The full form of E-way bill means electronic way bill. E-way bill will be applicable to the movements of goods in both inter and intra State Transportation.
To put it simply like the name suggests it is an electronic document generated from the e-way bill portal ewaybillgst.gov.in evidencing movement of goods. It is basically a compliance mechanism under GST wherein by way of a digital interface the person causing the movement of goods (consignor/seller) uploads the relevant information prior to the commencement of movement of goods and generates e way bill on the GST portal.
It contains the following details-
- Name of consignor
- Consignee
- The point of origin of the consignment
- Destination details and
- Route
What is an eWay Bill?
Under GST, an Electronic Way bill is required for movement of goods. A registered person cannot transport goods in a vehicle whose value exceeds Rs. 50,000 (Single Invoice/bill/delivery challan) without an e-way bill that is generated on ewaybillgst.gov.in.
Alternatively, Eway bill can also be generated or cancelled through SMS, Android App and by site-to-site integration through API entering the correct GSTIN of parties. Validate the GSTIN with the help of the GST search tool before using it. When an eway bill is generated, a unique Eway Bill Number (EBN) is allocated and is available to the supplier, recipient, and the transporter.
What are the components of an e-way bill?
- Details of GSTIN of recipient,
- Place of delivery (PIN Code),
- Invoice or challan number and date,
- Value of goods,
- HSN code,
- Transport document number (Goods Receipt Number or Railway Receipt Number or Airway Bill Number or Bill of Lading Number) and
- Reasons for transportation
While as far as Part B is concerned, it comprises of the transporter details (for eg: Vehicle number)
When Should eWay Bill be issued?
eWay bill will be generated when there is a movement of goods in a vehicle/ conveyance of value more than Rs. 50,000 (either each Invoice or in aggregate of all invoices in a vehicle/conveyance) –
- In relation to a ‘supply’
- For reasons other than a ‘supply’ ( say a return)
- Due to inward ‘supply’ from an unregistered person
For this purpose, a supply may be either of the following:
- A supply made for a consideration (payment) in the course of business
- A supply made for a consideration (payment) which may not be in the course of business
- A supply without consideration (without payment) In simpler terms, the term ‘supply’ usually means a:
- Sale – sale of goods and payment made
- Transfer – branch transfers for instance
- Barter/Exchange – where the payment is by goods instead of in money
Therefore, eWay Bills must be generated on the common portal for all these types of movements. For certain specified Goods, the eway bill needs to be generated mandatorily even if the value of the consignment of Goods is less than Rs. 50,000:
- Inter-State movement of Goods by the Principal to the Job-worker by Principal/ registered Job-worker
- Inter-State Transport of Handicraft goods by a dealer exempted from GST registration
What are the benefits of e way bill ?
- Facilitate faster movement of goods.
- Improve the turnaround time of trucks since the checkpost have been abolished.Thus, will benefit the logistics industry by reducing the travel time and cost as well as increasing the distance travelled.
- User friendly e way bill generating system. This means, there is no need to visit e way bill department for generation of e way bill as this was the major hardship in existing system. The e-way bill can be directly generated online.
- The entire system is online, thus avoiding tax evasion.
Who should Generate an eWay Bill?
- Registered Person – Eway bill must be generated when there is a movement of goods of more than Rs 50,000 in value to or from a registered person. A registered person or the transporter may choose to generate and carry eway bill even if the value of goods is less than Rs 50,000.
- Unregistered Persons – Unregistered persons are also required to generate e-Way Bill. However, where a supply is made by an unregistered person to a registered person, the receiver will have to ensure all the compliances are met as if they were the supplier.
- Transporter – Transporters carrying goods by road, air, rail, etc. also need to generate e-Way Bill if the supplier has not generated an e-Way Bill but are not required to generate the Eway bill (as Form EWB-01 or EWB-02) where all the consignments in the conveyance :
- Individually (single Document**) is less than or equal to Rs 50,000 BUT
- In Aggregate (all documents** put together) exceeds Rs 50,000
**Document means Tax Invoice/Delivery challan/Bill of supply
Unregistered Transporters will be issued Transporter ID on enrolling on the e-way bill portal after which Eway bills can be generated.
| Who | When | Part | Form |
| Every Registered person under GST | Before movement of goods | Fill Part A | Form GST EWB-01 |
| Registered person is consignor or consignee (mode of transport may be owned or hired) OR is recipient of goods | Before movement of goods | Fill Part B | Form GST EWB-01 |
| Registered person is consignor or consignee and goods are handed over to transporter of goods | Before movement of goods | Fill Part B | The registered person shall furnish the information relating to the transporter in Part B of FORM GST EWB-01 |
| Transporter of goods | Before movement of goods | Generate e-way bill on basis of information shared by the registered person in Part A of FORM GST EWB-01 | |
| An unregistered person under GST and recipient is registered | Compliance to be done by Recipient as if he is the Supplier. | 1. If the goods are transported for a distance of fifty kilometers or less, within the same State/Union territory from the place of business of the consignor to the place of business of the transporter for further transportation, the supplier or the transporter may not furnish the details of conveyance in Part B of FORM GST EWB-01. 2. If supply is made by air, ship or railways, then the information in Part A of FORM GST EWB-01 has to be filled in by the consignor or the recipient |
Under which section e-way bill is required?
The Statutory requirement of e-way bill is covered under Section 68 of the CGST Act & Rule 138 of the CGST Rules, 2017.
Cases when eWay bill is Not Required
- The mode of transport is non-motor vehicle
- Goods transported from Customs port, airport, air cargo complex or land customs station to Inland Container Depot (ICD) or Container Freight Station (CFS) for clearance by Customs.
- Goods transported under Customs supervision or under customs seal
- Goods transported under Customs Bond from ICD to Customs port or from one custom station to another.
- Transit cargo transported to or from Nepal or Bhutan
- Movement of goods caused by defence formation under Ministry of defence as a consignor or consignee
- Empty Cargo containers are being transported
- Consignor transporting goods to or from between place of business and a weighbridge for weighment at a distance of 20 kms, accompanied by a Delivery challan.
- Goods being transported by rail where the Consignor of goods is the Central Government, State Governments or a local authority.
- Goods specified as exempt from E-Way bill requirements in the respective State/Union territory GST Rules.
- Transport of certain specified goods- Includes the list of exempt supply of goods, Annexure to Rule 138(14), goods treated as no supply as per Schedule III, Certain schedule to Central tax Rate notifications. .
SMS e-way bill generation on mobile
You can generate e-way bills via SMS using registered mobile phone. All can begin by enabling SMS e-way bill generate facility. Register the mobile phone to be used for SMS facility of e-way bill generation. Thereafter, send simple SMS codes to a particular mobile number managed by the e-way bill portal/GSTN to generate, manage and cancel e-way bills.
FAQs
Should I generate e-way bills against invoices raised for supply service?
No, e-way bill rules do not apply to service oriented transactions. Hence, you need not generate an e-way bill against the supply of services.
How many days after raising an invoice that one should generate the e Way bill for delayed delivery?
The e-way bill is required at the time of delivery of goods only. So, if invoice is raised but goods are not delivered yet, then part-A can be generated on the e-way bill and Part-B details can be entered later on upon delivery. The validity of e-way bill begins when Part-B is entered.