Introducing Changes in E-Way Bill System After E-Invoicing Under GST


Date: 29 Dec 2022

E-way Bill: Changes Introduced In The New Return System Under GST


An electronic waybill for the transportation of goods is known as an e-way bill. It must be produced via the e-way bill site. If the value of the products exceeds Rs. 50,000, a person registered under GST is prohibited from transporting them in a vehicle without an e-way bill. The essential information is uploaded prior to the transportation of the products, and an e-way bill assures that the goods are transported in accordance with GST regulations. This is a way to monitor the flow of products and prevent tax evasion.


How Are E-Way Bills Currently Generated?


Currently, if there is a movement of goods in a vehicle and the consignment's value exceeds Rs. 50,000, an e-way bill must be generated on the GST portal. If more than one shipment is transported in a single vehicle, an e-way bill must be created for all shipments with a value greater than Rs. 50,000. The movement could be-


  • related to a supply

  • for factors unrelated to supply

  • a result of an unregistered person's internal supply.


An e-way bill needs to be created on the common portal for each of the following categories of movement. However, in two other circumstances, for instance, even if the value of a consignment is less than Rs. 50000, an e-way bill must be generated; For example


  • The inter-state movement of goods to a job worker by a principal or registered job-worker

  • the dealer's interstate transportation of GST-exempt handicraft products. 


What Are Changes Introduced In The New Return System With Regard To E-Way Bills?  


The government intends to incorporate GST returns with e-way bills under the new return system. The government wants to use this integration to prevent taxpayers from generating e-way bills on the site when they fail to file GST returns for two successive tax periods. A registered dealer would not be permitted to provide information in Part A of GST Form EWB-01 if he has failed to file his GST returns for two consecutive tax periods. As a result, the buyer and the seller will both be barred. This will apply if the appropriate GSTR-03B or GSTR-4 return is not filed.


What Is E-Invoicing? How Will It Be Implemented?


Businesses generate invoices through their billing and accounting software, which are then uploaded to the GST system for filing returns. However, the planned e-invoicing system will issue the invoice directly over the GST network, and all data will be immediately and instantly uploaded to the portal. As a result, manual data entry will no longer be necessary.


Starting on January 1st 2020, this new system was only used for B2B invoices. Therefore, no additional e-way bills will need to be generated in the future. The government seeks to accomplish two goals by integrating two systems: GST return filling and e-way bills. The facilitation of data management for taxpayers is one of these goals. The second is to make it feasible to monitor transactions in real time and keep an eye out for potential tax evasion cases. Busy accounting software helps taxpayers to generate e-way bills hassle-free.