What is Transporter ID and its Enrolment Procedure?
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What is a Transporter ID?
Transporter ID is a 15-digit number created by the e-way bill system for transporters not registered under GST. You acquire an ID, like GSTIN, through the State code, PAN, and check-sum digit. Transporters who register for GST will receive a GSTIN, which they can use to log onto the e-way bill system. Small transporters who do not have a GSTIN can register on the e-way bill portal to obtain a Transport ID. It will help them adhere to the e-way bill regulations when transporting goods. All transporters must produce an e-way bill if:
- The whole consignment amount or the value of the items from a single supplier exceeds Rs. 50,000. The total value of all the items transported in a single vehicle exceeds Rs. 50,000.
- We introduce a unique ID system because transporters without a GSTIN do not possess it. Also read: How to Generate E Way Bill Easily
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When is a Transporter ID Required?
A Transporter ID is mandatory under GST when:
- A transporter is not registered under GST but is involved in the movement of goods worth more than ₹50,000.
- Businesses want to assign a consignment to an unregistered transporter while generating an e-Way Bill.
In such cases, the transporter must obtain a unique Transporter ID (TRANSIN) by enrolling on the GST e-Way Bill portal. This ID is then used in Part B of the e-Way Bill in place of a GSTIN.
It enables unregistered transporters to legally move goods under GST without needing full registration.
Procedure to Generate the Transporter ID
Transporters must sign up on the e-way bill portal to obtain an ID number, which they need to create an e-way bill. The following steps discuss the process of generating a transporter ID:
Step 1: Go to the E-way bill portal and log in to your account.
Parts of the Enrolment Application Form
To obtain a Transporter ID, unregistered transporters must fill out the Enrolment Application Form (Form GST ENR-01) on the e-Way Bill portal. The form includes:
- Name of business
- PAN of the transporter
- State and district of operation
- Type of business entity (proprietorship, partnership, etc.)
- Principal place of business
- Contact details (mobile number and email)
- Upload of address and ID proof (such as Aadhaar, PAN, electricity bill)
Once submitted, a 15-digit Transporter ID (TRANSIN) is issued upon successful verification.
Format of the Transporter ID
The Transporter ID, or TRANSIN, follows a 15-digit format similar to a GSTIN to maintain system compatibility across e-Way Bill and GST portals.
Structure of the Transporter ID:
- First 2 digits: State code (as per Census)
- Next 10 digits: PAN of the transporter
- Last 3 digits: System-generated unique code
Though not a GSTIN, this format ensures the Transporter ID integrates seamlessly with the e-Way Bill system, making it easy for businesses to input and track.
Step 2: Under the Registration button, select enrolment for Transporters
Step 3: The system will redirect you to a new page that displays the enrolment application form.
You need to fill nine sections to gain a transporter ID. These sections include:
- Name of the State
- The second part divides the section into three parts.
- Legal name
- Trade name
- Personal account number (PAN)
- The third section includes the enrollment type. The enrolment options are:
- Warehouse or Depot
- Godown
- Transportation services
- Cold storage
- Next is the business constitution. You are supposed to specify the type of business which you wish to generate a transporter ID for, such as an LLP, a private limited company, a public limited company, a foreign corporation, a partnership firm, a sole proprietorship, or another business structure (HUF, AOP, BOI and so on).
- The following is the business structure. You need to define the kind of business you want to create a transporter ID, such as following the business structure. The next section of the enrollment form requires the transporter to list three requirements:
- Principal Business Location
- Contact information
- Whether the place is shared, consented to, leased, rented, owned, or in another capacity.
- The transporter must provide a special User ID and password in this Transporter’s ID registration form area. It should be mentioned that the transporter can check to see if the user ID has been taken using the Check Button.
- The transporter must check the information by clicking the check button after providing all the necessary information.
- Create a new, distinctive username and password. By choosing Check, you may determine whether the username you want to set is already in use or not.
- Check the box next to the affirmation that the information you have provided is accurate, then click Save.
- Step 4: When a transporter signs up, they get a unique 15-digit number from the EWB system. The transporter will receive this transporter ID after confirming all the information. To change the information in PART-B of the e-Way Bill, the transporter must notify the consignor and consignee.
A Change of Mode of Conveyance During Transit
Before moving products, a transporter needs to update the information on the e-way bill for the new vehicle. The user created the e-way bill on the e-way bill portal using form EWB-01.
Transhipment of Goods – What You Should Know
Transhipment refers to the transfer of goods from one vehicle to another during transit. It usually happens when:
- A shipment is moved across long distances using multiple modes
- The original vehicle breaks down or route changes are required
- Goods are consolidated or deconsolidated en route
Key points:
- If transhipment occurs, the new vehicle number must be updated in Part B of the e-Way Bill.
- Failure to update the vehicle number leads to invalid e-Way Bills, attracting penalties.
- In multi-vehicle transport (like rail + road), details of all segments must be recorded accurately.
Process of Inspection and Verification
Under GST, officers are empowered to inspect and verify goods in transit to ensure tax compliance. Here’s how the process works:
- Authorization: Officers are assigned via Form GST MOV-01 for inspection.
- Verification of Documents: The transporter must present the invoice, e-Way Bill, and vehicle details.
- Inspection Report: If inspection occurs, a summary report (GST MOV-02) is issued within 24 hours.
- Physical Verification: If suspicion of evasion exists, a full verification is carried out using Form GST MOV-03 and further documentation like MOV-04, MOV-05 (order for release), or MOV-06 (detention order).
- Penalty and Detention: If goods are found to be transported in violation, a fine or tax penalty may be levied, and the goods/vehicle may be detained.
Transporters and businesses must ensure all documents are accurate and up to date to avoid delays and penalties.
A Situation of Transhipment of Goods
The term transhipment refers to the switching of a good’s mode of goods or vehicle during transit. The person transporting goods can update the vehicle number on the e-way bill for the car carrying the goods.
The seller or carrier listed in Part A of the e way bill can change the vehicle number as many times as needed. The E-way bill portal also allows switching or reassigning a transporter for an E-way bill. The seller may no longer use this option if the initially assigned transporter reassigns another transporter in his place.
How to Enrol for a Transporter ID?
A Transporter ID is a unique identification number issued under GST for individuals or entities involved in transporting goods. Transporters who don’t have a GSTIN need to register for a Transporter ID to comply with e-way bill requirements.
To enrol:
- Visit the e-way bill portal: Go to the official website.
- Choose Transporter Registration: Select the “Enrolment for Transporters” option.
- Provide Details: Fill out your business name, PAN, contact details, and address.
- Set Credentials: Create a username and password for your account.
- Submit and Verify: Submit the form and verify using an OTP sent to your registered mobile number.
Once enrolled, you will receive a unique Transporter ID. Use this ID to generate e-way bills for transportation of goods.
What is the Process of Inspection and Verification of Goods?
During transit, goods may be inspected by GST officials to ensure compliance with e-way bill rules. The process includes:
- Document Check: Officials verify the e-way bill, invoice, and other required documents.
- Physical Inspection: If needed, the vehicle and goods may be physically inspected.
- Report Generation: After inspection, an inspection report is generated and updated on the e-way bill portal.
- Compliance Check: If discrepancies are found, the transporter or consignor may need to address them.
Proper documentation and adherence to GST guidelines minimize delays and penalties during inspections.
Conclusion
Users can use accounting software, such as BUSY Accounting Software, to ease the enrolment process for a transporter ID. Users need to become more familiar with BUSY Accounting Software. It is adaptable to the diverse needs of different organisations and has tools to quickly create documents such as e-invoices, e-way bills, GSTR-2A, and ID enrolment.
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.
Frequently Asked Questions
- What is a transporter ID in GST?A transporter ID in GST is a unique identifier assigned to transporters not registered under GST but must generate e-way bills. This ID helps track the movement of goods and ensures compliance with GST regulations.
- How do I obtain a transporter ID?To get the ID, visit the e-way bill portal, fill out the transporter registration form, and upload the required documents. Once we verify it, we will issue a unique transporter ID.
- What is transporter ID used for?Transporters use a transporter ID to identify themselves when moving goods across states. It is essential for generating e-way bills, which are mandatory for transporting goods worth more than ₹50,000.
- How do I use the transport ID in the e-way bill system?Enter the transport ID in the transporter details section when creating an e-way bill to use it in the system. It ensures that the transporter registers and is authorised to move goods.
- Can you provide a transporter ID example?Sure, a transporter ID example might look like “12ABCDE3456F7G8.” Each transporter uses a unique alphanumeric code for all e-way bill-related activities.
- How does the e-way bill transport ID system work?The e-way bill transport ID system allows transporters to register and obtain a unique ID. Users then use this ID to generate e-way bills, ensuring they track and comply with GST rules for all transported goods.
- Why is the eway bill transporter ID necessary?The eway bill transporter ID is necessary to ensure all transport activities are legal and traceable. This ID helps prevent tax evasion and ensures smooth transportation of goods.
- How do I get a transport ID for e-way bill purposes?To get a transport ID for an e-way bill, you must register as a transporter on the e-way bill portal. Fill in the required details and submit your application. Once approved, you will receive your transport ID.
- How can I perform a transporter ID check?To perform a transporter ID check, visit the e-way bill portal and use the search function to verify the transporter ID. It helps to ensure that the ID is valid and the transporter is registered.
- What is the process for transport ID registration?To get a Transport ID, visit the e-way bill portal. Fill out a form and submit the necessary documents. After we verify your information, we will issue you a unique transporter ID.
- What happens if the transporter changes the mode of conveyance during transit?The e-way bill must be updated with the new mode of conveyance details before continuing the journey to ensure compliance.
- What is the rule to be followed when transferring multiple consignments in a single conveyance?A consolidated e-way bill must be generated by combining the individual e-way bills of each consignment.
- How to deal with the situation of transshipment of goods?Update the e-way bill with new vehicle details after transshipment to maintain accuracy and compliance.
- What are the documents to be carried by the person-in-charge of conveyance?The person must carry the e-way bill, invoice or bill of supply, and any other relevant documents for inspection.
