Calculating eway Bill Distance Covered, Determining E-way Bill Validity & Its Extension
E-way bills are mandatory documents that must be carried when transporting goods worth more than Rs. 50,000. They have a predefined validity period, depending on the type of cargo being transported and the distance that needs to be covered.
In this article, we will take a look at how to calculate the eway bill distance covered, determine the validity, and extend the validity of an e-way bill
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E-Way Bill Distance Limit Meaning
The E-Way Bill distance limit refers to the maximum distance that can be covered using a single E-Way Bill generated for the transportation of goods. It is a key component in tracking goods in transit and ensuring proper GST compliance.
This distance limit determines the validity period of the E-Way Bill based on the total kilometres to be traveled. For example, typically, one day of validity is allowed for every 100 km of movement. Understanding and adhering to this limit ensures smooth transportation, reduces the risk of penalties, and supports real-time supply chain monitoring.
E-Way Bill Minimum Distance Limit
There is no officially fixed minimum distance limit for generating an E-Way Bill under GST. However, as per the rules, if goods are being transported for a distance of less than 50 km within the same state and without a change in the vehicle, Part B of the E-Way Bill (vehicle details) is not mandatory.
That said, an E-Way Bill may still be required depending on the nature of the goods and if the invoice value exceeds ₹50,000. It’s always advisable to verify state-specific notifications or updates to ensure proper GST compliance during goods movement.
E-Way Bill Distance Limit for Intra-State
For intra-state transportation, the E-Way Bill requirement can vary from one state to another. As a general rule, if goods worth more than ₹50,000 are being moved within the same state for a distance of more than 50 km, an E-Way Bill is required.
However, certain states may have notified different threshold limits or exemptions for specific categories of goods. Therefore, it’s essential to check the state-specific E-Way Bill rules regularly to ensure proper compliance and avoid penalties.
E-Way Bill Distance Limit for Inter-State
For inter-state transportation, an E-Way Bill is mandatory when the value of goods exceeds ₹50,000, regardless of the distance to be covered.
The distance limit determines the validity of the bill as follows:
- Up to 100 km – Valid for 1 day
- For every additional 100 km – An extra day of validity is added
The transporter must complete the journey within the validity period based on the total distance mentioned at the time of E-Way Bill generation.
How E Way Bill Distance is Calculated in E-Way Bill
The distance to be travelled is the distance from the supplier’s location to that of the recipient. The location of the transporter is immaterial in calculating the eway bill distance. The origin of a transporter’s journey is usually the supplier’s location, and the destination is the location of the recipient. You can know the approximate distance by using the MAP feature of the e-way bill system. This feature is available to toll booth officers at state borders where e-way bill-generating toll booths have been set up. This approximate distance shown using the MAP feature is treated as sacrosanct for the purpose of determining the validity of the e-way bill.
The e-way bill system used to accept a maximum distance of only 3000 km in the distance field, which makes it very difficult to transport goods from one extreme end of the country to the other. However, the validity period supersedes the distance to be travelled, so if the goods can be delivered within the validity period, there is no problem even if the distance is over 3000 km.
But that was the old way things were done. Nowadays, you only need to enter the pin codes of the respective locations of the supplier and the recipient. Based on the pin codes, you can get a near-exact distance between pin codes that need to be covered between the locations of the supplier and the recipient.
Currently, the drivers of transporting vehicles can enter the actual distance travelled themselves. However, once the e-way bill devices have determined the approximate distance, drivers can only increase the distance by a further 10%.
As per the current rules, the validity of the e-way bill is extended by one day for every 200 kms (or part thereof) that needs to be covered. So, if the distance to be travelled is 450 km, the validity period for the e-way bill will be 3 days, as shown below:
| Distance Per Day | Validity Period |
|---|---|
| 200 | 1 |
| 200 | 1 |
| 50 | 1 |
| Total Distance = 450 kms | Total Validity Period = 3 Days |
If the cargo being transported falls under the category of Over Dimensional Cargo (ODC), then the validity period is determined by every 20 kms (that part thereof) that need to be covered.
Below is a summary of how to determine the validity of an e-way bill
| Nature Of Conveyance | Distance |
|---|---|
| Over Dimensional Cargo | One day is required for any journey up to 20 km, and an additional day is required for every 20 km or part of one. |
| Other Than Over-Dimensional Cargo | After the first day, an additional day is required for every additional 200 km or so. |
How To Determine The Validity Of Eway Bill
The table given below displays how you can determine the validity of an e-way bill based on the nature of conveyance and the distance travelled:
| Nature Of Conveyance | Distance |
|---|---|
| Over Dimensional Cargo | One day is required for any journey up to 20 km, and an additional day is required for every 20 km or part of one. |
| Other Than Over-Dimensional Cargo | After the first day, an additional day is required for every additional 200 km or so. |
Over-dimensional cargo is defined as cargo that exceeds the dimensions limit set out in rule 93 of the Central Motor Vehicle Rule, 1989, when it is transported as a single, indivisible unit. The term “over-dimensional cargo” describes a load that exceeds the dimensions (length, breadth, or height) allowed for a vehicle under the relevant standards.
This rule was amended in December 2020, increasing the distance paid for conveyances other than over-dimensional cargo from 100 km to 200 km.
Important Points To Note
Given below are some of the important points to remember about the validity of e-way bills:
- The e-way bill’s first-day validity expires at midnight on the following day.
- The e-way bill is only valid when the supplier/recipient or the transporter updates the vehicle number in Part B for the first time.
- If an e-way bill is generated on October 3 at 00:04. The first day of October 4-5 would then end at 12:00 a.m. On October 5-6, the second day will end at midnight, and so on.
- The validity period begins with the first entry in Part B, i.e., the first entry of a vehicle for road transportation or the first entry of a transport document number for rail, air, or ship transportation, whichever is the first entry. It should be noted that the validity for additional items in Part B has not been recalculated.
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Extension Of Validity Period Of E-Way Bill
If the items can’t be delivered by the e-way bill’s expiration date, the validity term may be extended. Only the allocated transporter on the current e-way bill can prolong the validity or the supplier if the transport is outsourced
There are various circumstances that might require extending the e-way bill’s validity time, such as when the transport vehicle is changed, breaks down, or for any other reason that causes a delay in vehicle transportation. Only 8 hours before or 8 hours after the original expiration of the validity period can the e-way bill’s validity be extended.
You can easily integrate the e-way bill without any hassle with accounting software.
How To Extend Validity Of E-Way Bills
Given below is the step-by-step process to extend the validity of an e-way bill:
Step 1: Open an account on the e-way bill system; click on login after entering your username, password, and captcha code.
Step 2: On the dashboard’s left side, under the “E-way bill” option, select “Extend Validity.”
Step 3: You must provide the e-way bill number whose validity needs to be extended.
Step 4: Click on ‘yes’ to extend the validity.
Step 5: To proceed, re-enter the vehicle data, justification, and remarks for any extensions. Choose the appropriate justification from the drop-down menu, then enter extending validity.
Re-enter the remaining travel time to the destination, the dispatch and delivery locations, and the mode and vehicle information. Now, the system will grant additional validity based on the required trip distance.
Payment information as well as the GSTINs of the receiver and the provider. Keep in mind that the validity period will be extended once.
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Conclusion
Computing the distance covered and determining the validity of the Eway Bill are crucial aspects of the Eway Bill system in India. The Eway Bill is generated based on the distance covered by the goods being transported and its validity is determined based on the distance covered within a specified period. It is essential for businesses to accurately calculate the distance covered to avoid any penalties or legal issues.
Additionally, the extension of the Eway Bill validity can be requested under specific circumstances, such as unforeseen delays or natural calamities.Moreover, businesses can use the GST distance calculator to calculate pin code to pin code distance in km.
Overall, the Eway Bill system has helped streamline the transportation of goods and has made the process more efficient and transparent.
I am a chartered accountant with over 14 years of experience. I understand income tax, GST, and balancing financial records. I analyze financial statements and tax codes effectively. However, I also have a passion for writing, which is different from working with numbers. Recently, I started writing articles and blog posts. My goal is to make finance easier for everyday people to understand.
