Simplified GST Series –Section 68/ Inspection of Goods in Movement/CGST ACT 2017
(1) The Government may require the person in charge of a conveyance carrying any consignment of goods of value exceeding such amount as may be specified to carry with him such documents and such devices as may be prescribed.
(2) The details of documents required to be carried under sub-section (1) shall be validated in such manner as may be prescribed.
(3) Where any conveyance referred to in sub-section (1) is intercepted by the proper officer at any place, he may require the person in charge of the said conveyance to produce the documents prescribed under the said sub-section and devices for verification, and the said person shall be liable to produce the documents and devices and also allow the inspection of goods.
Analysis- Section 68 of CGST Act stipulates that the person in charge of a conveyance carrying any consignment of goods of value exceeding a specified amount shall carry with him prescribed documents and devices (invoice or bill of supply or delivery challan, as the case may be) which shall be validated in the prescribed manner. If such conveyance is intercepted by the proper officer at any place, the person in charge of the conveyance shall be liable to produce the documents for verification and also allow the inspection of goods.
Rules 138 to 138E of the CGST Rules lay down, in detail, the provisions relating to e-way bills. As per the said provisions, in case of transportation of goods by road, an e-way bill is required to be generated before the commencement of movement of the consignment. When there is any document-deficiency, then consequences laid out in section 129 will immediately follow which provides for detention, seizure and release of goods and conveyances in transit. Section 130 provides for the confiscation of goods or conveyances and imposition of penalty.
Furnishing of information in EWB:
Although bill-to-ship-to transactions could sometimes result in twin-supply transactions, they require a single EWB since the movement is singular.
In case ship-to State is different from the Bill-to State, the tax components are entered as per the details of the bill-to person (Bill-to State)
In a typical “Bill To Ship To” model of supply, there are three persons involved in a , namely:
It is clarified that as per the CGST Rules, 2017 either ‘A’ or ‘B’ can generate the e-Way Bill but it may be noted that only one e-Way Bill is required to be generated
Such a situation arises where the supplier prepares the bill from his business premises to the consignee, but moves the consignment from some other premises to the consignee, based on business requirements
Validity period-Unless accepted / rejected within 72 hours, the EWB is deemed to be accepted. An EWB can only be cancelled within 24 hours of generation (unless the carriage has been intercepted / the goods delivered, prior to such time).
Validity period of EWB is one day upto 100 km and one additional day for every 100 km or part thereof thereafter. In case of Over Dimensional Cargo [or multimodal shipment in which at least one leg involves transport by ship], the limit is 20 km in place of 100 km.
Carrying of documents and devices by person in charge of a conveyance- Section 68(1) read with Rule 138 and 138A-
The person in charge of the conveyance carrying goods of consignment value exceeding Rs. 50,000/- shall carry—
Validation of documents- Section 68(2)
The details of documents required to be carried by the person in charge of conveyance shall be validated in the prescribed manner.
The Jurisdictional Commissioner or an officer empowered by him in this behalf shall, by an order, designate officer/officers as the proper officer/officers to conduct interception and inspection of conveyances and goods in the jurisdictional area specified in such order. Such an authorisation shall include verification of EWB in physical or electronic form for all inter-State and intra-State movement of goods.
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