What is E-Way Bill?
E-way bill is type of road permit or transportation approval that is required for movement of goods of value above 50000/- (fifty thousand rupees) amount. E-way bill is generated online through common portal by registered person or transporter.
This is similar to way bill system that were adopted by many states under Vat/Cst tax structure. But in previous system way bill was issued or generated by recipients but in this new e-way bill system, e-way bill will be generated by supplier or transporter or receiver, Recipient will have to authority to accept or reject way bill generated electronically on common portal.
How to generate E-way bill?
Following information is required to be furnished before to commencement of movement of goods and generation of e-way bill:
1. Every registered person who is going to supply goods of consignment value above fifty thousand rupees has to furnish information online at Part-A of Form GST INS-01- i) in relation to a supply or ii) for reasons other than supply or iii) due to inward supply from an unregistered person
Now there will be three way to generate e-way bill. By the Consignor or By the Transporter or by the Receiver. If the goods are transported by the registered person as a consignor or the recipient of supply as the consignee, whether in his own conveyance or a hired one, the said person or the recipient may generate the e-way bill in Form GST INS-1 online on the common portal after furnishing information in Part B of Form GST INS-01;
If the goods are handed over to a transporter, the registered person shall furnish the information relating to the transporter in Part B of FORM GST INS-01 on the common portal and the e-way bill shall be generated by the transporter on the said portal on the basis of the information furnished by the registered person in Part A of Form GST INS- 01
Way bill could be generated for consignment below fifty thousand rupees but that is option, not mandatory.
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After furnishing all information electronically at common portal, a unique e-way bill number (EBN) will be generated and available to supplier, receiver and the transporter. In case, transporter or supplier transfer goods from one vehicle to another, a new e-way bill will have to be generated by filling Form GST INS-01 specifying therein the mode of transport.
If a single vehicle contains multiple consignments, then transporter have to mention all consignment’s e-way bill number electronically at common portal and will generate consolidated e-way bill in Form GST INS-2 before supplying goods from his godown.
In case E-way bill has been generated but goods haven’t supplied or transported, E-way bill may be cancelled electronically on common portal, either directly or through a Facilitation Centre notified by the Commissioner, within 24 hours of generation of the e-way bill. E-way bill can’t be cancelled if it has been verified during transit.
Validity of E-way bill or Consolidated E-way bill:
One Day for Distance less than 100 km
Three Days for Distance between 100 km to 300 km
Five days for Distance between 300 km to 500 km
Ten days for Distance between 500 km to 1000 km
Fifteen days for Distance between 1000 km or more
2. Documents and devices to be carried by a person-in-charge of a conveyance or vehicle or transporter during transit:
i) the invoice or bill of supply or delivery challan, as the case may be
ii) a copy of the e-way bill or the e-way bill number,(E-way bill may be in form of any physical proof or mapped to a Radio Frequency Identification Device (RFID) embedded on to the conveyance in such manner as may be notified by the Commissioner.
3. Physical verification of conveyances shall be carried out by the proper officer as authorized by the Commissioner or an officer empowered by him in this behalf:
Provided that on receipt of specific information of evasion of tax, physical verification of a specific conveyance can also be carried out by any officer after obtaining necessary approval of the Commissioner or an officer authorized by him in this behalf.
4. Inspection and verification of goods
i) A summary report of every inspection of goods in transit shall be recorded online by the proper officer in Part A of Form GST INS – 03 within twenty four hours of inspection and the final report in Part B of Form GST INS – 03 shall be recorded within three days of the inspection.
ii) Where the physical verification of goods being transported on any conveyance has been done during transit at one place within the State or in any other State, no further physical verification of the said conveyance shall be carried out again in the State, unless specific information relating to evasion of tax is made available subsequently.
5. Facility for uploading information regarding detention of vehicle
Where a vehicle has been intercepted and detained for a period exceeding thirty minutes, the transporter may upload the said information in Form GST INS- 04 on the common portal.
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