100 km   For every additional 100 kms or part thereof	1 day   add 1 Day
Over dimensional Cargo	Up to 20 km   For every additional 20 kms or part thereof	1 Day   add 1 Day

Note: On happening of any contingencies extension period can be given.

Can we cancel the e way bill?

Eway bills can be cancelled before verification is held in transit. We can cancel eway bills within 24 hours of the generation of eway bills. Online portal or the option is also given to cancel through SMS, Android App.

 

When a eway bill is not required to generate?

Following are the certain exemption from issuing eway bill:-

• Goods are transported through non motor vehicles.
• Goods which are exempted, non-taxable goods, goods which are treated as no supply as per schedule III.
• Custom controlled goods means goods transported under customs supervision or under customs seal.
• Movement of goods caused by defence as a consignor or consignee.
• Goods transported to Central Government, State Government or a Local authority by Railway.
• Movement of empty cargo containers.
• Transit cargo movement to or from Nepal to Bhutan.
• Transportation of Gems, Jewellery, currency etc.
• Movement of goods up to distance 20 kms, to or from between place of business and a weighbridge. In this case no need to generate eway bill but delivery challan should be there.

 

What details are required to generate a eway bill?

• Invoice / Bill of supply / Challan related to the consignment of goods.
• Transport by road – Transporter ID or vehicle number.
• Transport by Rail, Air and ship – Transporter ID, Transport document number and date of the document.

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