Cir No G-2 / 03 / 2018

Cir No G-2 / 03 / 2018                                                                                   7th April 2018




Dear Sir,



Legal Provisions

  • Rules 138 to 138 (D) of CGST Rules as notified vide notification no. 12/2018-Central Tax dated the 7th March, 2018.

Date of Implementation

  • 1st April, 2018 for inter-state movement of goods as notified vide notification no. 15/2018-Central Tax dated the 23rdMarch, 2018.

Monetary Threshold

  • Value of consignment exceeding 50,000 rupees
  • No threshold
    • for inter-state movement of goods sent for job work
    • for inter-state movement of handicraft goods by unregistered person
  • Optional generation of EWB allowed
    • even if value less than 50,000
    • even if person unregistered

Meaning of Value

  • As per section 15 of CGST Act i.e. Transaction Value.
  • It includes CGST, SGST, IGST and Cess if any, but
  • Excludes value of exempt supply of goods where the invoice is in respect of both exempt and taxable supply


  • For movement of goods
    • in relation to a supply, or
    • other than supply like job work, goods sent on approval basis
    • inward supply from unregistered person


  • GST EWB-01 having two parts i.e. Part A & Part B

When to prepare

  • Part A to be filled up online on the common portal before movement of goods

Who to prepare Part A

  • Registered consignor, or
  • Registered consignee, or
  • Transporter on authorization from registered person
  • E-Commerce operator or a courier agency on authorization from consignor
  • Principal or the registered job worker for goods sent on job work
  • In case of supply by unregistered person, the registered recipient to prepare it

Unique number

  • A unique number will be generated on the common portal after furnishing information in Part A
  • This unique number is valid for a period of fifteen (15) days for updation of Part B

Generation of E-Way Bill by filling up Part B

  • Transport by Road
    • By the consignor or consignee when movement in his own conveyance, or a hired one or a public conveyance before movement of goods
    • If goods are handed over to a transporter without generating E-Way Bill, the transporter shall generate it
  • Transport by Rail, Air or Vessel
    • By the consignor or the consignee
    • Before or after the commencement of movement
    • In case of rail delivery shall not be given unless the E-Way bill is produced to the railways

Exemption from filling up Part B

  • For intra-state movement of goods
    • Up to 50 Kms. from the place of consignor to the place of transporter
    • Up to 50 Kms. From the place of transporter to the place of consignee

Updation of Part B

  • Is possible:
    • Where goods are transferred from one conveyance to another
    • By the consignor, consignee or the transporter
    • By some other registered or enrolled transporter also on assignment
    • Before such transfer

Multiple consignments in one conveyance

  • For transportation by road the transporter may generate a consolidated E-Way Bill in Form GST EWB-02 on the common portal prior to movement of goods
  • It will indicate the serial no. of E-Way Bill of each consignment


  • Possible
    • Within 24 hrs of generation of E-Way Bill
    • If goods are either not transported, or
    • Not transported as per details in E-Way Bill
  • No cancellation possible if the E-Way Bill verified in transit

Validity Period

  • Normal cargo
    • 1 day for distance up to 100 km
    • 1 additional day for every 100 km or part thereof thereafter
  • Over-Dimensional cargo
    • 1 day for distance up to 20 km.
    • 1 additional day for every 20 km or part thereof thereafter
  • Extension by transporter possible under exceptional circumstances including trans-shipment
  • Validity period to be counted from the time the E-Way Bill is generated and each day shall be counted as the period expiring at midnight of the next day

Territorial validity

  • All India – E-Way Bill generated is valid in every state and UT

Acceptance of E-Way Bill

  • Has to be accepted or rejected by the supplier or the recipient
    • Within 72 hrs of the details made available to him on the common portal or the time of delivery, whichever is earlier
    • Non-communication in the above time limit means deemed acceptance


No EWB is required to be generated in the following cases:

  • Goods specified in Annexure to Rule 138 e.g. LPG for domestic supply, Kerosene for PDS, currency
  • Transportation by non-motorized conveyance like animal driven vehicles
  • Transportation from Custom ports, Airport, Air cargo complex and LCS to ICD or CFS
  • Transportation under bond from ICD or CFS to Custom ports, Airport, Air cargo complex and LCS
  • Transportation from one Customs station or Custom port to another Customs station or Custom port
  • Transportation under Customs supervision or Customs seal
  • Goods not under GST like alcoholic liquor for human consumption, petrol, diesel
  • Transit cargo from or to Nepal or Bhutan
  • Movement of goods caused by defence formations
  • Where the consignor is Central or State government or local authority for transport by rail
  • Transportation of empty cargo containers
  • Transportation up to 20 Km from place of consignor to a weighbridge for weighment or from weighbridge to consignor provided the goods are accompanied by a delivery challan
  • Goods covered under notification no. 2/2017- CT Rate dated 28/06/2017 i.e. fully exempted goods
  • Goods exempt under notification 7/2017-CT Rate dated 28/06/2017 and 26/2017-CT Rate dated 21/09/2017 i.e. supplies to and from defence canteens and heavy water respectively.

Documents to be carried by driver

  • By Road:
    • Invoice or IRN (Invoice Reference Number) or Bill of Supply or Delivery Challan
    • Copy of E-Way Bill in physical form, or
    • E- Way Bill number in electronic form, or
    • E-Way Bill number mapped to RFID
    • RFID (Radio Frequency Identification Device) if notified by commissioner
  • By Rail or Air or Vessel:
    • Invoice or IRN (Invoice Reference Number) or Bill of Supply or Delivery Challan

Note:  Commissioner can allow to carry Tax Invoice or Bill of Entry or Bill of Supply or Delivery Challan in place of E-Way Bill I f the circumstances so warrant.

Transit checks

  • By authorized officers permissible to verify E-Way Bill
  • RFID readers to be installed at various locations
  • Goods once verified/checked in transit in one State/UT shall normally be not verified/checked in another State/UT
  • Summary report of transit check to be uploaded online by the officer within 24 hours in Part A of FORM GST EWB-03
  • Final report of transit check to be uploaded online by the officer within 3 days in Part B of FORM GST EWB-03
  • Any detention beyond 30 minutes can be uploaded by the transporter in FORM GST EWB-04 on the common portal


Asks for the following details:

  • PART A
    • GSTIN of supplier and GSTIN of recipient. If one of them is not registered then the letter “URP” is to be filled up against that column
    • PIN Code of place of dispatch and PIN Code of place of delivery
    • Document number of Tax Invoice, Bill of Supply, Delivery Challan or Bill of Entry
    • Document date
    • Value of goods (including taxes)
    • HSN Code up to 2 digits if annual turnover up to 5 crores in previous year and up to 4 digits if annual turnover more then 5 crores in the previous year
    • Any one of the reasons for transport like supply, export or import, job work, sales return, exhibition, for own use etc.
  • PART B
    • Vehicle Number for Road
    • Transport Document Number, for example:
      • Goods Receipt Number (by Road), or
      • Railway Receipt Number (by Rail), or
      • Forwarding Note Number (by Rail), or
      • Parcel Way Bill Number (by Rail), or
      • Airway Bill Number (by Air), or
      • Bill of Lading Number (by Vessel)

 Penalty for Non-Compliance

  • Penalty of Rs.10,000/- or tax sought to be evaded (wherever applicable) whichever is greater as per Section 122 of the CGST Act, 2017.
  • Detention or seizure of goods and documents and conveyance during transit checks as per Section 129 of CGST Act, 2017.

Thanking you,

P. Chandrasekharan

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