It is been 36 months since the inception of GST aura in 2017. Since then many dealers, producers & traders are struggling with the complicated provisions of GST. Slow moving Indian economy is projected to achieve growth rate of 4.5% in the year 2020-21 amid this COVID-19 lockdown conditions. However many liberal steps have been taken by the govt. to revive the existing growth rate by providing relaxations in the existing statutes such as Goods & Service Tax Act. Still confusion regarding provisions & amendments of this statutes continue to exist.
One of the point of confusion under GST Act among logistic business is in respect of E-Way bill generation viz. till how much kilometres an E-way bill is not required to be generated. Also what are the cases in which only Part-A of an E-way bill can be filled.
In this regard, Rule No.138 of the CGST Rules, 2017 which talks about information to be furnished in Part –A in form EWB-01 before commencement of movement of goods. This means Part –A needs to be generated before commencement of movement of goods. There are cases where we can commence movement of goods by filing only part A of the goods & later by filling part B E way bill can be generated since E-way bill cannot be generated by filling only either part of such form.
Proviso to sub rule 1 of rule 138 of CGST Rules, 2017 provides the cases where only part –A can be filled and goods can be moved. As per this sub rule 1, every registered person who is responsible for causing movement of goods whose consignment value exceeds Rs.50, 000 has to generate an E-Way bill in form EWB-1. However there are certain exception to this sub rule which are as follows:
Where the goods are transported up to 50 kilometres within the same state or UT from place of business of consigner to the place of business of the transporter for further transport
The transporter or supplier may not furnish the details required in Part – B of the form EWB-1. Which means only invoice related details are required to be filled in the form. Point needs to be noted here is that if there is change of state within the said limit of 50Km then these provisions are not applicable & part B of the said form needs to be filled. Later on when these goods are received at the place of business of the transporter, Transporter may fill the details required in Part – B of the form EWB-1 & E-way bill can be generated. One condition needs to be satisfied here is that, the goods which are sent to the transporter must be specifically sent for the purpose of the further transportation. In case such goods are sent as a supply of items sold to such transporter then these provisions will not apply & E-way bill needs to be generated.
Where there is breakage of vehicle & change of conveyance
As per sub rule 5 to rule 138 of the CGST Rules, 2017, if there is any breakage of the transport vehicle due to which there is transfer of conveyance, Then Part B of the form EWB-1 needs to be updated before commencement of transport by new vehicle. However if such movement of goods from old place to new place due to breakage of the vehicle is within the range of 50 km in the same state or UT, then part B of form EWB-1 may not be filled by the transporter or supplier.
Transport of goods for weighing purpose
Sub rule 14 to rule 138 of the CGST Rules, 2017 which talks about exemptions, has exempted goods which are being transported for the purpose of weighing from the place of business of consignor to a weigh bridge or way back within the range of 20 kilometres provided such delivery is accompanied with the delivery challan.
Apart from above mentioned cases, E-way bill is required to be generated in every cases irrespective of the distance provided it is in the nature of supply of goods.
Govt.is taking many efforts for simplification of Goods & Service Tax Act, 2017. Only needs on part of assessee is to be aware of the changes that are taking place & be prompt in compliance.
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