E-Way Bill: Transportation of Goods in GST regime

The introduction of the Goods and Services Tax (GST) in India has revolutionized the way businesses function. One of the most significant changes brought about by GST is the introduction of E-Way Bill. In this article, we will discuss E-Way Bill in detail and how it simplifies the transportation of goods in the GST regime.

What is an E-Way Bill?

An E-Way Bill is a document that needs to be generated online before the transportation of goods worth more than Rs. 50,000 from one state to another. It is a mandatory requirement under the GST regime. The E-Way Bill contains all the details of the goods being transported, such as the name of the consignor, consignee, and the vehicle used for transportation. The E-Way Bill acts as an evidence of the movement of goods and must be produced during inspection by the concerned authorities.

Who should generate the E-Way Bill?

The responsibility of generating the E-Way Bill lies with the consignor or the consignee or the transporter, depending upon the mode of transportation. If the transportation is being done by road, the transporter is responsible for generating the E-Way Bill. If the transportation is being done by railway, air, or ship, the consignor or the consignee is responsible for generating the E-Way Bill.

When should the E-Way Bill be generated?

The E-Way Bill needs to be generated before the transportation of goods commences. The validity of the E-Way Bill depends on the distance between the consignor and the consignee. For a distance of up to 100 kilometers, the validity of the E-Way Bill is one day. For every additional 100 kilometers, the validity is extended by one day.

How to generate an E-Way Bill?

The E-Way Bill can be generated online by visiting the official GST portal or through the mobile app. The following details need to be provided while generating the E-Way Bill:

Name of the consignor and consignee
Address of the consignor and consignee
GSTIN of the consignor and consignee
Invoice or challan number and date
HSN code of the goods being transported
Quantity and value of the goods being transported
Vehicle number of the transporter
Transporter ID

What happens if the E-Way Bill is not generated?

If the E-Way Bill is not generated or is not produced during inspection, a penalty of 200% of the tax value of the goods or Rs. 10,000, whichever is higher, can be levied on the transporter or the consignor or the consignee, depending upon the case.

Conclusion

E-Way Bill is a significant change brought about by GST in the transportation of goods. It simplifies the process and makes it more transparent. Businesses need to ensure that they comply with the E-Way Bill requirements to avoid any penalties. The government has provided a user-friendly portal and mobile app to generate the E-Way Bill, making it easy for businesses to comply with the requirement.