E-way Bill System – GST E-way Bill Rules & Generation Process & FAQs

‘E-way bill’ is popularly known as ‘Electronic Way Bill’. The main motto behind the e-way bill under GST is controlling tax evasion; tracking the movement of goods and ensuring adequate compliance with the GST law.

E-way Bill System-

An e-way bill can be generated as and when there is a movement of goods whose value is more than INR 50,000 through a vehicle or conveyance. The movement of goods can be-

• In relation to a supply; or
• For any of the reason apart from supply; or
• From an unregistered person- inward supply.

An e-way bill in Form GST EWB-01 having two parts i.e. ‘PART A’ and ‘PART B’. The details covered by the both parts are given below-

PART A includes of the following details-

• GSTIN of the supplier
• GSTIN of the Recipient
• Place of Dispatch and Delivery
• Document Date and Number
• Value of Goods
• HSN Code
• Reason for Transportation.

While PART B includes of the following details-

• Vehicle No. for Road; and
• Transport Document No. / Defence Vehicle No. / Temporary Vehicle Registration No. / Bhutan or Nepal Vehicle Registration No.

List of essential documents or generating E-way bill

Following documents/ details are needed to generate an e-way bill-

1. Invoice of Supply or Challan related to the consignment of goods.

2. Transport details as follows-

The details in Part A of Form GST EWB-01 must be filed before the commencement of the movement of goods. Whereas, Part B is to be filed by the transporter later on.

Which Persons are liable to generate E-way bill?

These are the categories of persons who are liable to generate e-way bill –

1. Registered person-

A registered person whose movement of good’s consignment with their value over and above INR 50,000 is liable to generate an e-way bill.

Important point- An e-way bill can also be generated if the goods values is below INR 50,000 but it depends on the registered person.

2. Unregistered person-

The person who is unregistered person under GST is also required to generate an e-way bill.

It is essential to note here that in case the supplier is an unregistered person and receiver is a registered person. Then, the registered person i.e. the receiver will need to confirm meeting up all the compliances related with e-way bill.

3. Transporter-

The transporter carrying via road, air, rail, etc. is required to generate an e-way bill, if the goods supplier has not generated the e-way bill.

How to Generate E way Bill?

For generating an e-way bill, a person need to follow below simple and easy steps-

1. Visit https://docs.ewaybillgst.gov.in/.
2. Login with your ‘Username’ and ‘Password’.
3. From the drop-down list of ‘e-Waybill’, select ‘Generate New’.
4. Enter all the required e-way bill generation details.
5. Click on ‘Submit’ button.

Validity of E-way bill-

According to the rule 138(10) of the CGST Rules, the validity of an e-way bill is explained below-

Particularly, an extension of the above validity period of e-way bill is possible only under exceptional circumstances. However, the validity may be extended within eight hours from the time of their expiry.

What is the penalty for non-generation of e-invoice?

In case if you have not generate e-invoice then these are the consequences are to be faced under the provisions of rule 138

Penalty u/s 122-

A taxable person who is transporting any taxable goods without e-way bill will be liable to a pay penalty i.e. INR 10,000 or the amount of tax evasion.

Detention or seizure u/s 129-

If any person does not have an electronic-way bill, goods and vehicles used for transporting or storing goods can be detained by the departmental officer.

FAQs-

What is the purpose of E-way bill?

E-way bill is introduced to ensure that the goods being transported has complied with the GST law. This is an effective tracker too for the movement of goods and checks tax evasion.

Is E-way bill compulsory?

Yes, generation of e-way bill is essential when the consignment value exceeds the amount i.e. INR 50,000.

What is e-way bill generation process?

Login in to the e-way bill portal; click on the ‘Generate new’ option and providing mandatory information.

What is URP in e-way Bill?

URP stands for Unregistered Person and it needs to be mentioned where one party is not registered under GST.

How do you generate URP in e-way Bill?

Steps to generate URP are-

• Visit the e-way bill portal.
• Click Generate New EWB.
• Fill up the all essential details and click ‘Continue To Bill Generation’

What happens if e-way bill is not generated?

In case of if you do not generate e-way bill, the defaulter will be liable to pay higher penalty amount i.e. NR 10,000 or the amount of tax evaded.

Is e-way bill compulsory for less than 50,000?

E-way bill generation is not essential in case of the consignment value less than INR 50,000.

Where is e-way bill not required?

E-way bill generation is not required for circumstances covered under provisions of CGST- rule 138(14).

Can we generate backdated e-way bill?

E-way bill need to be generated before commencing the movement of goods. Generation of e-way bill on backdated will be penalized under the law of GST.

Can buyers generate e-way bill?

Supplier/ transporter is responsible for generating e-way bill. However, in some circumstances, an unregistered buyer can generate an e-way bill too.

Can we generate e-way bill without GST No.?

Generally, registered person generates e-way bill. But there is an option, wherein, even unregistered can generate e-way bill too.

Can invoice date and e-way date be different?

Tax invoice date and e-way bill date can be different.

Is e-way bill required for stock transfer?

Yes, it is needed to generate e-way bill for stock transfers also.