Hello, in this post we are going to discuss on the e-way bill rules.
We will cover the following topics in this blog post:
- Who can generate e-way bill?
- When to generate e-way bill?
- When is e-way bill not required?
- Who can reject the e-way bill and Why?
- Validity of e-way bill
- What documents have to be carried along with e-way bill?
Who can generate e-way bill?
When you do transportation of goods worth more than Rs 50,000 an E-way bill should be generated.
It is generated by:
- Every registered person (consignor/consignee/recipient of goods) who causes movement of goods of the consignment. Even if the value of the goods is less than 50,000 it is the registered person’s choice to carry the e-way bill.
- Every unregistered person who makes a movement of goods.
- Transporters can generate an e-way bill for carrying the goods (any mode of transportation) if the supplier did not generate it.
When to generate e-way bill?
You are required to generate an e-way bill when there is a movement of goods in a vehicle/ conveyance of value more than Rs. 50,000:
- In relation to a ‘supply’
- For reasons other than a ‘supply’ ( ex. return)
- Due to inward ‘supply’ from an unregistered person
For this purpose, a supply can be considered during or not in the course of business or it can also mean sale, transfer or exchange.
But for certain goods, e-way bill generation is mandatory even if the value of the consignment of Goods is less than Rs. 50,000 for the following:
- Inter-State Transport of Goods by the Principal to the Job-worker by Principal/ registered Job-worker,
- Inter-State transfer of Handicraft goods by a dealer exempted from GST registration.
When is e-way bill not required?
E-way bill is not mandatory for the following cases:
- When the transportation of goods is within a distance less than 10 km (inter-state) between the place of business of the transporter to the place of business of the consignee.
- When the transportation of goods is within a distance less than 10 km (inter-state) between the place of business of the consignor to the place of business of the transporter for further transportation.
- Transportation of goods by a non-motorised conveyance.
- Transportation of goods for Customs clearance from the port, airport, air cargo complex and land customs station to an inland container depot/container freight station.
- For certain goods like jewellery, household items etc.
- The transportation of goods within areas as notified under clause (d) of sub-rule (14) of rule 138 of the GST Rules of the concerned state.
- Transportation of transit cargo to or from Nepal or Bhutan.
- Transportation of empty cargo containers.
- It is mandatory to generate an e way bill in case of transportation of goods for a distance of more than 10 km but less than 50 km but not necessary to include the details of the conveyance.
Who can reject the e-way bill and Why?
- The person responsible for the transportation of goods should generate the e-way bill including the recipient’s details.
- The other party can see the e-way bill generated against his/her GSTIN in the common portal.
- Being the other party the acceptance/ rejection of such consignment specified in the e-way bill can be communicated, If not communicated within 72 hrs from the time of generation, it is regarded that he has accepted the details.
The validity of an e-way bill
You can calculate the validity of the e-way bill from the date and time of its generation. It also depends on the distance you have to transport goods.
- Other than over-dimensional cargo: For distance less than 100km, the validity is 1-day. For extra 100kms or part thereafter 1 day is added.
- Over-dimensional cargo: For distance, less than 20km, the validity is 1 day. For extra 20kms or part thereafter 1 day is added.
What documents have to be carried along with e-way bill?
You will need the following documents when you submit your e-way bill:
- You need a tax invoice/bill of supply/delivery challan,
- A copy of the e-way bill/the e-way bill number generated.
- Means of Transport: Road, Documents required: Transporter ID or Vehicle number
- Means of Transport: Rail, air, or ship, Documents required: Transporter ID, Transport document number, and date on the document
With that, we have come to an end of this post on E- way bill rules. Share your queries with us in the comments section.