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Introduction
If you are running a business that involves the transportation of goods, you may have come across the term “Eway bill.” An Eway bill is an electronic document that contains details about the goods being transported, the transporter, and the recipient. It is mandatory for businesses to generate Eway bills for any inter-state movement of goods worth more than Rs. 50,000.
When an eway bill is generated, a unique Eway Bill Number (EBN) is allocated and is available to the supplier, recipient, and the transporter.
Union of India vs. Adfert Technologies Pvt. Ltd.: In July 2019, the Supreme Court held that the e-way bill was not required for the movement of goods within a state where the movement did not involve a change in the ownership of the goods. The court held that the e-way bill was only required for inter-state movement of goods or intra-state movement of goods where the movement involved a change in ownership.
What is an Eway Bill?
An Eway bill is a document that contains information about the goods being transported, the consignor, the recipient, and the transporter. It is an electronically generated document, which means it is not necessary to carry a physical copy of the Eway bill during transportation. The Eway bill is mandatory for businesses that transport goods worth more than Rs. 50,000 inter-state.
Who should Generate an Eway Bill?
As per the Goods and Services Tax (GST) rules, any registered person who causes the movement of goods worth more than Rs. 50,000 inter-state must generate an Eway bill. This includes the consignor, the transporter, and the recipient. However, there are a few exceptions to this rule, such as the transportation of goods by non-motorized conveyance, transportation of goods within a state, and transportation of specified goods like fruits, vegetables, and livestock.
Documents required to generate Eway Bills
To generate an Eway bill, you need the following documents:
- Invoice/bill of supply/delivery challan
- Transporter ID or Vehicle number
What is the Eway bill format?
The Eway bill consists of two parts: Part A and Part B.
- Part A contains details about the goods being transported, the consignor, the recipient, and the transporter.
- Part B contains information about the vehicle used for transportation, including the vehicle number and the transporter’s ID.
The Eway bill is generated in JSON format and can be downloaded or printed for reference.
How to Generate Eway Bill?
To generate an Eway bill, follow these steps:
- Visit the Eway Bill portal (https://ewaybillgst.gov.in/)
- Log in using your GSTIN (Goods and Services Tax Identification Number).
- Click on the “Generate New” option under the “Eway Bill” tab.
- Enter the required details, including the consignor, the recipient, the transporter, and the goods being transported.
- Verify the details and click on the “Generate Eway Bill” button.
- The Eway bill will be generated and can be downloaded or printed for reference.
Eway Bill Validity
The validity of the Eway bill depends on the distance between the consignor and the recipient. The validity of the Eway bill is as follows:
- For distances up to 100 km: One day
- For every additional 100 km or part thereof: One additional day
For example, if the distance between the consignor and the recipient is 500 km, the Eway bill will be valid for six days (one day for the first 100 km and one additional day for every additional 100 km).
SMS E-Way Bill Generation on Mobile
The Eway bill can also be generated through SMS on a mobile phone. To enable this facility, you must first register your mobile number on the Eway Bill portal. Once your mobile number is registered
, follow these steps to generate an Eway bill through SMS:
- Send an SMS in the following format to the designated number:
- For Registered Persons: “EWBG (space) TranType (space) RecGSTIN (space) InvNo (space) InvDate (space) TotalValue (space) HSNCode (space) ApprDist (space) VehicleNo”
- For Unregistered Persons: “EWB (space) RecName (space) Pincode (space) SupplyType (space) RecGSTIN (space) ItemDetails (space) Value (space) ApprDist (space) VehicleNo”
- Once the SMS is sent, the Eway bill will be generated and sent to the registered mobile number.
Enabling SMS E-Way Bill Generate Facility
To enable SMS Eway bill generation facility, follow these steps:
- Log in to the Eway Bill portal using your GSTIN.
- Go to the “Registration” tab and select the “Update Registration” option.
- Scroll down to the “E-Way Bill SMS” section and enter your mobile number.
- Verify your mobile number using the OTP sent to your mobile.
- Once the verification is complete, you can start generating Eway bills through SMS.
FAQs
Q: Is it necessary to generate an Eway bill for all inter-state movements of goods? A: No, Eway bills are not required for the transportation of goods worth less than Rs. 50,000 or for the movement of goods within a state.
Q: Can an Eway bill be cancelled? A: Yes, an Eway bill can be cancelled within 24 hours of its generation.
Q: Can an Eway bill be modified? A: Yes, an Eway bill can be modified, provided it has not been verified by the transporter.
Q: What happens if an Eway bill is not generated for inter-state transportation of goods worth more than Rs. 50,000? A: The transporter may be liable to pay a penalty equal to 10% of the value of the goods.
Cases When E-Way Bill is Exempted or Not Required
the eWay bill is mandatory for inter-state transportation of goods worth more than Rs. 50,000. However, there are certain cases when an eWay bill is not required or exempted. Let’s take a look at some of the scenarios where eWay bill exemption or not required:
Exemption
Transportation of agricultural produce: If the goods being transported are agricultural produce, then no eWay bill is required. Agricultural produce includes fruits, vegetables, grains, pulses, and meat, among others.
Goods transported by non-motorized conveyances: If the goods are being transported by non-motorized conveyances such as hand carts or bicycles, then an eWay bill is not required.
Goods transported from customs port, airport, air cargo complex, or land customs station to an inland container depot (ICD) or container freight station (CFS) for clearance by customs: If the goods are being transported from a customs port, airport, air cargo complex, or land customs station to an ICD or CFS for clearance by customs, then an eWay bill is not required.
Transportation of goods within a state: An eWay bill is not required for the transportation of goods within a state, irrespective of the value of the goods.
Not Required
Goods transported by the Defense forces or Central paramilitary forces: If the goods are being transported by the Defense forces or Central paramilitary forces, then an eWay bill is not required.
Goods transported under customs bond: If the goods are being transported under customs bond from an inland container depot or a container freight station to a customs port, airport, air cargo complex, or land customs station, then an eWay bill is not required.
Goods transported for the purpose of job work: If the goods are being transported for the purpose of job work and the value of the goods is less than Rs. 50,000, then an eWay bill is not required.
Goods transported for personal use: If the goods are being transported for personal use and not for sale or commercial purposes, then an eWay bill is not required.
Transportation of certain notified goods: The government may notify certain goods for which an eWay bill is not required.
It is important to note that even if an eWay bill is not required in the above scenarios, the transporter still needs to carry the relevant documents such as the invoice, delivery challan, or bill of supply, as applicable. Failure to do so may result in penalties.