GST Council: E-Way Bill system to be implemented from January
To facilitate seamless movement of goods across states, Finance Minister Arun Jaitley-led GST Council has decided to go for an early rollout of the nationwide "electronic-way bill system" under the GST regime. After consulting the states, the panel decided that the mechanism would be implemented on a trial basis from 16 January 2018. The status of the necessary framework was also reviewed. Read more!
Rules for compulsory implementation to be notified in February
Traders and transporters can use the e-way bill system voluntarily from 16 January. The rules for implementing the mechanism compulsorily across India for seamless inter-state movement of goods will be notified on 1 February. However, the GST Council earlier said that e-way bills would be introduced in a "staggered manner" from 1 January, and the system would be made compulsory by 1 April.
National e-way bill system will be implemented by 1 June
An official statement said, "There are certain States which are already having system of e-way Bill for intra-State as well as inter-State movement...some of those States can be early adopters of national e-way Bill system for intra-State movement also." It added, "In any case, the Uniform System of e-way Bill for inter-State as well as intra-State movement will be implemented...by 1st June 2018."
Transporters, traders sought early implementation of mechanism
The states can choose their own dates earlier than 1 June to implement the system. States were earlier authorized to have their own e-way mechanisms until the national system was ready. However, several traders/transporters made representations, calling for an early nationwide implementation. They said the absence of a national e-way bill system was causing hindrances in the movement of goods across and within states.
What is an e-way bill?
An e-way bill is an electronic waybill that transporters need to carry for moving goods worth over Rs. 50,000, within or outside a state, under the GST regime. The provisions regarding e-way bills were finalized in Aug'17. The primary objective of the e-way bill system is to streamline the movement of goods and monitor inter and intra-state transports and check tax evasions.
Generating an e-way bill
Transporters and suppliers can generate an e-way bill by entering the details of the good to be moved (inter and intra-state) in the GSTN portal. They can create a unique e-way bill number that will be sent to the supplier, receiver, and transporter.
