Compliance
E-Way Bills: When You Need One and How They Work
An e-way bill is the electronic document that must accompany goods in transit above a value threshold. Get it wrong and your consignment can be detained — this guide keeps you clear.
What an e-way bill is
An e-way bill is an electronically generated document required for the movement of goods whose consignment value exceeds a threshold (generally ₹50,000, with some state and intra-state variations). It carries a unique number (EBN) and details of the goods, parties and transport, and must be available with the consignment during transit.
When you need one
- Movement of goods above the value threshold — for sale, transfer, job work or return
- Inter-state and, in most cases, intra-state movement (state rules vary)
- Both by the supplier and, in some cases, by the recipient or transporter
Validity by distance
An e-way bill isn’t open-ended — its validity is tied to the distance the goods travel, calculated in blocks (broadly one day per a set number of kilometres, with different treatment for over-dimensional cargo). If transit takes longer than the validity — a breakdown, a delay — the bill must be extended before it expires, or the goods are travelling without a valid document.
Who generates it
Usually the supplier generates the e-way bill, but a registered recipient or the transporter can generate it depending on who arranges movement. Part A carries the invoice and goods details; Part B carries the vehicle details. Both parts must be complete for the bill to be valid in transit.
Errors that get goods detained
- Moving goods above the threshold with no e-way bill at all
- An expired e-way bill not extended in time
- Wrong HSN, value or vehicle number vs the actual consignment
- Part B (vehicle details) left blank on a bill in transit
- Mismatch between the invoice and the e-way bill
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