Types of Transactions Requiring E-waybill: Inter-state and Intra-state Movements

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Published Date:  01-02-2024   Author:   aishwarya-s
captainbiz types of transactions requiring e waybill inter state and intra state movements

The Goods and Services Tax (GST) regime, introduced on July 1, 2017, heralded a transformative era in India’s indirect tax sphere. Central to this tax reform is the e-waybill, a digital document indispensable for the unrestricted movement of goods. Moreover, the removal of traditional check posts nationwide has streamlined the transportation of goods. 

Notably, the surge in e-waybill issuance, reaching a record high of INR 10.3 crore in October 2023, highlights its crucial role. This accomplishment, surpassing the previous peak of INR 9.34 crore in August, is attributed to heightened festive-season consumption and improved compliance practices. 

Read further to understand the types of transactions necessitating an e-waybill and gain insights into both inter-state and intra-state movements.

E-waybill Requirements for Inter-state and Intra-state Movement of Goods

Whether it’s an inter-state venture or an intra-state transaction, understanding the e-waybill requirements is fundamental for businesses. Details of the generated e-waybills are accessible to the recipient on the common portal, who must communicate acceptance or rejection within seventy-two hours. The e-waybill, once generated, holds validity based on the distance to be covered.

Inter-State Movement

For goods valued at more than fifty thousand rupees in inter-state movements, registered entities must electronically furnish information in Part A of FORM GST EWB-01 on the common portal before initiating the journey. 

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Notably, when a principal in one state dispatches goods to a job worker in another state, the principal is responsible for generating the e-waybill, regardless of consignment value. There’s also a unique provision for handicraft goods – exemption from GST registration notwithstanding, the person transporting such goods is mandated to generate the e-waybill.

In scenarios where the registered person is either the consignor or the recipient of the supply, they have the option to generate the e-waybill in FORM GST EWB-01 after providing details in Part B. 

However, suppose the consignor or recipient opts not to generate the e-waybill and hands over goods to a transporter for road transportation. In that case, the transporter assumes the responsibility for generating the e-waybill based on the information in Part A.

Intra-State Movement

Intra-state movements mirror their inter-state counterparts but introduce some distinctive features. The foundational requirement remains the electronic furnishing of information in Part A of FORM GST EWB-01 for goods exceeding fifty thousand rupees in value. 

Importantly, for intra-state movements, there’s flexibility – both the registered person and the transporter can choose to generate the e-waybill, even if the consignment value falls below the stipulated limit.

An intriguing exemption arises for intra-state movements within a state or Union territory covering a distance of less than ten kilometers from the consignor’s business location to the transporter’s place for further transportation. In such cases, detailed conveyance information in Part B of FORM GST EWB-01 might not be necessary.

Types of Transactions

In the context of e-waybill generation, transactions are categorized into two primary types: Outward and Inward. An Outward Transaction denotes the user supplying goods, while an Inward Transaction signifies the user receiving goods. 

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Within each type, various subtypes may arise based on specific transaction characteristics. Subtypes streamline the categorization further, providing a more detailed classification of the nature and purpose of the goods movement. 

These distinctions aid in accurately documenting and complying with the Goods and Services Tax (GST) regulations during the e-waybill generation process.

Factors Determining Transaction Type

There are four distinct types of transactions, each contingent on the number of parties engaged in billing and the movement of goods. Here is an explanation of each type.

  • Regular: This represents a standard transaction where billing and goods movement occur between two parties – the consignor and the consignee. Essentially, the bill and goods move directly from the consignor to the consignee.
  • Bill To (ordering entity) – Ship To (recipient): This transaction involves three parties. Billing occurs between the consignor and the consignee, but the goods move from the consignor to a third party, as per the consignee’s request.
  • Bill From (sender) – Dispatch From (place of dispatch): Similarly involving three parties, billing transpires between the consignor and consignee, but the consignor moves the goods from a third party to the consignee.
  • Combination of Both: This type integrates the above two transactions and engages four parties. Billing takes place between the consignor and consignee, but the consignor moves the goods from a third party to a fourth party, based on the consignee’s request.

Also Read: Who Is Required To Generate An E-Way Bill?

Threshold Limits for E-waybill Generation

As per the CGST rules, every transporter is obligated to carry an e-waybill when the consignment’s value surpasses the stipulated limit of Rs 50,000. This rule is predominantly applicable to interstate movements, ensuring transparency and compliance.

State-Specific E-waybill Thresholds

Each Indian state holds the authority to establish its own state-specific e-waybill threshold for intra-state transportation. While the CGST sets a uniform limit, states have the flexibility to tailor thresholds to accommodate unique regional considerations.

Below is a table with state-specific threshold limits. 

The information here may not encompass all updates, so make sure you double-check before making decisions.

S. No. State E-waybill Threshold Limit Relevant Notification
1 Andhra Pradesh Rs.50,000 for all taxable goods e-waybill is required for intrastate movement of goods only if the value exceeds Rs.50,000/- CCTs Ref. in CCW/GST/74/2015, dated 11th April 2018
2 Arunachal Pradesh Rs.50,000 for all taxable goods CBIC Press Release dated 23-04-2018 and Notification No. 14/2018- State Tax dated 23rd March 2018
3 Assam Rs.50,000 for all taxable goods Notification No. 30/2019-GST, dated 16th December 2019e-waybill for intrastate movement of goods temporarily suspended vide Notification No. 07, dated 7th May 2018
4 Bihar Above Rs. 1,00,000 Notification No. S.O. 14, dated 14th January 2019;No e-waybill needed for intrastate movement of goods- where the consignment value does not exceed Rs.1,00,000/-
5 Chhattisgarh Rs. 50,000 for specified goods Notification No. F-10-31/2018/CT/V (46), dated 19th June 2018No e-waybill required for intra-state movement of goods- except for notified 15 goods whose consignment value exceeds Rs.50,000/-
6 Delhi Rs. 1,00,000 Notification No. 03, dated 15th June 2018 Intrastate movement of goods attract e-waybill where the consignment value exceeds Rs.1,00,000/-
7 Goa 50,000 – only for specified 22 goods e-waybill is required for 22 listed goods vide Notification No. CCT/26-2/2018-19/36, dated 28th May 2018
8 Gujarat No e-waybill required for goods other than a specified class of goods for job-work amounting to any value No.GSL/GST/RULE-138(14)/B.19, dated 19th September 2018, Intra-city movement of goods- No e-waybill Intra-state movement of goods- e-waybill is required for all goods except the specified class of goods.
9 Haryana Rs.50,000 for all taxable goods Notification No. 49/ST-2, dated 19th April 2018
10 Himachal Pradesh Rs.50,000 for all taxable goods e-waybill is required for all goods w.e.f. 01-06-2018 vide Notification No. 12-4/78-EXN-TAX-17408, dated 31st May 2018
11 Jammu and Kashmir No e-waybill is required for the transport of goods within the Union Territory of Jammu and Kashmir Notification No. 64, dated 30th November 2019
12 Jharkhand Above Rs. 1,00,000 for goods other than specified goods Notification No. S.O. 66, dated 26th September 2018
13 Karnataka Rs.50,000 for all taxable goods Press Release, dated 29-03-2018 and notification no. No. FD 47 CSL 2017 dated 23rd March 2018
14 Kerala Rs.50,000 for all taxable goods Press Release dated 10th April 2018
15 Madhya Pradesh 50,000 only for specified 11 goods Notification No. F-A 3-08-2018-1-V(43), dated 24th April 2018
16 Maharashtra Rs. 1,00,000 for all taxable goods Notification No. 15E, dated 29th June 2018 Transport of certain goods for job work – No e-waybill.
17 Manipur Rs.50,000 for all taxable goods CBIC Press Release dated 24th May 2018
18 Meghalaya Rs.50,000 for all taxable goods Notification No. ERTS (T) 84/2017/20, dated 20th April 2018
19 Mizoram 50,000 for all taxable goods Notification No.J.21011/2(iii)/2018-TAX/Pt, dated 2nd July 2018
20 Nagaland Rs.50,000 for all taxable goods Notification No. 6/2018. Dated: 19th April 2018
21 Odisha Rs.50,000 for all taxable goods Press Release dated 31st May 2018
22 Puducherry Rs.50,000 for all taxable goods Notification No. F. No. 3240/CTD/GST/2018/3, dated 24th April 2018
23 Punjab Rs. 1,00,000 for all taxable goods. No. PA/ETC/2018/175, dated 13th September 2018 – No EWB is required for the intra-state movement of goods in specified cases.
24 Rajasthan The limit was Increased from Rs.50,000 to Rs.1,00,000 for all taxable goods except those falling under Chapter 24 and Heading 2106 vide Notification No. F.17(131- Pt.-II) ACCT/GST/2017/6672, dated 30.03.2021 Notification No. F.17(131)ACCT/GST/2018/3544, dated 16th May 2018 Intra-state movement of goods for the purpose of Job Work- No e-waybill vide Notification No. F17 (131) ACCT/ GST/2017/3743, dated 6th August 2018
25 Sikkim Rs.50,000 for all taxable goods Press Release dated 23rd April 2018
26 Tamil Nadu Rs. 1,00,000 for all taxable goods. No e-waybill – For a certain class of goods as per Notification No. 09, dated 31st May 2018
27 Telangana Rs.50,000 for all taxable goods Press Release dated 10th April 2018
28 Tripura Rs.50,000 for all taxable goods Notification No.F.1-11(91)-TAX/GST/2018 (Part- I), dated 17th April 2018
29 Uttar Pradesh Rs.50,000 for all taxable goods Notification No. 38, dated 11th April 2018 Notification No.-e-waybill- R.F.I.D./sachaldal/2018-19/1025/commercial tax, dated 7th September 2018 – Provides the date from which the transporters are required to place R.F.I.D. tag on the windscreen of the vehicle carrying goods.
30 Uttarakhand Rs.50,000 for all taxable goods Notification No. 239/CSTUK/GST-Vidhi/2018-19, dated 17th April 2018
31 West Bengal Rs. 1,00,000 for all taxable goods. Notification No. 11/2018-C.T./GST, dated 30th May 2018 Notification No. 13, dated 6th June 2018- For intra-state movement of goods, an e-waybill is required only if the consignment value exceeds Rs. 1,00,000/-

E-waybill for Specific Goods and Categories

Specific goods and categories may have distinct requirements under the e-waybill provisions. States may also have their own requirements for e-waybills for specific goods. 

Furthermore, the Annexure to Rule 138 of the GST Rules (https://docs.ewaybillgst.gov.in/documents/EWBRules.pdf) explains certain exemptions or special cases.

Goods transported by non-motorised conveyances are also exempt from e-waybill generation, acknowledging diverse transportation means and providing flexibility for non-motor vehicle modes.

When goods move from ports, airports, air cargo complexes, or land customs stations to inland container depots or container freight stations for Customs clearance, e-waybills may not be mandatory. This exemption recognizes the specific nature of movements within defined cargo-handling zones.

In notified areas within states or Union territories, e-waybill requirements may be waived based on administrative considerations, as allowed under clause (d) of sub-rule (14) of Rule 138 of the GST Rules.

For the movement of handicraft goods between states by an individual exempted from GST registration, the responsibility for e-waybill generation lies with the individual, regardless of consignment value.

Also Read: Exemptions From E-Waybill: Understanding The Criteria And Categories

E-waybill for Supply of Goods by Unregistered Persons

Unregistered suppliers must submit essential consignment details via Part A of Form GST EWB-01 on the common portal before initiating the movement of goods. This includes crucial information such as goods’ nature and value, ensuring transparent transaction records.

For goods dispatched by a principal in one state to a job worker in another state, the principal is responsible for e-waybill generation, regardless of consignment value. Additionally, unregistered persons transporting handicraft goods between states must generate an e-waybill to standardize documentation.

In transactions with unregistered parties, the taxable person primarily generates the e-waybill. If both lack GST registration, either must register, or the transporter can generate the e-waybill. For unregistered counterparts, use ‘URP’ in the GSTIN field, and including the name, though optional, is advisable. Accurate address, state, and PIN code details are mandatory during e-waybill generation.

Endnotes

In conclusion, the e-waybill system serves as a crucial tool for the seamless movement of goods, ensuring compliance and transparency across various transactions. Its user-friendly interface and adherence to regulatory requirements contribute to the efficient facilitation of trade and logistics.

Lastly, the contents of this article should not be interpreted as a legal opinion or representation of the author’s views. The information provided is intended solely for informational and educational purposes. Although care has been taken in preparing this article, there may be inadvertent mistakes and omissions. The author disclaims any liability for losses or damages of any nature resulting from inaccurate or incomplete information in this document or any actions taken based on it. It is recommended to seek expert or professional consultation.

Also Read: Navigating Regulatory Changes: Ensuring Seamless E-Waybill Compliance

FAQs
Here are some frequently asked questions.

  1. Where can an e-waybill be generated?

The common portal for generating e-waybills is https://ewaybillgst.gov.in.

  1. Which transactions necessitate an e-waybill?

E-waybills are obligatory for the movement of goods in various transactions, encompassing both outward and inward supplies, whether within the state, interstate, involving unregistered persons, or for reasons other than supply. Detailed information is available in relevant notifications/rules.

  1. How to manage “Bill to” – “Ship to” invoices in the e-waybill system?

Select the “Bill to – Ship to” option in the “Transaction Type” dropdown. This action activates the “Ship to” field, allowing entry of a different state pin code for the consignment.

  1. How to handle “Bill from” – “Dispatch from” invoices in the e-waybill system?

Opt for “Bill From – Dispatch From” in the “Transaction Type” dropdown. This choice enables the “Dispatch From” field for inputting a distinct dispatch state pin code for the consignment.

  1. Is the term “electronic form” interpreted as carrying the e-waybill on a mobile device?

No, the person in charge can provide the e-waybill number to the tax officer, who will utilize the number for necessary verifications.

  1. Is an e-waybill required for goods transported within a 10-kilometer radius?

Goods transported within a state are exempt from requiring an e-waybill if the distance is within 10 kilometers. However, the current limit has been extended to 50 kilometers.

  1. Can multiple invoices be covered by a single e-waybill?

No, a single e-waybill should not encompass multiple invoices. Nevertheless, consolidated e-waybills can consolidate various individual e-waybills.

  1. Can an e-waybill be deleted or canceled?

An e-waybill, once generated, cannot be deleted but can be canceled by the generator within 24 hours of its creation, provided it hasn’t been verified by the proper officer.

  1. Who possesses the authority to reject an e-waybill and under what circumstances?

The individual responsible for the goods’ transport initiates the e-waybill. The counterparty can either accept or reject the consignment through the common portal. Failure to communicate within 72 hours results in deemed acceptance.

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Aishwarya Lakshmi

Aishwarya Lakshmi is a Finance and SaaS Copywriter for 5+ years now, she has created SEO copies for B2B and B2C companies all around the globe. Aishwarya is a finance graduate and a university rank holder with exceptional academic excellence in finance core. Besides writing, Aishwarya, fosters her community Quillspire - a space for budding freelancers. In short, She maps contents to win pitches with words and concepts.

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