What is expected way bill? Can we issue multiple e-way bills for a single invoice under GST?
Expected way bill or better known e-way bill. The proposed rules for movement of goods and services tax GST regime which requires the transporters to create e-way bills on a GST portal which will involve substantial costs in installing radio frequency identification devices (RFIDs) at various posts. The experts say that there is no clarity on who will step up for the bill for infrastructure.
The system requires a transporter to generate a new e-way bill when goods are transferred from one place to another from one business owner to the other. It is said that these rules will raise the business towards more transparency and will clear the business that are operating beyond the tax net. Adding up to this the government also made it public that the rules related to assessment and audit. The assessment rules also cover those suppliers who aren’t able to determine the value of the ego of services due to certain uncertainty. The suppliers as such can pay provisional tax by furnishing a bond and a security deposit.
The road transport is one of the most transports and logistics industry. There is 10% annual growth every year, the sector has enjoyed benefits of speed expansions in the automobile industry, changes in taxes in taxation, and the increase of the e-commerce sector which depends on logistics for pan-India service.
With the implementation of GST the increase for the need of integrated logistics solutions as companies decrease the number of warehouses that are maintained in different states. The changes brought by GST are expected to solve one of the major problems this sector faces the interstate transport of goods without the mess of documentation and long queues at the checkout posts or toll gates. The GST council and CBEC’S answer to this problem is the e-way bills which will replace the way bill and transport bills the transports uses by the companies these days.
These bills are what are to be generated before the goods are transported and the transporter can choose to carry it with them even if a physical proof is not required. E-way bill can be created by both registered and unregistered person or just the transporter. It is necessary to learn that the complete value of the consignment is considered when generating the bills and not the maximum value of individual items. Anyone who generates the e-way bill has to fill certain forms and provide information about the consignment to meet the demands of all the rules.
Complain especially that are associated with E-way bills?
E-way bill is going to help in the free flow of goods but it has certain rules to followed by the transporters. The detailed guidelines on the use of e-way bills which are as follows:
• A new e-way bill must be generated whenever the mode of transport of a consignment is changed.
• E-way bills generated for goods not transported must be cancelled within 24 hours. They cannot be cancelled is verified during transit.
• Recipient of the consignment must accept or reject the bills. The system will assume the bills has been accepted if no other alternate communication is provided within 72 hours.
• When more than one consignment is transported across state borders, the serial number for the e-way bill associated with each consignment must be indicated on the common portal.
• The person in charge of the conveyance must carry certain documents such as the invoice or bill of supply for verification
• Physical verification of the consignment can be done if there is any specific information relating to tax evasion or any other malpractice. Otherwise, goods once verified can continue unimpeded through the rest of the journey.
• The transporter can also carry the details of the e-way bill on a RFID device.
• Verifying officers will need to submit a summary of inspection within 3 days of verifying a consignment
• Transporters will have the right to upload queries on the GSTN portal if their vehicle is detained for more than 30 minutes without valid reason
• E-way bills will be valid only for certain period of time.
Validity of the e-way bill
The Validity of an e-way bill depends on thee distance travelled as listed below:
Distance travelled and period of Validity
100kms or less Validity 1 day
Between 100km and 300km 3 days
Between 300km and 500km 5 days
Between 500km and 1000km 10 days
1000km or more 15 days
Can we issue multiple e-way bills for a single invoice under GST?
The rule for the multiple e-way bills for a single invoice. In the sub section 4 under Section 1 says that the consignment are intended to be transported in one conveyance in which the transporter shall indicate the serial number of e-way bills generated in respect of each such consignment electronically on the common portal and a consolidate e-way bill in FORM GST INS-02 will be generated by him on the common portal prior to the movement of goods.
Thus, yes we can issue multiple e-way bills for a single invoice for a situation where e-way bill is generated and after that goods transported or goods transported are not as per the details furnished in the e-way bill then e-way bill may be cancelled electronically within 24 hours and the new e-way bill may be generated with correct details of goods.