Under the GST system, the transporters must carry an e-way bill, while trucking goods from one place to another, in some specific conditions.
Explain the E-way bill
It is an electronic way bill that is required during the movement of the goods and it needs to be generated from the e-way bill portal. As per the rules, a person carrying goods of value worth more than Rs. 50,000 (single invoice), must have an e-way bill with them.
For the generation of the e-way bill, apart from the portal, it can also be done through SMS, android, and through site-to-site integration via API by using the correct GSTIN.
An e-way bill number is available with the generation of an e-way bill which is available to the recipient, transporter, and to supplier.
Who needs to generate an E-way Bill?
For a registered person An e-way bill should be generated and carried during the movement of goods between two registered persons with a value of more than Rs. 50,000. However, a registered person, may or may not carry an e-way bill in the case of transporting goods value less than Rs. 50,000.
For an unregistered person An unregistered also needs to carry an e-way bill, however, while supplying goods from an unregistered person to a registered person, the recipient must ensure that all the compliances are being met.
For the transporter The transporters must carry e-way bills while carrying goods by air, road, rail, and other inland carriers, in case the supplier did not generate the e-way bill.
On what occasions there is no requirement for an e-way bill?
These are the following occasions when an e-way bill is not necessary
- When the transport mode is non-motor
- Goods that are transported from the airport, customs port, air cargo complex, and land customs to Inland Container Depot (ICD), Container Freight Station (CFS) for customs clearance.
- Goods that are transported under the supervision of the customs officer or a customs seal.
- Goods that are transported under the custom bond, that is from ICD to customs port or between customs two stations.
- Transit Cargo that is transported to or from Nepal and Bhutan.
- Movement of goods under the Ministry of Defense as a consignor or consignee.
- When there are empty cargo containers.
- Goods transported by the assignor between the place of business and a weighbridge that is not more than 20 km, along with a delivery challan.
- Goods transported via rail where the consignor is either the central or the state government or the local authority.
- Goods that are exempted from the requirement of an e-way bill on the respective state’s GST rules.
How to generate an E-way Bill?
Here is the step-by-step guide to generating an E-way Bill from the E-way portal.
- Step 1: Log in to the E-way portal using your username, password, and captcha code.
- Step 2: Click on “generate new” under the “e-way bill” option.
- Step 3: fill in the details
- Select outward under transaction type if you are the sender and inward if you are the receiver.
- Select the document type which can be any one from the following options. If you don’t get the option listed, you can choose others.
- Enter the document date printed.
- The document details once entered cannot be changed.
- Now fill in the destination and origin details, in the “to” and “from” sections, depending on what you are, a supplier or a recipient.
- If the supplier or the receiver is unregistered, enter URP which means Unregistered Person
- Now fill in the consignment details. The information needed is as follows:
- Product Name
- Product Description
- HSN Code
- Taxable Value
- Applicable CGST, SGST, and IGST rates
- Cess rates if any
- It is mandatory to fill in the transporter details like the mode of transport and the total distance traveled.
- Step 4: Click the submit button. If there are no errors in the data entry, the e-way bill will be generated. It will be a 12-digit unique code.
- Note: Keep a printout of the same and hand over another copy to the driver as he needs to present it in the state borders along with the goods.
What is the Validity of the e-way bill?
The validity of the e-way bill is determined by the date of creation and the distance the goods traveled. Here are the details of the e-way bill validity mentioned below:
- Except for over-dimensional cargo, if it is traveled less than 200 km, the validity is 1 day. While, for every additional 200 km, an additional 1 day of validity is added.
- For over-dimensional cargo, if it is traveled less than 20km, the validity will be 1 day. Similarly, for every additional 20 km, an additional 1 day of validity will be added.
- The generator can also extend the validity of the e-way bill which must be done within eight hours, before or after its expiry.
What are the documents required for the generation of an e-way bill?
- Invoice/Supply bill/Challan
- For transport by road – Vehicle Number or Transporter ID
- For transport by rail, air, or ship – Transport document number, Transporter ID, and document date.