The e-way bill is a statutorily required electronic document under Goods and Services Tax (GST) for the movement of goods exceeding ₹50,000 in value, subject to applicable state-specific and category-specific rules.
Since its nationwide rollout, the system has unified the previously fragmented state-level waybill process into a single digital mechanism. Businesses still have many questions about its requirements, from generation and validity to cancellation and exemptions.
Understanding these requirements helps lower the risk of transit delays, penalties and operational disruptions.
Frequently asked questions about e-way bills
From generation and validity to cancellation and transit issues, the following are some of the most common e-way bill questions businesses ask.
1. Who is required to generate an e-way bill?
The e-way bill can be prepared by the consignor, consignee or transporter when goods valued above ₹50,000 are moved. The person responsible for generating it depends on who initiates the movement and whether the other party has already generated it. If neither the supplier nor the recipient generates it, the transporter must generate it before the goods are moved.
2. What is the value threshold for generating an e-way bill?
The standard threshold is ₹50,000 for inter-state movement. The intra-state limits vary by state. Additionally, several states may prescribe special exemptions. But there are certain specific movements where an e-way bill is mandatory irrespective of the threshold of ₹50,000. Businesses should check the applicable state rules before assuming an e-way bill is not required.
3. What are the two parts of an e-way bill and what do they contain?
An e-way bill has two parts. Part A can be generated first, and Part B is added before or during movement when vehicle or transport details are available. Part A contains invoice details including the recipient’s Goods and Services Tax Identification Number (GSTIN), place of delivery, invoice number and date, Harmonised System of Nomenclature (HSN) code, value of goods and reason for transportation. Part B contains transport details including the vehicle number or transport document number.
4. How is an e-way bill’s validity determined?
The validity of an e-way bill depends on how far the goods need to be transported and the type of cargo being transported. For regular cargo, an e-way bill is valid for 1 day for the first 200 km or part thereof, with 1 additional day allowed for every extra 200 km or part thereof. For Over Dimensional Cargo (ODC) or multimodal shipments with a ship leg, the validity is 1 day for the first 20 km or part thereof, with 1 additional day allowed for every extra 20 km or part thereof. The validity period begins from the time the first Part B entry is made and expires at midnight on the last valid day.
5. Can an e-way bill be extended if goods do not reach the destination within the validity period?
Yes. The e-way bill can be extended within 8 hours before or after expiry, up to 360 days from the original date of generation. This applies in cases of disruptions such as natural disasters, bad weather or vehicle breakdowns.
6. Is there a time limit on how old an invoice can be when generating an e-way bill?
Yes. Effective from 1 January 2025, an e-way bill can be generated only if the document was issued within the previous 180 days. Documents older than this limit are not eligible for e-way bill generation.
7. Can goods be transported through multiple modes of transport on a single e-way bill?
Yes. Goods covered under a single e-way bill can be transported through multiple modes of transport, such as road, rail, air or ship. However, whenever the mode of transport changes, Part-B of the e-way bill must be updated with the latest mode of transport and relevant conveyance or transport document details. At any point during transit, the details recorded on the e-way bill portal must match the actual mode of transport being used for the movement of goods.
8. What documents must be carried during the movement of goods?
The person in charge of the conveyance must carry the relevant delivery challan, tax invoice or bill of supply during transportation. They must also carry a physical copy of the e-way bill, its number or ensure that it is mapped to an RFID device installed on the conveyance.
9. Can minor errors in an e-way bill lead to penalties?
As per Circular No. 64/38/2018 GST, proceedings under Section 129 may not be initiated for minor typographical errors such as spelling mistakes where the GSTIN is correct, PIN code errors that do not affect validity, errors in one or two digits of document or vehicle number or HSN errors where the first two digits are correct. Instead, a penalty of ₹500 may be imposed under the CGST Act and another ₹500 under the respective SGST/UTGST Act, resulting in a total penalty of ₹1,000 per consignment. The order is issued through FORM GST DRC-07.
10. What is a consolidated e-way bill?
A consolidated e-way bill is like a trip sheet and contains details of different e-way bills for various consignments being transported in one vehicle. It does not have an independent validity period. Each individual consignment specified in it must reach its destination within the validity period of its own e-way bill.
11. Which goods are exempt from the e-way bill requirement?
Under Rule 138(14) of the Central Goods and Services Tax (CGST) Rules, exempted goods include LPG for household customers, kerosene under the Public Distribution System (PDS), postal baggage, pearls and precious stones (Chapter 71), jewellery (Chapter 71), currency, used personal effects and coral. Other exemptions include non-motorised conveyance, goods under customs bond, transit cargo to Nepal or Bhutan, empty cargo containers, defence movement and government transport by rail.
12. Are there situations where an e-way bill is required regardless of consignment value?
Yes. An e-way bill is required when a registered business (the principal) sends goods to a job worker in another state, regardless of the consignment value. Handicraft goods transported interstate by a person exempt from GST registration also require an e-way bill regardless of value.
Conclusion
E-way bill compliance is a matter of knowing who generates it, when it is required, how validity works and what to do when something goes wrong in transit. Getting these answers right protects the business from detention, penalties and disrupted deliveries.
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