As a business proprietor, your daily operations often necessitate the transportation of merchandise from one location to another. Nevertheless, adhering to the prevailing regulations during the transportation process is imperative. According to the Goods and Services Tax (GST) legislation, possessing an e-way billing system (e-way bill or EWB) is mandatory for the lawful conveyance of goods between different destinations.
The e-way bill is a digital document that pertains to the movement of goods. Following these regulations, any individual or entity registered under GST is not authorized to transport goods valued at more than Rs 50,000 using a vehicle unless an e-way bill is generated. You can conveniently generate an e-way bill online through the GST portal.
What is an E-Way Bill?
The term’ Electronic Way Bill’ or ‘e-way bill‘ refers to a document that came into existence as a crucial component of the goods and services tax e way bill or goods and service tax. It helps trace goods in transit. Any taxable person creating the e-way bill on the GST website must register it under it. This is mandatory if the taxable person is transporting goods worth more than fifty thousand rupees.
Numerous platforms are available to businesses, streamlining the process of creating and overseeing e-way bills. With these e-way bill tools, you can seamlessly harmonize supplier and customer accounts, procurement invoices, GST invoices, and bills of supply.
The primary objective behind the e-way bill generate system is to guarantee that the transportation of goods adheres to GST regulations while also monitoring the movement of goods, thus preventing tax evasion.
Who Can Generate an E-Way Bill?
Following are the members who may create an e-way bill through SMS, online, API, or App:
- Recipients
- Suppliers
- Transporters
- Tax officers
When Should You Generate the Bill?
Any registered GST member can now generate an e-way bill for the following events:
- When the supplier provides supplies,
- During Return,
- Inward supply from an unregistered person
Registration Process for Taxpayers
Registering under the GST system is a straightforward process for individuals. Begin by clicking on the e-Way Bill Registration link.
After that, input your GSTIN and click “Go” to proceed to the second step. When you enter your GSTIN, fields such as applicant name, trade name, address, and mobile number will be automatically filled in.
At the bottom of the form, opt for the “Send OTP” choice, input the code you receive on your registered mobile number, and click “Verify OTP.”
The final step involves creating a username and password for system access. The system will validate the username and issue an approval or rejection notification. If your chosen username is not approved, you will need to provide a new one until the system accepts it.
How Do You Generate an E-Way Bill Online Via the GST Portal?
If you’re seeking guidance on how to make an e-way bill using the online GST portal, you can follow the steps outlined below:
Step 1:
Begin by logging into the e-way bill system by entering your username and password, along with the Captcha code.
Step 2:
On the left-hand side of the dashboard, locate and select the ‘e-way bill’ option, then click on ‘generate new.’
Fill in the following fields on the screen:
- Transaction type: Choose ‘outward’ if you are the supplier or ‘inward’ if you are the recipient of the consignment.
- Sub-type: Select the applicable sub-type.
- The Document Number is: Enter the document or invoice number.
- Document type: Pick from options like invoice, bill, challan, credit note, bill of entry, or select ‘others’ if your document type is not listed.
- Date of Document: Choose the invoice date, challan, or document (future dates are not applicable).
- From/To: Depending on whether you are the supplier or recipient, provide the ‘from/to’ details. For unregistered suppliers or clients, specify ‘URP’ in the GSTIN field to indicate an unregistered person.
- Item details: Furnish the consignment particulars, including- description, product name, quantity, HSN code, unit, CGST, SGST, IGST rates in percentage, Cess or other applicable tax rates in percentage.
- Transporter details: It is compulsory to provide the mode of transport and the estimated distance covered in kilometers. You can also include the transporter’s name, ID, document number, and date, or the vehicle number used for transporting the consignment.
Step 4
Click on’submit’. The e way bill generation system will validate the data entered and show up if any errors occur. If not, your request will be processed, and the e-way bill will be generated in Form EWB-01 along with a unique 12-digit number.
Now that you know how to get e-way bill via the GST portal, ensure you transport goods while complying with the law.
E-Way Bill Exemptions
Here are situations where there is no requirement to generate an E-Way bill:
- When goods are transported using non-motorized vehicles.
- When the goods being transported are sealed with customs approval and are under customs supervision.
- For transit cargo moving to or from Bhutan or Nepal.
- When empty cargo containers are being transported.
- When the consignor of the goods is either the State Government, Central Government, or a local authority, the goods are transported by rail. In such cases, there is no need for the E-way bill to be generated.
Conclusion
Understanding the procedure for online E-Way bill generation is vital to inter-state and intra-state goods transportation within India. The E-Way bill online generation process is user-friendly and can be accomplished through the E-Way bill portal. It is imperative to double-check that all essential GST invoice information is entered accurately to steer clear of any legal repercussions.
Implementing the E-way bill generated has brought about more efficiency and transparency in the transportation sector, reducing transportation costs and fewer delays. With the guidance provided in this article, you can now effortlessly create an E-Way bill, ensuring that your merchandise reaches its destination seamlessly.
FAQs
Q1. What is an e-way bill?
E-way bill is an electronic document required for transporting goods worth over Rs. 50,000 within or outside a state. It contains details of the shipment, goods, recipient, etc.
Q2. Who needs to generate e-way bill?
Registered suppliers transporting taxable goods worth over Rs.50,000 are required to generate an e-way bill. Transporters carrying such consignment also need it.
Q3. When does the supplier have to generate e-way bill?
E-way bill must be generated before the movement of goods begins. For distances less than 100 km, it can be generated within 24 hours of movement.
Q4. How is e-way bill generated?
E-way bill is electronically generated on the GST portal, via SMS, using API or integrated 3rd party software before starting the transport.
Q5. What information is required for generating e-way bill?
Details like GSTIN of recipient & supplier, goods being transported, invoice details, transporter ID, vehicle number etc. are required.
Q6. Is e-way bill required for all goods movement?
E-way bill is not required for exempt goods or if both the pickup and delivery address are within the same state.
Q7. How do I report delivery of shipment?
Once goods reach the recipient, both supplier and recipient need to update it as delivered/received within 72 hours on portal.
Q8. What if the vehicle breaks down during transit?
You can update vehicle breakdown as the reason for delay in updating e-way bill to avoid penalty.