All you need to know about E-way Bill

by Anil T. Consultant

GST e-Way Bill is an electronic waybill contains the details about the movement of consignment exceeding the amount of 50K INR. GST e-Way Bill has two major components:

1. Part-A

i. The Part-A of GST e-Way bill contains the following details

GSTIN of recipient

ii. PIN Code of the place where the consignment has to be delivered

iii. Date of invoice

iv. Value of goods

v. HSN code

vi. Transport document number

2. Part-B

Part-B of GST e-Way Bill number contains the transporter's details.

In case if the consignment is transported by the consignor or consignee then the Part-B has to be furnished by him or her as the case may be.

In case if the consignment is transported by the transporter then the Part-B has to be generated by transporter.

Importance of GST e-way Bill

Here the two importance of GST e-way Bill

GST e-Way bill helps in tracking the movement of the consignment

Helps in checking the tax evasion

Who can generate GST e-way Bill?

Any of the following people can generate the GST e-Way Bill:

i. The consignor

ii. The consignee or

iii. The transporter

Note: The transporter who is unregistered can enroll and generate the GST e-Way bill.

The validity of GST e-way Bill

The GST e-Way Bill validity is subject to the distance that has to be covered by the transported goods.

In case if the distance is not more than 100 KM from Point-A to Point-B then the GST e-Way Bill validity will be a day that shall be determined from the relevant date. And for every additional 100 KM, a day will be added.

For the purpose of the GST e-Way Bill, the relevant date is the date on which it is generated.

Generally, the validity of the GST e-Way Bill cannot be extended. However, the commissioner can extend the validity of the e-way bill for certain goods by issuing a notice.

GST e-way Bill Cancellation

The consignor or consignee or transporter can cancel the e-Way Bill through the e-Way Bill Portal within 24 hours of its generation.

Howsoever, if the consignment is verified by the GST office in transit than it is impossible to cancel an e-way as per the provisions are given in 138B of the CGST Rules, 2017.

Consequences for not complying with the e-Way Bill rules

In case if a person is carrying a consignment of more than 50K INR and does not carry e-Way Bill for the same then the person will be liable to pay 10k INR or amount of tax evaded whichever is greater as per Section 122 of the CGST Act, 2017.

In case if the transport in-charge contravenes Section 129 of CGST Act, 2017 and carries goods then in such case all the goods including the vehicle carrying can be detained or seized.

The Bottom Line

Thus from the above statement, we can conclude that GST e-way Bill helps the consignor or consignee to keep a check on the consignment. Moreover, it is playing a major role in preventing the tax-evasion. In addition to the above-mentioned positives of e-way Bill, it is also helping in dissolving the Nakkas or check posts that in turn helped in the easy and quick movement of goods.