CA Umesh Sharma

CA Umesh Sharma

Arjuna (Fictional Character): Krishna, There was Festival of Makar Sankrant yesterday. The Government also has given the Til-Gul of E-Way bill to the taxpayers. But now due to E-Way bills on whom the ‘Sankrant’ will come i.e. Trouble?

Krishna (Fictional Character): Arjuna, E-way bill is an electronic document generated on the GST portal evidencing movement of goods. The nationwide e-way Bill system will be ready to be rolled out on a trial basis latest by 16th January, 2018 i.e, from tomorrow and from the 1st February the implementation of nationwide e-way Bill system for interstate supply will be done on a compulsory basis. Therefore, the Sankrant will come on Consignor, Consignee and transporter.

Arjuna: Krishna, what is the importance of E-way bill for Consignor?

Krishna: Arjuna, Consignor means supplier. Every registered person who causes movement of goods of consignment value more than Rs. 50000/- is required to furnish E-way bill. In that the details of GSTIN of recipient, place of delivery (PIN Code), invoice or challan number and date, value of goods, HSN code, transport document number etc are to be given. On the basis of this information, the GSTR 1 of the supplier will be generated on the portal. That’s why it is important for the Consignor.

Arjuna: Krishna, what is the importance of E-way bill for Consignee?

Krishna: Arjuna, Consignee means receiver. The e-way bill is very much important for the consignee. All the details of consignment received can be cross checked by E-way bill. Whether the supply is as per our requirement?, its value, HSN Codes, etc can be verified through E-way bill. ITC allowance may be affected due to this on the proof of receipt of goods. As, ITC is available on receipt of goods only.

Arjuna: Krishna, Is there any relation between transporter and E-way bill?

Krishna: Arjuna, Transporter is an important link between consignor and consignee. If either the consignor or consignee do not generate the e-way bill and the value of goods is more than Rs.50,000/- then responsibility of the generating e-way bill will be of the transporter. Transporter should check whether the consignment is sent to right person, or received from correct supplier, Vehicle no., etc. Where a vehicle has been intercepted and detained, the transporter may upload the said information in FORM GST EWB-04 on the common portal. A taxable person who transports any taxable goods without the cover of e-way bill shall be liable to a penalty of Rs. 10,000/- or tax sought to be evaded whichever is greater.

Arjuna: Krishna, what is the importance of E-way bill for Tax officer?

Krishna: Arjuna, E-way bill and tax officer will come face to face at two times. First, they will check the consignment on the roads at the time of transportation and second, at the time of assessment, the tax officer will check the documents i.e, e-way bill. Where any contravention found, the said goods and documents relating to such goods and conveyance shall be liable to detention or seizure. Unlawful acts of Consignor, consignee, transporter or tax officer may lead to corruption on the road.

Arjuna: Krishna, what lesson the taxpayer should take from this?

Krishna: Arjuna, The E-way bill is starting from 1st February. The Sankrant will come on transporter. Transporter is an important link between consignor, consignee and transportation. If the transporter make any wrong things, then the consignor and consignee will be found in difficulty. Therefore, the transporter should  transport the  goods compliancing with the GST provisions.

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19 responses to “Trouble on transporters due to E-Way bill!”

  1. KODANDA RAMAIAH says:

    Simple, lucid and useful article. For bus body makers- chassis no or temp regn allotted by RTO may be reliable. Anyway a bill for body building shall accompany with relevant GST numbers of body builder and the customer.
    Secondly, when e-waybill depicts and represents online accounting/vouching/cross verification, why not do away with ewaybill and generate online invoices containing all relevant info reg movement of goods also. This will make all movable goods come under online tracking. May be the entire exercise of ewaybill may lead to online-invoicing in future. Such onine accounting may also seek permission of consignee to use their GST info to make the online-invoicing more authentic. IS THE DEPT GEARED FOR THIS KIND OF MASSIVE DIGITISATION?

  2. Nitesh Soni says:

    Sir, your Article is very nice but who told you that Krishna and Arjuna are fictitious characters….. Neither they are fictitious nor they are mythological….
    You might not have read Shri Madbhagwat Gita…

    अपने धर्म का सम्मान करना हमारा प्रथम कर्तव्य है श्रीमान।

  3. sunil says:

    Sir,
    If the material send through transporter and transport office is above 15 km then the material send through own vehicle upto transporter office. Then what information will include in the eway bill.
    in e way bill we have to put consignees GST no and in Transport details we put transporter name and GSTN no then vehicle no is our so it is possible to send the material through our vehicle upto transporter office. If the transporter is not modified the vehicle no when he take the material from transporter office. then any implication to consignor

    kindly advice

  4. K MALLIKARJUNA says:

    very useful Articles thank you very much sir.CA Umesh Sharma

  5. sushil Sureka says:

    It is indeed astonishing that the ‘mai baap sarkar’ is trying to implement E-way bill before the GSTN is able to function smoothly even for filing GSTR I. What a mockery of tax system? In our great country, the entire GST legislation is based on distrust and giving maximum powers to government officials. On the other hand, in other countries it is based on trust and giving maximum comfort to taxable entities. This the crux of the entire exercise.

  6. CA Manoher Rohira says:

    Very useful article.

  7. CA Manoher Rohira says:

    one of the ready has asked what is Goods are more than Rs. 50,000 and carried personally or say thru Taxi or own vehicle.
    In the given case the person carrying the Goods becomes “Transporter ” and he has to face all the consequences of acting Transporter. Hence, follow the Rules strictly.
    No if and buts.

  8. Mukesh says:

    DEAR SIR ,

    WE ARE GTA AND TRANSPORT WASTES ( FREE OF COST MATERIAL ) TO ANOTHER STATE ,
    BUT THERE IS NO SELLER DUE TO GOODS IS FREE OF COST ,
    BUT IN E-WAY BILL NEED TO FILL UP SELLER DETAIL ,
    SO HOW WE SHOULD TREAT THIS MATTER

    THANKS IN ADVANCE

  9. balaraman lakshmanan says:

    for construction of cold storage the following materials will be used
    puff panel, refrigeration,& machinery. I would like to know whether any exemption for agricultural post harvesting cold storage.

  10. JALAL says:

    We are C&F agent we cleared import goods sent to Consignee places. Shall we prepare e way bill along with the imported consignment.How to register C& F agent login with GST portal

  11. g says:

    what about person carry the goods

  12. Ragavan says:

    Dear Sir,
    I read your article, it is really very knowledge full, I have doubt for the same.

    1. We are bus body manufacture (87079000). our finished goods is Bus, so we move to customer end by bus on road in such time we not register that bus (no vehicle register number) E-Way bill mandatory for Vehicle registration number, finished product not send through any transporter. Of course it is more than @ 50,000/- in this circumstance how to raise E-Way Bill?

    2. If move the goods in my state i.e between 200kms from place of business not for other state, @ more than @ 50,000/- it is must to raise E-Way bill?

    3. If Job work send between 10 kms in my principle place @ more than @ 50,000/- it is must to raise E-Way bill?

    Regards
    V.Ragavan

  13. Chandru1963.mdu@gmail.com says:

    It will curb tax evasion by online accounting of the transaction.

  14. M V. GUPTA says:

    If the consignor or the consignee or the transporter are not good at computers, they will be at the mercy of intermediaries who are computer savy or appoint staff who are good at computer operation. A great burden on the parties.

    • Arun Jain says:

      In today’s India, there is place available for literate i.e. Computer literate peoples only. OR any one who can afford to employee these peoples.

  15. Anupam Sunny says:

    Very Useful & Effective Illustration on GST-EWB for all of us.

    Many thanks for this Valuable Guidlines.

    Rgds,

  16. SREEDHARA PARTHASARATHY says:

    E-Way Bill is an electric fence and hence all should support it in the interest of the nation.

    A NATION IS MADE ONLY WHEN TAXES ARE PAID. NOT TAXES AXED.

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