E-Way (Electronic way) bill is a document required to be carried by a person in charge of the conveyance carrying any goods of value for more than Rs. 50,000. It was introduced earlier this year with an aim to make the interstate movement of goods smoother, swifter and easier. An E-Way bill is created via GST common portal for E-Way bill system.
E-way Bill needs to be generated in relation to the following given transactions:
- Movement of goods in relation to their supply for a consideration
- Movement of goods for some reason apart from the supply of goods, e.g., sales returns or movement for repair of goods, free of cost supplies, etc.
- Domestic acquisition of goods from an unregistered person.
- Import of goods from outside India.
Pincode Based State Validation.
The user has to enter the input based on the Pin Code and the E-Way Bill system will auto-populates the state. If the pin code has reference to multiple states then the taxpayers can select the suitable state by clicking.
Real-Time GST Rate Validation
Now, we have an error-free system which will auto validate tax rates entered by the user. Though it is not mandatory for the system user to feed tax rates if they do so then the system will cross check with standard rates which are fixed by the GST Council.
| CGST (%) | SGST (%) | IGST (%) | CESS-Advol (%) | CESS-Non-Advol. (Rs.) |
| 0 | 0 | 0 | 0 or 1 or 3 or 5 | 0 |
| or 11 or 12 or | ||||
| 12.5 or 15 or 17 | ||||
| 0.05 | 0.05 | 0.1 | or 21 or 22 or 36 | 400 |
| 0.125 | 0.125 | 0.25 | or 49 or 60 or 61 | 2076 |
| 1.5 | 1.5 | 3 | or 65 or 71 or 72 | 2747 |
| 2.5 | 2.5 | 5 | or 89 or 96 or | 3668 |
| 6 | 6 | 12 | 142 or 160 or | 4006 |
| 9 | 9 | 18 | 204 or 249 | 4170 |
| 14 | 14 | 28 | 400 |
Validation of Supply Type with Document Type
A consignee needs to carry proper documents of supply of goods for a stress-free transportation. The E-way Bill contains the fields to select document types and the taxpayer can enter the type of suppliers and buyers involved. In case the bill is being generated by consignees columns related to ‘From GSTIN (Supplier)’ and ‘To GSTIN (Buyer)’ validations will change accordingly.
| Transaction Type | Transaction Sub-Type | Document Type | From GSTIN (Supplier) | To GSTIN (Buyer) |
| Outward | Supply | Tax Invoice | Self | Other GSTIN/URP |
| Bill of Supply | Self | Other GSTIN/URP | ||
| Export | Tax Invoice | Self | URP | |
| Bill of Supply | Self | URP | ||
| Job Work | Delivery Challan | Self | Other GSTIN/URP | |
| SKD/CKD | Tax Invoice | Self | Other GSTIN/URP | |
| Bill of Supply | Self | Other GSTIN/URP | ||
| Delivery Challan | Self | Other GSTIN/URP | ||
| Recipient not Known | Delivery Challan | Self | Self | |
| Others | Self | Self | ||
| For Own Use | Delivery Challan | Self | Self | |
| Exhibition or Fairs | Delivery Challan | Self | Self | |
| Line Sales | Delivery Challan | Self | Self | |
| Others | Delivery Challan | Self | Self/Other | |
| Others | Self | Self/Other | ||
| Inward | Supply | Tax Invoice | Other GSTIN/URP | Self |
| Bill of Supply | Other GSTIN/URP | Self | ||
| Import | Bill of Entry | URP | Self | |
| SKD/CKD | Bill of Entry | URP | Self | |
| Tax Invoice | Other GSTIN/URP | Self | ||
| Bill of Supply | Other GSTIN/URP | Self | ||
| Delivery Challan | Other GSTIN/URP | Self | ||
| Job Work Return | Delivery Challan | Other GSTIN/URP | Self | |
| Sales Return | Delivery Challan | Other GSTIN/URP | Self | |
| Exhibition or fairs | Delivery Challan | Self | Self | |
| For Own Use | Delivery Challan | Self | Self | |
| Others | Delivery Challan | Self/Other | Self | |
| Others | Self/Other | Self |
The movement to Transporter’s place
If a consignment has multiple legs supplier then he will need to input details of the first leg of movement only. Unlike the present practice, the supplier does not have to fill Part-B details. The consignment legality and movement for the remaining leg of the journey would be considered valid.
Automatic Distance calculation between Consignor and consignee
Your E-way Bill will auto calculate the distance (in KMs) between source PIN code and destination PIN code. This process will make your data entry easier as it will auto-populated on the entry of source PIN code and destination PIN code.
One E–waybill for One Invoice Number
Your E-way Bill System will also check and alert you against multiple E-way Bill generations for a single invoice number. The consignor would be permitted to carry with the multiple e-way bills practice if and only if original invoice with the correct number is available and validated.
Bill To– Ship To’ Transactions
Now, E-way Bill System will auto capture details of Bill To – Ship To’ Transactions. These are those transactions where the invoice and the consignment are shipped to two different entities. The person who receives the invoice from the supplier then sales the product/consignment to a third party further gets it delivered from the supplier itself.
Category:
- Regular OR Bill to –Ship To OR Bill From – Dispatch From OR Both
- GSTIN and Name of Dispatching Party, if a category is ‘Bill From – Dispatch From’ or ‘Both’
- GSTIN and Name of Shipping Party, if a category is ‘Bill to – Ship to’ or ‘Both’
Mandatory GSTR-1 data for users of API and Offline (Excel) tool
Post the upgrade, it will be compulsory for those who use API and other Offline tools to include information related to Form GSTR-1 with the E-way bill basic data to produce e-way bills.
Hence, we need to implement technology-based solutions to manage our compliance with E-way Bill to mandate our business. This will make everyone aware of the importance of putting such solutions in place for organizations and that doing so will significantly enhance the efficiency of our operations. Our business needs to closely monitor new developments in the E-way Bill compliance process and quickly adapt to changing requirements.
