E-Way Bill under GST Regime: Only for goods of special purposes?

The introduction of the Goods and Services Tax (GST) has brought significant changes to the way businesses operate in India. One of the most significant changes is the introduction of the e-way bill system. The e-way bill is a document that must be generated before the transportation of goods valued above Rs 50,000. It is an electronically generated bill that contains details such as the goods being transported, their value, and the transporter.

The e-way bill system was introduced to ensure that there is adequate tracking of goods being transported and to minimize tax evasion. However, there are certain exceptions to this rule where the e-way bill is not required. In this article, we will discuss these exceptions and what goods are considered as special purposes.

What is a special purpose under the GST regime?

Under the GST regime, certain goods are considered special purposes. These goods are exempted from the e-way bill requirement. Here is a list of goods that are considered special purposes:

Goods being transported by a non-motorized vehicle
Goods being transported from the port, airport, air cargo complex, or land customs station to an inland container depot (ICD) or container freight station (CFS) for clearance by Customs
Goods being transported under customs supervision or customs seal
Goods being transported from one customs port or airport or land customs station to another customs port or airport or land customs station under customs bond
Transit cargo transported to or from Nepal or Bhutan
Goods being transported by rail where the consignor of goods is the central government, state government, or a local authority
Goods being transported within a state or union territory by a goods transport agency for a distance of up to 50 kilometers

It is important to note that even though these goods are considered special purposes, the transporter must still carry the relevant documents required for the transportation of goods, such as invoices and delivery challans.

When is the e-way bill not required?

Apart from the special purpose goods, there are certain situations where the e-way bill is not required. These situations are as follows:

Transport of goods that are not taxable under GST
Goods being transported by a non-motorized vehicle
Goods being transported from the customs port, airport, or land customs station to an ICD or CFS for clearance by Customs
Goods being transported under customs supervision or customs seal
Goods being transported from one customs port or airport or land customs station to another customs port or airport or land customs station under customs bond
Transit cargo transported to or from Nepal or Bhutan
Transport of certain specified goods such as LPG for which no e-way bill is required irrespective of the value of the consignment
Goods being transported by rail where the consignor of goods is the central government, state government, or a local authority
Goods being transported within a state or union territory by a goods transport agency for a distance of up to 50 kilometers
Transport of goods from the customs station or port to an inland container depot or container freight station for clearance by Customs
Transport of goods from an ICD or CFS to a customs station or port after clearance by Customs

Conclusion

The e-way bill system has been introduced to ensure that there is proper tracking of goods being transported and to minimize tax evasion. However, there are certain situations where the e-way bill is not required. In addition, certain goods are considered special purposes and are exempted from the e-way bill requirement. It is important for businesses to understand these exceptions to avoid any unnecessary delays or penalties.