E-way Bill under GST

Every registered person who causes “movement of goods” of consignment value exceeding fifty thousand rupees — (i) in relation to a supply; or (ii) for reasons other than supply; or (iii) due to inward supply from an unregistered person, shall, before commencement of movement, furnish information relating to the said goods in Part A of FORM GST INS-01, electronically, on the common portal. Any transporter transferring goods from one conveyance to another in the course of transit shall, before such transfer and further movement of goods, generate a new e-way bill. Thus every movement may it be from factory place to the place of transporter, or sending goods to job worker or a movement from manufacturers one location to another shall require an e-way bill. This would be burdensome for the supplier because he will have to keep gauge of every movement of goods.

Also, there are rigid timelines regarding e-way bills. If the goods do not reach the destination in time mentioned in the E way bill then the earlier E way bill will expire and a new E way bill will have to be generated. In case of unforeseen circumstances leading to transfer of goods from one vehicle to another will nullify the earlier e-way bill and transporters would have to create a new e-way bill on the GSTN portal before moving ahead.

The entire multi-layered process will require participation by the supplier, the transporter and even the recipient, who have to communicate its acceptance or rejection of the consignment covered by the e-way bill within a very short period. This will cause myriad of inconveniences and cumbersome digital work for small time businessmen.
Further transporters generally belong to a class that is unorganized and is not well versed with digital equipments, thus it will be a challenge to implement this system smoothly.
Also the assessee will be left burdened with generating the E Bills for every single movement of goods. The proposed E-way bills, which will be required for movement of goods will make transport of goods a cumbersome, delayed and pricey affair under the GST regime.

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Ca Pradeep Jain
Author is practicing Chartered Accountant, practicing in indirect taxation laws- Central Excise, Customs, Service Tax and DGFT since 1994; having head office at Jodhpur and Branch Office at Ahmedabad. He is prominent speaker in various seminars held on indirect taxation during budget. Addressed various seminars of ICAI chapter, has been faculty for residential courses held by ICAI. He can be reached at Pradeep@capradeepjain.com

1 thought on “E-way Bill under GST”

  1. what is the E-way bill forms for the following,

    1.One transport – multiple consignments multiple vendors
    2.One transport- multiple stops single vendor
    3.One transport multiple consignments multiple stops

    Reply

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