E-Way Bills Explained
The E-Way Bill is a document required under the Goods and Services Tax regime in India to be carried by a person who is in charge of the movement of goods. Herein is explained in detail:
An E-Way Bill is an electronic document that must be generated for the movement of goods exceeding a prescribed monetary value. It is meant to facilitate the movement of goods and ensure that taxes are paid right.
When is an E-Way Bill Required?
An E-Way Bill must be generated, where the movement of goods takes place in relation to the following:
Inter-State Movement: In circumstances where there is movement from one state to another and the value of such goods exceeds ₹50,000.
Intra-State Movement: If the value of the goods moves across within a state and if that value is more than ₹50,000. Many states have different values for intra-state movement.
For Supply: If the goods are transported for the purpose of sale or supply, which includes goods sent from one job worker/consigned agent which would yet again involve a job work/consignment or return of such goods that aren’t subjected within the 10 Km range.
For Return: If goods have been returned back to the supplier.
How to Generate an E-Way Bill
Register: Make sure you are registered on the GST portal.
Fill Details: Fill details of GSTIN of supplier and recipient, type of supply, invoice number.
Generate E-Way Bill: The moment you fill these details the system will automatically generate E-Way Bill with an EBN (unique Bill number).
Transport details: Fill details of transport vehicle no
Details to obtain E-Way Bill
E-Way Bill Number (EBN): The number that is unique and generated when the E-Way Bill is generated.
Invoice Details: The detail of the invoice such as number and date.
Transporter Details: Information about the vehicle that is to be used for transportation along with the vehicle number.
Consignor and Consignee Details: Information about the sender and the receiver of the goods.
VALIDITY OF E-WAY Bill
A waybill is generated, the validity period, based on the distance the goods have to cover:
Up to 100 km: Validity of 1 day.
100 km to 300 km: Validity for 3 days.
300 km to 500 km: Validity for 5 days.
500 km to 1000 km: Validity for 10 days.
Above 1000 km: Validity for 15 days.
Compliance and Penalties
Non- Generation: On non-generation of an E-Way Bill where it’s mandatory can be a reason for penalties and seizure of goods.
Incorrect Information : Lack of proper information, incomplete or incorrect information leads to either difficulties or penalties.
Monitoring and Modification
Monitoring: Status of an E-Way Bill can be checked or monitored on the GST website
Modification: In case of mistake, the bill or invoice can be modified, provided the goods have not yet moved
The E-Way Bill system aims to pave the way for planned movement of goods with the purpose of curbing tax evasion and maintaining the necessary documentation.
