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

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10 Jan 2024
Blocking the generation of E-Way Bill without e-Invoice/IRN has been withdrawn.
05 Jan 2024
Reporting of 4/6 digit HSN in e-Waybill from 1st February 2024.

E-Way Bill Under GST Regime: A Mandatory Document for All Goods

The Goods and Services Tax (GST) regime has brought significant changes to the taxation system in India. One such change is the introduction of the E-Way Bill, which is a mandatory document for the movement of goods valued at more than Rs. 50,000. However, there is a misconception that the E-Way Bill is only required for goods of special purposes. In this blog, we will clarify this misconception and provide an overview of the E-Way Bill under the GST regime.

1.What is an E-Way Bill?

An E-Way Bill is an electronic document that contains details about the movement of goods from one place to another. It is generated electronically on the GSTN portal and is required for the transportation of goods valued at more than Rs. 50,000. The E-Way Bill contains details such as the name of the consignor, consignee, and the transporter, the GST identification number (GSTIN), the place of delivery, the invoice or challan number and date, the HSN code of the goods, and the quantity and value of the goods being transported.

2.Is the E-Way Bill only for goods of special purposes?

No, the E-Way Bill is required for all types of goods, regardless of their purpose. It is a mandatory document for the movement of goods valued at more than Rs. 50,000, irrespective of whether the goods are used for commercial, industrial, or personal purposes. However, certain types of goods, such as goods being transported by a non-motorized conveyance, are exempted from the requirement of an E-Way Bill. Additionally, some states have introduced their own rules for the E-Way Bill, which may have additional requirements or exemptions based on the nature of the goods being transported.

3.Why is the E-Way Bill important?

The E-Way Bill is an essential document that helps to ensure the proper documentation and tracking of the movement of goods. It helps to prevent tax evasion and ensures that the proper GST is being paid on the goods being transported. Additionally, it helps to reduce the time and cost involved in the transportation of goods, as it provides a single document that can be used for multiple modes of transport.

4.Cases when E-Way bill is not Required:

While the E-Way Bill is a mandatory document for the movement of goods valued at more than Rs. 50,000, there are certain cases when it is not required. Here are some of the cases when the E-Way Bill is not required:

A. When the value of the goods being transported is less than Rs. 50,000: The E-Way Bill is not required for the transportation of goods valued at less than Rs. 50,000.

B. When the goods being transported are exempted from GST: If the goods being transported are exempted from GST, then the E-Way Bill is not required.

C. When the goods being transported are for personal use: If the goods being transported are for personal use and not for any commercial purpose, then the E-Way Bill is not required.

D. When the goods are being transported by a non-motorized conveyance: If the goods are being transported by a non-motorized conveyance, such as a bicycle or a handcart, then the E-Way Bill is not required.

E. When the goods are being transported within a distance of 10 kilometers: If the goods are being transported within a distance of 10 kilometers from the place of business of the consignor to a transporter for further transportation, then the E-Way Bill is not required.

F. When the goods are being transported from the customs port, airport, air cargo complex, or land customs station to an inland container depot (ICD) or a container freight station (CFS) for clearance by customs: If the goods are being transported from the customs port, airport, air cargo complex, or land customs station to an ICD or a CFS for clearance by customs, then the E-Way Bill is not required.

It is important to note that the rules regarding the E-Way Bill may vary from state to state, and businesses should check the relevant regulations before transporting any goods to avoid any penalties or legal issues.

5.State-wise e-Way Bill Rules and Limits:

The E-Way Bill is a mandatory document for the movement of goods valued at more than Rs. 50,000 in most cases, as per the GST regime. However, there are some state-wise variations in the rules and limits of the E-Way Bill. Here are some state-wise rules and limits for the E-Way Bill:

A. Andhra Pradesh: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 50,000. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 15 days.

B. Assam: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 50,000. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 10 days.

C. Bihar: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 1 lakh. The validity of the E-Way Bill is 24 hours for a distance of up to 100 kilometers, and an additional 24 hours for every additional 100 kilometers.

D. Gujarat: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 50,000. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 15 days.

E. Haryana: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 50,000. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 15 days.

F. Kerala: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 50,000. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 15 days.

G. Maharashtra: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 1 lakh. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 15 days.

H. Tamil Nadu: The E-Way Bill is mandatory for intra-state transportation of goods valued at more than Rs. 1 lakh. The validity of the E-Way Bill is one day for every 100 kilometers of travel, up to a maximum of 15 days.

It is important to note that these rules and limits may be subject to change, and businesses should regularly check the latest rules and regulations of the respective states to avoid any penalties or legal issues.

Conclusion:

In conclusion, the E-Way Bill is a mandatory document for the movement of goods valued at more than Rs. 50,000, regardless of their purpose. It is an essential document that helps to ensure the proper documentation and tracking of the movement of goods, and it is an important tool for preventing tax evasion and ensuring that the proper GST is being paid on the goods being transported. It is crucial for businesses to understand the requirements and regulations of the E-Way Bill to avoid any penalties or legal issues.