The Government of India , Ministry of Finance ( Department of Revenue ) Central Board of Excise and Customs has issued Notification No.12/2018 – Central Tax , New Delhi, the 7th March, 2018 to amend Rule 138 of the CGST Rules , 2017 to envisage provisions regarding e-Way Bill . Also this amendment , except sub-rule (7) of Rule 138 , has been implemented from Ist April 2018 as per the provisions embodied in Notification No. 15/2018-Central Tax Dated 23rd March , 2018. It is pertinent to note that e-Way Bill is the most important document to transport goods in the GST regime . A close study of various provisions embodied in amended Rule 138 leads to following significant conclusions regarding e-Way Bill :
- E-Way Bill as envisaged by Rule 138 is only applicable for the supply of goods and it has nothing to do with the supply of services .
- Sub-rule (1) clearly envisages that every registered person who causes movement of goods of consignment valuing more that Rs. 50,000/- shall have to furnish electronically on the common portal information relating to the concerned goods in Part-A of Form GST EWB-01 before the commencement of goods in the following manner –
- when such movement of goods is in relation to a supply ;or
- when such movement of goods is for reason other than supply ; or
- when such movement of goods is due to inward supply from an unregistered person .
- It has also been mentioned in this sub-rule that such registered person may be required to furnish such other information as may be required .
- Sub-rule(1) also envisages that once the information in Part A of Form GST EWB-01 are uploaded , a unique number shall be generated on the said common portal .
- It is also pertinent to note that the generation of e-Way Bill shall not be required in respect of goods and circumstances as mentioned in sub-rule (14) of this Rule . It is also pertinent to note that although the requisite of e-Way Bill is for the transportation of goods valuing more than Rs. 50,000/- but the first proviso to sub-rule (3) provides that even in the cases where the value of goods is less than Rs. 50,000/- the registered person or the transporter may , at his option , generate and carry e-way bill .
- Explanation (2) of sub-rule (1) clarifies that value of goods to be transported or consigned shall be determined according to the provisions embodied in Section 15 of the CGST Act , 2017 ( Similar provisions are provided in SGST Act , 2017) and shall include the amount of Central Tax , State Tax or Union Territory Tax , Integrated Tax and applicable cess as the case may be . Thus the amount of tax shall not be excluded while determining the value of goods for the purposes of generation of e-Way Bill . However the value of exempt supply of goods shall be excluded where the invoice is issued in respect of both exempt and taxable supply of goods .
- It is pertinent to note that the language of sub-rule(1) of Rule 138 does not have prefixes like “inter-State” or “intra-State” prior to the “words movement of goods” which means that the generation of e-Way Bill shall be required in all sorts of movements of goods except for the cases specifically provided in sub-rule (14) .
- The first proviso to sub-rule(1) provides that after the authorization received from the registered person , the transporter may also furnish information in Part A of Form GST EWB-01 alongwith other information as may be required on the common portal and a unique number shall be generated on this portal in respect of such furnishing of information in Part A of Form GST EWB-01.
- Thus it is quite evident that the information in Part A of FORM EWB-01 may be uploaded either by the registered person himself or on authorization by such registered person , by the transporter.
- The second proviso to sub-rule (1) provides that where the goods to be transported are supplied through an e-commerce operator , or a courier agency , then such operator or courier agency may also be able to generate e-Way Bill if it gets the authorization to do so from the consignor .
- The third proviso spells out provisions in case where the goods are sent by a principal located in one State or Union Territory to a job-worker located in some other State or Union Territorye. where the movement of goods between the principal and the job-worker is of inter-State nature . In this case the e-Way Bill shall be generated either by the principal or by the job-worker if he is registered in respect of each consignment of goods irrespective of the values of underlying goods . Thus the limit of Rs. 50,000/- shall not apply in this case . It is also quite evident that the job-worker may be able to generate the e-Way Bill only if he is registered .
- The forth proviso provides specific provisions for handicrafts goods in respect of their inter-State movement and envisages that if the handicrafts goods as assigned the meaning by Notification No. 32/2017-Central Tax Dated 15th September , 2017 are transported from one State or Union Territory to another State or Union Territory by a person who has been exempted from the requirement of obtaining registration under clause (i) and (ii) of section 24 of the Act , the said person shall have to generate the e-Way Bill for such movement of handicrafts goods irrespective of their value . Thus the limit of Rs. 50,000/- shall not apply in this case also .
It is pertinent to note that Explanation embodied in Notification No. 32/2017-Central Tax Dated 15th September , 2017 clarifies that For the purposes of this notification, the expression “handicraft goods” means the products mentioned in column (2) of the Table below and the Harmonized System of Nomenclature (HSN) code mentioned in the corresponding entry in column (3) of the said Table, when made by the craftsmen predominantly by hand even though some machinery may also be used in the process:-
|1.||Leather articles (including bags, purses, saddlery, harness, garments)||4201, 4202, 4203|
|2.||Carved wood products (including boxes, inlay work, cases, casks)||4415, 4416|
|3.||Carved wood products (including table and kitchenware)||4419|
|4.||Carved wood products||4420|
|5.||Wood turning and lacquer ware||4421|
|6.||Bamboo products [decorative and utility items]||46|
|7.||Grass, leaf and reed and fibre products, mats, pouches, wallets||4601, 4602|
|8.||Paper mache articles||4823|
|9.||Textile (handloom products)||including 50, 58, 62, 63|
|10.||Textiles hand printing||50, 52, 54|
|12.||Carpet, rugs and durries||57|
|13.||Textiles hand embroidery||58|
|14.||Theatre costumes||61, 62, 63|
|15.||Coir products (including mats, mattresses)||5705, 9404|
|16.||Leather footwear||6403, 6405|
|17.||Carved stone products (including statues, statuettes, figures of animals, writing sets, ashtray, candle stand)||6802|
|18.||Stones inlay work||68|
|19.||Pottery and clay products, including terracotta||6901, 6909, 6911, 6912, 6913, 6914|
|20.||Metal table and kitchen ware (copper, brass ware)||7418|
|21.||Metal statues, images/statues vases, urns and crosses of the type used for decoration of metals of chapters 73 and 74||8306|
|24.||Horn and bone products||96|
|25.||Conch shell crafts||96|
|26.||Bamboo furniture, cane/Rattan furniture|
|27.||Dolls and toys||9503|
|28.||Folk paintings, madhubani, patchitra, Rajasthani miniature||97|
- Sub-rule(2) of Rule 138 deals with the case of transportation of goods by road by the registered person as a consignor or the recipient of the supply as the consignee in his own conveyance or hired conveyance or a public conveyance ( i.e. such cases where the transportation of goods is not carried out by the transporter) and envisages that in aforesaid cases the said person shall generate the e-Way Bill in FORM GST EWB-01 electronically on the common portal after furnishing the details in Part B of FORM GST EWB-01 .
- It is pertinent to note that Part A of FORM GST EWB-01 embodies details of the supplier, recipient and goods to be transported whereas Part B of FORM GST EWB-01 embodies details of the vehicle by which the transportation of goods is to be carried out .
- Sub-rule(2A) of Rule 138 deals with the case of transportation of goods by railways or by air or vessel by the supplier or the recipient and envisages that such supplier or the recipient shall generate the e-Way Bill in FORM GST EWB-01 electronically on the common portal after furnishing the details in Part B of FORM GST EWB-01 .
- The proviso to sub-rule(2) is very important because it provides that where the goods are transported by railways, the railways the railways shall not deliver the goods unless the e-way bill required under these rules is produced at the time of delivery.
Thus in case of transportation of goods by railways it will be mandatory on the part of the assigned railways authority to get e-way bill submitted by the concerned person before giving delivery of concerned goods .
- Sub-rule (3) of this rule deals with the situation where the transportation of goods by road by the registered person as a consignor or the recipient of the supply as the consignee is not to be carried out in his own conveyance or hired conveyance or a public conveyance but the goods are handed over to a transporter for transportation by road . This sub-rule envisages that in the aforesaid scenario the registered person shall furnish information relating to the transporter on the common portal and the e-Way Bill shall be generated by the transporter on the common portal on the basis of the information furnished by the registered person in Part A of FORM GST EWB-01 .
- The three proviso to this sub-rule (3) envisage following provisions :
- Even if the value of consignment is less than Rs.50,000/- the registered person or the transporter may ,at his option , generate and carry e-Way Bill .
- Where the movement is caused by an unregistered person either in his own conveyance or a hired conveyance , he may at his option generate the e-Way Bill in FORM GST EWB-01 on the common portal in the manner specified in this rule.
- Where the movement is caused by an unregistered person through a transporter , he or the transporter may at his option generate the e-Way Bill in FORM GST EWB-01 on the common portal in the manner specified in this rule.
- Where the goods are transported for a distance of upto 50 kilometers within the State or Union territory from the place of business of the consignor to the place of business of the transporter for further transportation, the supplier or the recipient , or as the case may be, the transporter may not furnish the details of conveyance in Part B of FORM GST EWB-01.
- Where the goods are transported for a distance of more than 50 kilometers within the State or Union territory from the place of business of the consignor to the place of business of the transporter for further transportation, the supplier or the recipient , or as the case may be, the transporter shall have to furnish the details of conveyance in Part B of FORM GST EWB-01.
- The Explanation to this sub-rule clarifies that for the purposes of this sub-rule, where the goods are supplied by an unregistered supplier to a registered recipient, the movement shall be said to be caused by such recipient if the recipient is known at the time of commencement of the movement of goods.
- Sub-rule(5) of this rule deals with the case where goods are transferred from one conveyance to another during their journey to the destination . It envisages that in such a scenario the consignor or the recipient, who has provided information in Part A of FORM GST EWB-01, or the transporter shall, update the details of new conveyance in the e-way bill on the common portal in Part B of FORM GST EWB-01 before such transfer and further movement of goods .
- The proviso to sub-rule(5) envisages that where the goods are transported for a distance of upto 50 kilometers within the State or Union territory from the place of business of the transporter finally to the place of business of the consignee, the details of the conveyance may not be updated in the e-Way Bill.
Thus where the goods are transported for a distance of more than 50 kilometers within the State or Union territory from the place of business of the transporter finally to the place of business of the consignee, the details of the conveyance shall have to be updated in Part B of FORM GST EWB-01 .
- Sub-rule (5A) deals with the scenario where during the movement of goods , due to certain reasons , some other transporter has to update the details of Part B of FORM GST EWB-01 . To meet out such situation it is envisaged that the consignor or the recipient, who has furnished the information in Part A of FORM GST EWB-01, or the transporter, may assign the e-way bill number to another registered or enrolled transporter for updating the information in Part B of FORM GST EWB-01 for further movement of the consignment .
- However it has been clarified that after the details of the conveyance have been updated by the transporter in Part B of FORM GST EWB-01, the consignor or recipient, as the case may be, who has furnished the information in Part A of FORM GST EWB-01 shall not be allowed to assign the e-way bill number to another transporter.
- Sub-rule(6) embodies provisions regarding generation of FORM GST EWB-02 which is called consolidated e-Way Bill. It envisages that where multiple consignments are intended to be transported in one conveyance, the transporter may indicate the serial number of e-Way Bills generated in respect of each such consignment electronically on the common portal and a consolidated e-way bill in FORM GST EWB-02 maybe generated by him on the said common portal prior to the movement of goods.
- Sub-rule (7) deals with the scenario where the consignor or the consignee has not generated the e-way bill in FORM GST EWB-01 in respect of inter-State supplies of goods and the aggregate of the consignment value of goods carried in the conveyance is more than Rs. 50,000/- . It is envisaged that in such case the transporter in case of transportation by road shall generate the e-way bill in FORM GST EWB-01 on the basis of invoice or bill of supply or delivery challan, as the case may be, and may also generate a consolidated e-way bill in FORM GST EWB-02 on the common portal prior to the movement of goods.
The proviso to this sub-rule provides that where the goods to be transported are supplied through an e-commerce operator or a courier agency, the information in Part A of FORM GST EWB-01 may be furnished by such e-commerce operator or courier agency.
It is pertinent to note that this sub-rule shall be implemented from a subsequent date as may be notified .
- Sub-rule (8) envisages that the information furnished in Part A of FORM GST EWB-01 shall be made available to the registered supplier on the common portal who may utilize the same for furnishing the details in FORM GSTR-1.
However it has been clarified that where the information has been furnished by an unregistered supplier or an unregistered recipient in FORM GST EWB-01, he shall be informed electronically, if the mobile number or the e-mail is available.
- Sub-rule (9) envisages that where an e-way bill has been generated under this rule, but goods are either not transported or are not transported as per the details furnished in the e-way bill, the e-way bill may be cancelled electronically on the common portal within twenty four hours of generation of the e-way bill.
It has also been provided that an e-way bill cannot be cancelled if it has been verified in transit in accordance with the provisions of rule 138B . It is pertinent to note that Rule-138B embodies following provisions :
“138B. Verification of documents and conveyances.-
(1) The Commissioner or an officer empowered by him in this behalf may authorize the proper officer to intercept any conveyance to verify the e-Way Bill in physical or electronic form for all inter-State and intra- State movement of goods.
(2) The Commissioner shall get Radio Frequency Identification Device readers installed at places where the verification of movement of goods is required to be carried out and verification of movement of vehicles shall be done through such device readers where the e-Way Bill has been mapped with the said device.
(3) The physical verification of conveyances shall be carried out by the proper officer as authorised by the Commissioner or an officer empowered by him in this behalf:
Provided that on receipt of specific information on evasion of tax, physical verification of a specific conveyance can also be carried out by any other officer after obtaining necessary approval of the Commissioner or an officer authorised by him in this behalf.”;
- It has also been provided by second proviso to sub-rule (9) that the unique number generated under sub-rule (1) shall be valid for a period of fifteen days for updation of Part B of FORM GST EWB-01.
- Rule-10 envisages the period of validity of an e-Way Bill or a consolidated e-Way Bill from the relevant date , for the distance, the goods have to be transported within the country. It shall be according to the following table :
|1.||Upto 100 km.||One day in cases other than Over Dimensional Cargo|
|2.||For every 100 km. or part thereof thereafter||One additional day in cases other than Over Dimensional Cargo|
|3.||Upto 20 km.||One day in case of Over Dimensional Cargo|
|4.||For every 20 km. or part thereof thereafter||One additional day in case of Over Dimensional Cargo|
- Two proviso have been envisaged after sub-rule(10) which provide that –
- the Commissioner may, on the recommendations of the Council, by notification, extend the validity period of an e-way bill for certain categories of goods as may be specified therein .
- where, under circumstances of an exceptional nature, including trans-shipment, the goods cannot be transported within the validity period of the e-way bill, the transporter may extend the validity period after updating the details in Part B of FORM GST EWB-01, if required.
- The two explanations to this sub-rule define expression “relevant date ” and “Over Dimentional Cargo ” in the following manner :
- “Relevant Date ” : For the purposes of this rule, the “relevant date” shall mean the date on which the e-way bill has been generated . The period of validity shall be counted from the time at which the e-way bill has been generated and each day shall be counted as the period expiring at midnight of the day immediately following the date of generation of e-way bill.
- ” Over Dimentional Cargo ” : For the purposes of this rule, the expression “Over Dimensional Cargo” shall mean a cargo carried as a single indivisible unit and which exceeds the dimensional limits prescribed in rule 93 of the Central Motor Vehicle Rules, 1989, made under the Motor Vehicles Act, 1988 (59 of 1988).
It is pertinent to note that Rule-93 of the Central Motor Vehicle Rules, 1989 embodies following provisions :
- Overall dimension of motor vehicles.—
(1) The overall width of a motor vehicle, measured at right angles to the axis of the motor vehicle between perpendicular planes enclosing the extreme points, shall not exceed 2.6 metres.
Explanation.—For purposes of this rule, a rear-view mirror, or guard rail or a direction indicator rub-rail (rubber beading) having maximum thickness of 20 mm on each side of the body shall not be taken into consideration in measuring the overall width of a motor vehicle.
(1-A) The overall width of a construction equipment vehicle, measured at right angles to the axis of the construction equipment veliicle between perpendicular planes enclosing the extreme points, shall not exceed 3 metres while in the travel mode and such construction equipment vehicle shall be painted by yellow and black zebra stripes on the portion of the width that exceeds 2.6 metres on the front and rear sides duly marked for night time driving/parking suitably by red lamps at the front and rear:
Provided that the zebra stripes need not be used on attachments.
(2) The overall length of a motor vehicle other than a trailer shall not exceed—
- in the case of motor vehicle other than transport vehicle having not more than two axles, 6.5 metres;
- in the case of transport vehicle with rigid frame having two or more axles, 12 metres;
- in the case of articulated vehicles having more than two axles, 16 metres;
- in the case of truck-trailer or tractor-trailer combination, 18 metres;
- in the case of 3 axle passenger transport vehicles, 15 metres;
- in the case of single articulated (vestibule type) passenger transport vehicle, 18 metres ;
- in the case of double articulate passenger transport vehicles, 25 metres ;
Note.—In the case of single articulated passenger transport vehicles of 18 metres length and double articulated passenger transport vehicles upto 25 metres, permission of the State Government shall be obtained regarding their plying on selected routes depending upon local road conditions, width, maneuverability of the vehicle in traffic, as deemed fit. These passenger transport vehicles will also be required to have a closed circuit TV system for proper visibility in and around the passenger transport vehicle by the driver to maintain safety. Intercom system shall also be provided in such passenger transport vehicle. In addition, the standing passenger will be allowed only on the lower deck of double articulated passenger transport vehicle.
(3) In the case of an articulated vehicle or a tractor-trailer combination specially constructed and used for the conveyance of individual load of exceptional length,—
- if all the wheels of the vehicle are fitted with pneumatic tyres, or
- if all the wheels of the vehicle are not fitted with pneumatic tyres, so long as the vehicle is not driven at a speed exceeding twenty-five kilometers per hour, the overall length shall not exceed 18 metres.
Explanation.—For the purposes of this rule “overall length” means the length of the vehicle measured between parallel planes passing through the extreme projection points of the vehicle exclusive of—
- a starting handle;
- any hood when down;
- any fire-escape fixed to a vehicle;
- any post office letter-box, the length of which measured parallel to the axis of the vehicle, does not exceed 30 centimeters;
- any ladder used for loading or unloading from the roof of the vehicle or any tail or indicator lamp or number plate fixed to a vehicle;
- any spare wheel or spare wheel bracket or bumper fitted to a vehicle;
- any towing hook or other fitment which does not project beyond any fitment covered by clauses (iii) to (vi).
(3-A)The overall length of the construction equipment vehicle, in travel shall not exceed 12.75 metres:
Provided that in the case of construction equipment vehicle with more than two axles, the length shall not exceed 18 metres.
Explanation.—For the purposes of this sub-rule “overall length” means the length of the vehicle measured between parallel planes through the extreme projection points of the vehicle, exclusive of—
- any fire-escape fixed to a vehicle;
- any ladder used by the operator to board or alight the vehicle;
- any tail or indicator lamp or number plate fixed to a vehicle;
- any sphere wheel or sphere wheel bracket or bumper fitted to a vehicle;
- any towing hook or other fitments;
- any operational attachment on front, rear or carrier chassis of construction equipment vehicle in travel mode.
(4) The overall height of a motor vehicle measured from the surface on which the vehicle rests,—
- in the case of a vehicle other than a double-decked transport veliicle, shall not exceed 3.8 metres;
- in the case of a double decked transport vehicle, shall not exceed 4.75 metres;
(ii-a) in the case of tractor-trailer goods vehicle, shall not exceed 4.20
- in the case of a laden trailer carrying ISO series 1 Freight Container, shall not exceed 4.2 metres:
Provided that the provisions of clauses (i) to (iii) shall not apply to fire-escape tower wagons and other special purpose vehicles exempted by genera! or special order of registering authority.
This rule also embodies following sub-rules :
(7-A) No part of the construction equipment vehicle in travel mode other than a direction indicator, or a driving mirror, shall project laterally more than 300 millimetres beyond the extreme outer edge of the tyres or wheel drums regardless of single or dual tyres or rollers.
(8) No motor vehicle shall be loaded in such a manner that the load or any part thereof extends,—
- laterally beyond the side of the body;
- to the front beyond the foremost part of the load body of the vehicle;
- to the rear beyond the rear most part of the vehicle;
- to a height beyond the limits specified in sub-rule (4):
Provided that clause (iii) shall not apply to a goods carriage when loaded with any pole or rod or indivisible load so long as the projecting part or parts do not exceed the distance of one metre beyond the rear most point of the motor vehicle.
- Sub-rule (11) envisages that the details of the e-way bill generated under this rule shall be made available to the-
- supplier, if registered, where the information in Part A of FORM GST EWB-01 has been furnished by the recipient or the transporter; or
- recipient, if registered, where the information in Part A of FORM GST EWB-01 has been furnished by the supplier or the transporter,
on the common portal, and the supplier or the recipient, as the case may be, shall communicate his acceptance or rejection of the consignment covered by the e-way bill.
- Sub-rule(12) envisages that where the person to whom the information specified in sub-rule (11) has been made available does not communicate his acceptance or rejection within seventy two hours of the details being made available to him on the common portal, or the time of delivery of goods whichever is earlier, it shall be deemed that he has accepted the said details.
- Sub-rule(13) envisages that the e-way bill generated under this rule or under rule 138 of the Goods and Services Tax Rules of any State or Union territory shall be valid in every State and Union territory.
- Sub-rule(14) embodies goods and circumstances when there shall not be any requirement of generating e-Way Bill. Thus except for the circumstances and the goods mentioned in this sub-rule , e-Way Bill shall be generated as per the provisions embodied in amended Rule, 138 and the Explanation to this Rule clarifies that the facility of generation, cancellation, updation and assignment of e-way bill shall be made available through SMS to the supplier, recipient and the transporter, as the case may be.