E-way bill in GST: Some important points

[Ganeshan Kalyani]

E-way bill is required to be generated if the value of the consignment is more than fifty thousand rupees. If the consignment value is less than ₹ 50,000/- then e-way bill is not required.

Aggregate value in conveyance exceeds ₹ 50,000/-:  More than one invoice is raised on a customer in a day each invoice is less than ₹ 50,000/- but all goods are carried in same vehicle. Then e-way becomes necessary for each invoice. Thereafter, a consolidated e-way bill can also be generated.

Irrespective of value of consignment: E-way bill is required irrespective of value of consignment if the material is send to job worker in another State, handicraft goods transported to another State.

Voluntary basis: E-way bill is required to be generated if the value of consignment is more than ₹ 50,000/-. However, a taxpayer can generate e-way bill even if the value of consignment is less than ₹ 50,000/- on voluntary basis.

Unregistered person can generate e-way bill at his option: The unregistered person can generate e-way bill. He has to enroll on E-way bill system using his PAN and Aadhar. If the movement of goods is caused by an unregistered person either in his own conveyance or a hired one or through a transporter he or the transporter may at their option, generate the e-way bill on the common portal.

Registered person can generate e-way bill on inward supply from unregistered person: A registered person is required to generate e-way bill on purchasing goods from an unregistered person. The responsibility lies with the buyer.

Exempted Goods: E-way bill is not required for transportation of goods exempted vide notification. However, cases found where the vehicle is detained by the officer on the ground that description of the goods mentioned on the face of the invoice is technical name whereas the name of the goods in the notification is general name known commonly. In that case e-way bill becomes necessary.

Consequence: E-way bill is very necessary to be carried along with the vehicle. Otherwise the officer will detain  the vehicle and tax and penalty will be demanded. Hence, it is essential to have e-way bill. generating e-way bill is a simple process and free and therefore taxpayer transporting the goods must generate e-way bill and carry it along with the vehicle.

Discussions to this article

[KASTURI SETHI]

Dear Sir,

Good article. You have explained the points which are not known to the tax payers.Pl. mention notification no.against the para titled as, 'Exempted goods'. This para is very important because the persons dealing with exempted goods do not give full description.

[Ganeshan Kalyani]

The exempted goods are enumerated in the Notification No.2/2017-CTR dated 28.06.2017 as amended from time to time. The transportation of goods falling under this notification is exempted from the requirement of e-way bill as well. Thanks Sri Kasturi Sir for your suggestion and appreciation.