GST E-way Bill Verification

Tally Solutions | Nov-28-2019

What is an E- Way bill?

The E-way bill stands for electronic way bill. It is meant for movement of goods. It has to be generated on the GSTN. A ‘movement’ of goods of more than Rs 50,000 in value cannot be made by a registered person without an e-way bill. On the generation of the e-way bill, the parties to a supply (Supplier, recipient, and transporter) will be allotted a unique e-way bill number (EBN) without which movement of goods cannot be carried out in the GST regime.

What is E- Way bill verification?

Owing to downslide in the revenues post GST, the GST Council came up with a Circular that mandated to make E-Way bill mechanism a stronger one. This could be understood more by reading the circular issued by the Central Board for Indirect taxes and Customs.

EWB verification - The Circular Reading:

This carries the detailed instructions on the procedures to be followed by field officers for e-way bill verification and interception of vehicles for inspection/detention of goods under the GST regime. It also details the procedures to be followed in case of interception of ‘conveyances' for inspection of goods in movement and detention, seizure and release and confiscation of such goods and vehicles.

Steps involved in verification of E-Way bill

• Step 1:The officer empowered begins with verification of documents and / or inspection of goods
• Step 2: The person in charge of the conveyance shall then produce the documents related to the goods and conveyance
• Step 3:Then the officer in charge will verify such documents and where, prima facie, no discrepancies are found, the conveyance will be allowed to move further

Mode of invoice acceptable

E-way bill in the form of a print out, SMS or written on the invoice will be considered as valid.

Discrepancies during verification of E- way Bill

• Action 1:A statement of the person in charge of conveyance will be recorded
• Action 2:An order, requiring the person in charge of conveyance to station conveyance at the place mentioned in such order and allow inspection of goods, will be issued

Who empowers the officer to verify EWB?

The power to intercept any conveyance to verify EWB or the e-way bill number in physical form for all inter-State and intra-State movement of goods is given by the Commissioner himself or an officer empowered by him in this regard.

Time limit

• For generating the EWB verification report:
  • The e-way bill verification report will be generated by the officer concerned within 24 hours of the order passed for stationing the conveyance
  • The proper officer will then be required to prepare a report and upload the same on GST Portal
• For completing the E- Way bill inspection proceedings:
  • The inspection proceedings shall, in general, be completed within three working days from date of issue of order
  • After which a report of the inspection of conveyance and goods on Form GST INS –03 shall be served on a person in charge of the conveyance
  • The final report of such inspection shall also be uploaded on the GST portal within three days of such physical verification
• For payment of tax defaulted and penalty: Where tax and penalty is not paid within seven days from the date of issue of the detention order, a notice can be served to propose confiscation of goods and conveyance and the imposition of penalty

Status of Goods and conveyance withheld during verification of E-Way bill

• The goods and conveyance will be released only when the owner of goods or a person so authorized makes payment of tax and penalty
• The goods and conveyance could also be released on furnishing of bond along with security in the form of bank guarantee equal to the total amount payable