E-WAY BILL

Applicability

Every registered person who causes movement of goods of consignment value exceeding ₹ 50,000/- (for inter-state)

[₹ One Lakh for Intra-State Movement in state of Maharashtra] before commencement of movement, furnish information relating to the said goods in Part A of FORM GST EWB-01, electronically, on the common portal

1. in relation to a supply; or
2. for reasons other than supply; or
3. due to inward supply from an unregistered person,

What is consignment Value?

• The term "Consignment Value", as provided under Notification No. 12/2018 means value determined as per section 15 of the CGST Act as mentioned on the invoice, bill of supply or delivery challan as the case may be including the applicable tax thereon. Hence, the consignment value is total value as mentioned in the document including tax. The value of exempt supply must be reduced.

e-Way Bills – Non-Applicability

1. where the goods being transported are specified in Annexure to Rule 138(14)

• Liquefied petroleum gas for supply to household and non-domestic exempted category (NDEC) customers
• Kerosene oil sold under PDS
• Postal baggage transported by Department of Posts
• Natural or cultured pearls and precious or semi-precious stones; precious metals and metals clad with precious metal (Chapter 71)
• Jewellery, goldsmiths’ and silversmiths’ wares and other articles (Chapter 71)
• Currency
• Used personal and household effects
• Coral, unworked (0508) and worked coral (9601)”;

2. where the goods are being transported by a non-motorized conveyance;
3. where the goods are being transported from the customs port, airport, air cargo complex and land customs station to an inland container depot or a container freight station for clearance by Customs;
4. in respect of movement of goods within such areas as are notified under clause (d) of sub-rule (14) of rule 138 of the State or Union territory Goods and Services Tax Rules in that particular State or Union territory;
5. where the goods, other than de-oiled cake, being transported, are specified in the Schedule appended to Notification No. 2/2017- Central tax (Rate) dated the 28th June, 2017 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R 674 (E) dated the 28th June, 2017 as amended from time-to-time;
6. where the goods being transported are alcoholic liquor for human consumption, petroleum crude, high speed diesel, motor spirit (commonly known as petrol), natural gas or aviation turbine fuel;
7. where the supply of goods being transported is treated as no supply under Schedule III of the Act
8. where the goods are being transported—
   1. under customs bond from an inland container depot or a container freight station to a customs port, airport, air cargo complex and land customs station, or from one customs station or customs port to another customs station or customs port, or
   2. under customs supervision or under customs seal;
9. where the goods being transported are transit cargo from or to Nepal or Bhutan;
10. where the goods being transported are exempt from tax under notification No. 7/2017-Central Tax (Rate), dated 28th June 2017 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R 679(E)dated the 28th June, 2017 as amended from time to time and notification No. 26/2017- Central Tax (Rate), dated the 21st September, 2017 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R 1181(E) dated the 21st September, 2017 as amended from time-to-time;
11. any movement of goods caused by defence formation under Ministry of defence as a consignor or consignee;
12. where the consignor of goods is the Central Government, Government of any State or a local authority for transport of goods by rail;
13. where empty cargo containers are being transported; and
14. where the goods are being transported upto a distance of 20 kilometers from the place of the business of the consignor to a weighbridge for weighment or from the weighbridge back to the place of the business of the said consignor subject to the condition that the movement of goods is accompanied by a delivery challan issued in accordance with rule 55.
15. where empty cylinders for packing of liquefied petroleum gas are being moved for reasons other than supply.

Who can also generate e-Way Bill if authorised?

• Transporter authorized by registered person
• E-commerce operator or courier agency on authorization from consignor
• Principal or job work in case of inter-state supply

Requirements regarding Part – B of FORM GST EWB – 01

• Part B can be updated within max 15 days
• E-way Bill is Invalid without updating Part B
• Where the goods are transported by railways, the railways shall not deliver the goods unless the e-way bill required under these rules is produced at the time of delivery
• If distance between place of business of consignor and that of transporter is less than 50 kms, no need to furnish Part B of FORM GST EWB – 01

Whether goods of one invoice be moved in multiple vehicles?

Where the goods are being transported in a semi knocked down or completely knocked down condition, the EWB shall be generated for each of such vehicles based on the delivery challans issued for that portion of the consignment as per CGST Rule 55 which provides as under:

1. Supplier shall issue the complete invoice before dispatch of the first consignment;
2. Supplier shall issue a delivery challan for each of the subsequent consignments, giving reference of the invoice;
3. each consignment shall be accompanied by copies of the corresponding delivery challan along with a duly certified copy of the invoice; and
4. Original copy of the invoice shall be sent along with the last consignment

Multiple EWBs are required to be generated in this situation. That is, the EWB has to be generated for each consignment based on the delivery challan details along with the corresponding vehicle number.

Validity of e-Way Bills

• the Commissioner may, by notification, extend the validity period of e-way bill for certain categories of goods as may be specified therein
• For the purposes of this rule, the “relevant date” shall mean the date on which the e-way bill has been generated and the period of validity shall be counted from the time at which the e-way bill has been generated and each day shall be counted as the period expiring at midnight of the day immediately following the date of generation of e-way bill
• Validity of e-way bill will start from the date when the vehicle number is updated in Part B
• Validity of the e-way bill may be extended within 8 hours from the time of its expiry
• Where an e-way bill has been generated on or before
  24-03-2020 and its period of validity expires during the period 20-03-2020 to 15-04-2020, the validity period of such e-way bill shall be deemed to have been extended till
  31-05-2020 vide Notification 40/2020 dated 05-May-2020

Other Features

• e-way bill generated under sub-rule (1) shall be made available to the recipient, if registered, on the common portal, who shall communicate his acceptance or rejection of the consignment covered by the e-way bill.
• Where the recipient does not communicate his acceptance or rejection within 72 hours of the details being made available to him on the common portal, it shall be deemed that he has accepted the said details.
• The facility of generation and cancellation of e-way bill may also be made available through SMS
• The e-way bill generated under rule 138 of the CGST rules or GST rules of any other State shall be valid in every State and UT
• Rule 138E - No person (including a consignor, consignee, transporter, an e-commerce operator or a courier agency) shall be allowed to furnish the information in PART A of FORM GST EWB-01 in respect of a registered person, whether as a supplier or a recipient, who,—
  1. being a person paying tax under section 10, has not furnished the returns for two consecutive tax periods; or
  2. being a person other than a person specified in clause (a), has not furnished the returns for a consecutive period of two months; or
  3. being a person other than a person specified in clause (a), has not furnished the statement of outward supplies (GSTR-1) for any two months or quarters, as the case may be.

e-Way Bill Rules

Sec 129. Detention, seizure and release of goods and conveyances in transit

1. Notwithstanding anything contained in this Act, where any person transports any goods or stores any goods while they are in transit in contravention of the provisions of this Act or the rules made thereunder, all such goods and conveyance used as a means of transport for carrying the said goods and documents relating to such goods and conveyance shall be liable to detention or seizure and after detention or seizure, shall be released,––
   1. on payment of the applicable tax and penalty equal to one hundred per cent of the tax payable on such goods and, in case of exempted goods, on payment of an amount equal to 2% of the value of goods or ₹ 25,000/-, whichever is less, where the owner of the goods comes forward for payment of such tax and penalty;
   2. on payment of the applicable tax and penalty equal to the fifty per cent. of the value of the goods reduced by the tax amount paid thereon and, in case of exempted goods, on payment of an amount equal to 5%. of the value of goods or ₹ 25,000/-, whichever is less, where the owner of the goods does not come forward for payment of such tax and penalty;
   3. upon furnishing a security equivalent to the amount payable under clause (a) or clause (b) in such form (GST INS-04 / GST MOV-08) and manner prescribed in Rule 140:

   Provided that no such goods or conveyance shall be detained or seized without serving an order of detention or seizure on the person transporting the goods.

2. The provisions of sub-section (6) of section 67 shall, mutatis mutandis, apply for detention and seizure of goods and conveyances.
3. The proper officer detaining or seizing goods or conveyances shall issue a notice specifying the tax and penalty payable and thereafter, pass an order for payment of tax and penalty under clause (a) or clause (b) or clause (c).
4. No tax, interest or penalty shall be determined under sub-section (3) without giving the person concerned an opportunity of being heard.
5. On payment of amount referred in sub-section (1), all proceedings in respect of the notice specified in sub-section (3) shall be deemed to be concluded.
6. Where the person transporting any goods or the owner of the goods fails to pay the amount of tax and penalty as provided in sub-section (1) within 14 days of such detention or seizure, further proceedings shall be initiated in accordance with the provisions of section 130:

   Provided that where the detained or seized goods are perishable or hazardous in nature or are likely to depreciate in value with passage of time, the said period of seven days may be reduced by the proper officer.