Bank Exams, Banking, GST

Eway Bill, E Way Bill System, Generate E way Bill

Posted By: Admin
October 8, 2022 |

Consequences of non-conformance to E-way bill rules

E Way Bill: As per the GST latest news on GST in Gujrat, Irrespective of the value of the goods, Gujarat exempts the e-way bill requirement for intra-city transportation of goods. The Allahabad High Court ruled out the mandatory requirement of e-way bill under GST for intra-city movement of goods. However, E-way bills would still be required even within a kilometer for transportation of goods worth Rs.50,000 or above. Though the limit or exemption is within the control of the states.

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With this we understand the importance of the E way Bill. transporters need to carry an eWay Bill while moving goods from one place to another as per GST guidelines. We will discuss everything about E Way Bill in this article.

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Table of Content:

What is an Eway Bill?
When e way bill generated?
Who should Generate?
When does e way bill not required
Documents required to generate Eway Bill
How to generate eWay Bill
What is validity of eWay Bill
Consequences of non-conformance to E-way bill rules

What is an eWay Bill?

As the name refers, EWay Bill is an Electronic Way bill for movement of goods to be generated on the eWay Bill system Portal. It is mandatory to generate and carry Eway bill to transport goods in a vehicle whose value exceeds Rs. 50,000 (Single Invoice/bill/delivery challan). One can generate the E way bill through the government official portal ewaybillgst.gov.in after successful e way bill login.

However, there are other ways to generate an E way bill like generate E way bill through SMS, generate E way bill through an app which is E way bill mobile android app, through API integration. You should always be careful while generating E way bill and verify the GSTIN through official government GST search portal.

Once you generate E way bill by completing the process, the portal will generate a unique Eway Bill Number (EBN) which will be available to the supplier, recipient, and the transporter.

Also Read GSTN: Goods and Service Tax Network, All Info

When is the e Way Bill generated?

As per the GST guidelines and updates, a person needs to generate eway bill 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 made for a consideration (payment) or without consideration (without payment) which may be or may not be in the course of business. Definition of word “supply” is as following –

Sale – sale of goods and payment made
Transfer – branch transfers for instance
Barter/Exchange – where the payment is by goods instead of in money

While it is mandatory that a transporter should generate e way bill while carrying goods valued above Rs. 50,000/- within a state, there are certain goods in specific category which require to generate eway bill for any amount of goods. Mandatory eway bill conditions are –

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

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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 bills even if the value of goods is less than Rs 50,000.
Unregistered Persons – It is mandatory for unregistered persons to generate eWay 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 eWay Bill if the supplier has not generated an eWay Bill. However, the transporters need not 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
In Aggregate (all documents put together) exceeds Rs 50,000 (Here the word Document refers to Tax Invoice/Delivery challan/Bill of supply)

Also read Everything about GST – Goods and Services Tax

Important terms and conditions of eway bill system –

When a person who is an unregistered transporter enrols on the e way bill system, it will issue a Transporter ID and generate e way bill.

See detail

Who should generate E way bill	Related form, terms and conditions
Every Registered person under GST	Before movement of goods by filling Form GST EWB-01 Part A
Registered person is consignor or consignee (mode of transport may be owned or hired) OR is recipient of goods	Before movement of goods by filling Form GST EWB-01 Part B
Registered person is consignor or consignee, and goods are handed over to transporter of goods	The registered person shall furnish the information relating to the transporter in Part B of FORM GST EWB-01 Before movement of goods
Transporter of goods	Before movement of goods transporters need to 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.	Supplier or the transporter may not furnish the details of conveyance in Part B of FORM GST EWB-01. Except if supply is made by air, ship or railways (Part A of FORM GST EWB-01) must be filled in by the consignor or the recipient ff the goods are transported for a distance of 50 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.
A transporter is transporting multiple consignments in a single conveyance	Fill Form GST EWB-02 to produce a consolidated e-way bill, provide e-way bill number of each consignment. If not generate by consignor or consignee, the transporter can do so by filling out PART A of FORM GST EWB-01 based on the invoice/bill of supply/delivery challan given to them.

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When does e way bill not required

While it is a compulsion to carry e way bill when transporting goods, there are some relaxations to generate an eway bill. You can see these cases below –

If the transport mode is a non-motor vehicle (Like paddle cycle, carts pulled by animals etc.)
When customs transport Goods from Customs port, airport, air cargo complex or land customs station to Inland Container Depot (ICD) or Container Freight Station (CFS) for clearance.

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
Transportation of empty Cargo containers
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.
When the Central Government, State Governments or a local authority transports goods by rail.
Specifically exempt goods from EWay bill requirements in the respective State/Union territory GST Rules or 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.

Also read GST Identification Number: GSTIN and GST Certificate

Documents required to generate Eway Bill

To generate an eway bill, you should have the following documents with you. You will need to enter details from these documents.

Invoice / Bill / Challan / Document details.
GST number of the party to whom goods are to be supplied.
Product and Quantity wise details of the product to be supplied.
Transporter Name and ID or Vehicle no through which the transportation will be done.

Steps to generate eWay Bill on GST e way bill system

Here we will see the steps to generate an e way bill

To generate e way bill online, Visit the official E-Way Bill website: ewaybill.nic.in
Enter your username and password followed by a captcha.
On submitting correct details you will successfully log in to the E-way bill system.
On the left panel of the eway bill system screen, you can see options to generate, cancel, or reject etc.

E-way bill	Consolidated e-way bill	Reject	Reports	Masters	User Management	Registration
Generate, operate, cancel and print e-way bill.	Consolidate e way bills, update or cancel them.	Reject eway bill generated by others do not pertain to you.	Generate various reports	create masters of customers, suppliers, products and transporters	create, modify and freeze the sub-users	register for SMS, Android app and API facilities.

You can see the complete process to generate E way bill by clicking here.

What is Validity of eWay Bill

The government of India has fixed the validity of an e-way bill. The validity is fixed based on the distance travelled by the goods. You can use the app to extend the validity of eway bill. You can extend the validity either eight hours before expiry or within eight hours after its expiry. See the details below –

Type of conveyance	Distance	Validity of eway bills
Other than Over dimensional cargo	Less Than 200 Kms	Valid for 1 Day
Other than Over dimensional cargo	For every additional 200 Kms or part thereof	additional 1 Day
For Over dimensional cargo	Less Than 20 Kms	Valid for 1 Day
For Over dimensional cargo	For every additional 20 Kms or part thereof	additional 1 Day

Further, if under circumstances of an exceptional nature, transporters may generate another eway bill after updating the details in Part B of FORM GST EWB-01.