How To Update, Reject and Cancel an E-Way Bill

Reasons You May Need to Modify or Cancel an E-Way Bill

There are several situations where a business may need to either cancel or reject an e-way bill. Some common scenarios include:

• Goods Not Moved: If the goods are not transported after the e-way bill is generated, the bill should be cancelled within 24 hours.
• Wrong Details Entered: If incorrect information like GSTIN, vehicle number, invoice value, or place of supply is entered, the bill needs to be cancelled and a new one created.
• Duplicate E-Way Bill Generated: Sometimes, multiple e-way bills are created for the same transaction by mistake. The extra ones should be cancelled.
• Rejection by Recipient: If the recipient receives goods not ordered or doesn’t accept delivery, they can reject the e-way bill within 72 hours.
• Route or Transporter Changed: If there’s a major change in the delivery route or transporter, the e-way bill may need to be cancelled and a new one generated.

How to Change Transporter ID on E-way Bills

The transporter or seller who has already generated the E-way bills can change or re-assign the transporter ID. If the original transporter changes the  transporter ID  by assigning another transport, the seller is ineligible to make any changes. In this case, only Part B of the form can be edited.

The procedure to re-assign a transporter is discussed below:

Step 1: Under the E-way bill option, select Update EWB Transporter.

You will have to enter either transporter ID or transporter  GSTIN .

Step 2: Enter the new Transporter ID and click on Submit.

The screen displays an updated version of the E-way bill. To print the E-way bill, click Print.

Rejecting E-way Bills

In cases where the goods are not transported at all, or they are transported with different details than those mentioned in the e-way bill, the party that generated the e-way bill is also allowed to cancel it. However, the following points need to be noted:

• Cancellation of e-way bill can be done by the party that generated it.
• If an e-way bill needs to be cancelled, it must be done within 24 hours of generating it.
• It is illegal to use an e-way bill that has been cancelled.
• An e-way bill cannot be cancelled once any empowered officer has verified it.

The procedure of cancelling an E-way bill is mentioned below:

Step 1: Select Cancel from the drop-down menu after clicking on the e-way bill or Consolidated EWB.

Step 2:Click ‘Go’ after entering the 12-digit E-way bill number of the EWB you want to cancel. The chosen EWB appears. Offer a decent explanation for the e way bill cancellation. For instance, the e-way bill’s input is wrong, and the products are not being transferred.

Thus, after submitting that, your e-way bill will be cancelled.

Common Mistakes to Avoid When Handling E-Way Bills

Here are some frequent mistakes businesses make while handling e-way bills, along with tips to avoid them:

• Using Expired E-Way Bills: Moving goods after the e-way bill expires is a common error and can attract penalties. Always check the validity before dispatch.
• Not Cancelling Unused Bills: If the goods aren’t shipped, cancel the bill within 24 hours. Missing this deadline means the bill stays active in the system unnecessarily.
• Ignoring Transporter ID Mismatch: If the transporter ID (Transin ID) is changed or updated, but not corrected in the e-way bill, it can cause confusion during transit checks.
• Wrong Document Types: Selecting the wrong document type (like ‘invoice’ instead of ‘delivery challan’) may result in non-compliance.
• Delayed Rejection by Recipients: If a buyer doesn’t reject an incorrect e-way bill within 72 hours, it is considered accepted by default.
• Incorrect Distance Entries: Mentioning the wrong distance between locations can lead to shorter validity and possible expiration during transit.

Conclusion

In this article, we discussed the process of modifying, rejecting and cancelling e-way bills, and the circumstances under which each action can be taken. To make generating e-way bills easy and quick, consider using a robust  e-way bill software  like BUSY that can  generate e-way bills automatically .

The Government maintains a tight control over the transport of goods across the country in order to curb tax evasion as far as possible, and to ensure that goods are trackable while being transported.