The GST council mandated the introduction of the e-Way bill on 1st April 2018 for the transportation of goods from one place to another. 

Since then, both sellers and transporters have been using the e-Way bill. Although many people are still unsure of what an e-Way bill is and how to generate one. 

Thus, all the answers to your question are in this article, so keep reading to learn more about the e-Way bill.

What is an e-way bill?

An e-Way Bill is an electronic way bill that is necessary for the movement of goods in case the value of the goods is greater than Rs.50,000.

The bill is generated using the GSTN portal, and it is required for every registered taxpayer, along with the goods transferred.

For example, if you are a seller and you need to transport your goods from Bhopal to Gujarat and the value of your goods exceeds Rs. 50,000, you will need to generate an e-way bill. Without an e-way bill, you will not be able to transport your goods.

When is an e-Way Bill required?

Following are the reasons why e-Way bill is required:

• When there is Interstate or Intrastate movement of goods for the reason of supply or other than supply.
• Goods value exceeding Rs. 50,000.
• Due to inward ‘supply’ from an unregistered person     (the one who is not registered under GST).

As a result, e-Way Bills for all these types of movements must be generated on the common portal. 

Who should generate an e-Way bill?

• Registered Person: Every person registered under GST is required to generate an e-Way bill on the occasion of transportation of goods.

• Unregistered Person: If a seller who is not registered under GST is supplying the goods, the buyer or receiver of those goods should generate an e-Way bill.

• Transporter: If the supplier has not generated an e-Way bill the transporter carrying goods should generate one.

When do you not need an e-Way bill?

• Mode of transport is non-vehicle – If the mode of transport is non-vehicle or goods are not transported by a car, truck, or any vehicle e-Way bill is exempted.

• Transportation of empty cargo containers – If a supplier transports empty cargo containers they won’t need an      e-Way bill.

• Transportation of goods by Customs – If the Custom (CBIC) department of India transports any goods from one place to another. 

• Movement of goods under Ministry of Defence – If goods are transported to or from the ministry of defense,        e-Way bill is not required.

• Goods exempted from the e-Way bill as per state/ territory rule – Every state and territory has its own GST rules. Therefore, goods that are free from GST according to their states do not require an e-Way bill.

Validity of e-Way Bill

An e-Way bill always has an expiration date, which is determined by the distance traveled by the goods. Here’s a chart to help you understand.

Type of conveyance	Distance	Validity of EWB  (e-Way Bill)
Over Dimensional cargo	Less Than 20 Km	1 Day
	Every additional 20 Kms	Additional 1 Day
Other than Over Dimensional cargo	Less Than 100 Km	1 Day
	For every additional 100 Kms	Additional 1 Day

• For Over dimensional cargo – If cargo is bigger in size than normal cargo, the validity of an e-Way bill for 20 Kms would be 1 day. But if the distance is increased then for every extra 20 Kms the validity will increase for 1 more day. 

• For other than Over dimensional cargo – If cargo is of regular size, the validity of an e-Way bill for 100 Kms would be 1 day. But if the distance is increased then for every extra 100 Kms the validity will increase to 1 more day.

Therefore, the validity of the e-Way bill can be extended also. The validity can be extended up to 8 hours before the expiry time and 8 hours after its expiry time. 

Also, the reason code for the extension, and a description of the reason, must be entered to extend the validity.

Documents Required to Generate e-Way Bill:

Here is the list of mandatory documents required to generate an e-Way bill: 

• Registration on the e-Way bill portal.
• Invoice/Challan/Bill related to the consignment of goods must be handy.
• If the mode of transportation is by road, Transporter ID and Vehicle Number are required.
• If the shipment is by rail, air, or ship, the transport document number and date on the documents are needed. 

All these documents must be available for registration and e-Way bill generation.

How to generate an e-Way Bill?

There are 3 methods of generating an e-Way bill:

• Online
• Through SMS
• By e-Invoicing

Here is a step-by-step guide to generating e-Way bill online.

Step 1: Register on e-Way bill system –

 To register, go to ewaybillgst.gov.in and click on Registration. 

Image Credit: ewaybill.gov.in

Enter the GSTIN pin and Captcha code then click on “Go”.

Image Credit: waybill.gov.in

Step 2: Login on the e-Way bill system –

Go to the Login option. Enter the Username, Password, and Captcha code, and Click on ‘Login’.

                                                   Image Credit: ewaybillgst.gov.in

Step 3: Generate new e-Way Bill:

Once you have logged in successfully, Click on generate new e-Way bill option. 

Step 4: Fill the form:

Fill the following fields in the form.

Image Credit: ewaybill.gov.in

• Transaction type – If you are a consignment supplier, select ‘Outward.’ If you are a consignment recipient, select ‘Inward.’

• Sub-type: Select your desired sub-type. 

The following subtypes appear when the Outward transaction type is selected:

Image Credit: cleartax.in

The following subtypes appear if the transaction type is set to Inward:

Image Credit: cleartax.in

• Document Type: Select one of the following if it is not listed: invoice, bill, challan, credit note, bill of entry, or others.
• Document Number: Enter invoice/document number.
• Document Date: Fill out the invoice, challan, or document’s date. The system does not allow you to fill a future date. 
• To/From: Select whether you are a supplier or a recipient in the To / From section.

                                  Image Credit: ewaybillgst.gov.in

• Description of the product:
•   HSN Number
•   Quantity, Unit, and Value/ Taxable Value
•   CGST and SGST or IGST tax rates (in percent )
•   If a Cess is charged, mention the rate  (in percent )

 

• Transporter information: Select the mode of transportation (road, rail, ship, or air) and the distance (in kilometres). 

Image Credit: ewaybillgst.gov.in

Then enter Transporter name, Transporter ID, Transporter Doc. No., and Date and distance(in km).

Step 5: Submit the form: After filling the form, the last select ‘Submit‘. If there are any errors, the system will check the data and display an error message.

Otherwise, your request will be processed, and an e-Way bill with a unique 12-digit number will be generated. The generated e-Waybill looks like this:

You can then print and carry the e-way bill whenever you transport your goods. You just have to click on the ‘Print EWB’ option under ‘e-Waybill’ and enter your e-Way bill 12 digit number and click on ‘Go’.

 Image Credit: ewaybillgst.gov.in

There you have it, with these easy steps you can generate an e-Way bill.

Conclusion:

The generation of an e-Way bill is necessary as per government guidelines. So, you must follow that and carry an e-Way bill whenever you transport goods. Hope this article helps you. For more such informative content you can read our other blogs on the Parceldeck website.