"In the pre-GST era, waybill compliance had been mandatory for suppliers. Supply of goods couldn't take place without obtaining the waybills from VAT authorities," says Neeraj Bhagat, Chartered Accountant of Neeraj Bhagat & Co. Waybill is nothing but a physical document that allows movement of goods. The compliance around waybills had caused restricted movement of goods across states and this is one anomaly which hopefully GST will rectify.
The CBEC has released electronic way bill or e-way bill rules which will provide the framework for the transport of goods under the Goods and Services Tax (GST) regime.
What is an e-way bill?
E-way bill is an electronic way bill for movement of goods which can be generated on the GSTN (Common Portal). A 'movement' of goods of more than Rs. 50,000 in value cannot be made by a registered person without an e-way bill.
E-way bill will also be allowed to be generated or cancelled through SMS.
When should an e-way bill be generated?
E-way bill will be generated when there is movement of goods -
In relation to a 'supply'
For reasons other than a 'supply' (say, a return)
Due to inward 'supply' from an unregistered person
Who can generate e-way bill?
E-way bill must be generated when there is a movement of goods of more than Rs. 50,000 in value to or from a Registered Person.Unregistered person or his transporter may also choose to generate e-way bill. This means e-way bill can be generated by both registered and unregistered persons. However, where a supply is made by an unregistered person to a registered person, the receiver will have to do all the compliances as if he's the supplier.
AboutNeeraj Bhagat& Co.
We are a team of 40 professionals comprising of Chartered Accountants, MBA's and other finance professionals rendering services in the field of Accounting, Statutory Tax Compliances, FEMA, Transfer Pricing, Statutory Audits and Tax due diligence since last 19 years. Neeraj Bhagat & Co has offices in New Delhi, Gurgaon and Mumbai. We are part of INAA Accounting Association which is one of the World's Top 20 in accounting associations.