A TEE PROJECT SUBMITTED ON

E-WAY BILL UNDER GST

FOR THE SUBJECT OF PRINCIPLES OF TAXATION II

SUBMITTED BY:
ARYAN LUKKA
A063
B.B.A. LL.B. (HONS.)

Submitted To:
PROF. PREYASH PAREKH

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 INDEX
SR. PARTICULARS PAGE
NO. NO.
1 INTRODUCTION 3

2 REVIEW OF LITERATURE 4

3 IMPORTANCE OF INTERNATIONAL CONTRACTS 5

6 THE SALES AGREEMENT 10

7 LEGAL ANALYSIS 11

8 ELECTRONIC CONTRACTING 16

9 CONCLUSION 18

10 BIBLIOGRAPHY 19

INTRODUCTION

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A very important development in tax restructuring is the launch of GST in the
country effective on 1st July 2017. Every check points are eliminated nation-wide for the fast
and simple transport of goods throughout the country without any obstacles.

The GST scheme offers a digitally produced e-Way Bill whereby information is to be
conveyed by the party carrying out the transport. ICT-based approach is expected to
incorporate the e-Way Bill scheme. Therefore, an Internet software was invented and
established by the “National Informatics Centre” and is now ready for people's use, as
authorised by the Goods and Services Tax (GST) Council.

A “way-bill” is a certificate provided by a merchant providing information and guidance on

An “Electronic Way Bill” (E-Way Bill) is essentially a certification process, in which the
individual responsible for moving a product posts details before travel begins and produces
electronic bills from the GST platform.

E-way bill mechanism Rule 138 of the CGST Rules, 2017 and in this context it is important
to note that “information is to be furnished prior to the commencement of movement of
goods” and “is to be issued whether the movement is in relation to a supply or for reasons
other than supply”1.

The provisions of “Rule 138 of the CGST Rules of 2017” lay down the e-way bill process,
which specifically states.

This information seeks to clarify how to utilize the e-Way Bill framework on the internet. It
describes the characteristics of the e-Way Bill system and the position of participants in the
process. 

This information is aimed for registered GST payers and unidentified carriers, the key
stakeholders of the GST e-Way Bill scheme.

RESEARCH QUESTIONS
1
Rule 138 of the CGST Rules, 2017

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HYPOTHESIS

ANALYSIS

The major benefits of e-Way Bill system are as follows:

The traders need not visit tax offices to collect and submit the Way Bill forms as used to be
done in VAT regimes in some states.

Average waiting time at mobile squad reduces drastically – As the verification of the e-Way
Bill is done with the common portal, it will speed up the process of verification and allowing
the vehicle to pass faster.

Self - policing by traders - A trader while uploading gives the identification of the buying
trader who will also account the transaction automatically.

Environment friendly – The need of the paper form of the multiple copies of way bill is
eliminated. Hence, the tons of paper are saved per day.

Generation of GSTR-1 returns – GSTR-1 return of the supplier is auto prepared, hence he
need not have to upload the same.

Officials saved of monotonous work collecting and matching the manual way bill with the
returns of the taxpayers.

PROCESS FLOW FOR THE E-WAY BILL

The fundamental motive behind the “E-Way” bill is to assure that the consignment that’s
being conveyed is in compliance with the Goods and Service Tax. It helps and is a productive
method for tracing the transport of the consignment and to keep a check on the proper
payment of tax.

Following points describe the method in which E-way bill functions2:

2
Section 138 CGST

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1. The consignor shall pass on the consignment to the one who will transport or any transport
agency as the case maybe, for the delivery to the recipient.

2. Online in the website, the consignor lays out the specifics of the consignment in Part A of
“Form EWB-01” and Part B contains the particulars of the transporter.

3. A particular number is given to each e-way bill known as EBN (E-way bill number) as an
identification mark to it. It can be generated by the consignor or the transporter based on the
information given in Part A.

4. The E-way bill number created is then shared between the all the parties i.e. consignor,
recipient and/or transporter.

5. The consignor then sends the information in the bill to the recipient who has the option to
accept it or reject it.

6. The transporter of the consignment has to carry a copy of E-way bill or the E-way bill
number.

7. Verified EBNs must be linked to or updated with posted invoice transactions in the system.

The E – way bill is divided into two parts and the:

 PART A has to provide information of:

“GSTIN of Supplier, Place of Dispatch Vehicle Number for Road, GSTIN of Recipient,
Place of Delivery, Invoice or Challan Number, Invoice or Challan Date, Value of Goods,
HSN Code, Reason for Transportation.”3

 PART B has to provide information of:

“Vehicle Number for Road transport or Transport Document Number or Temporary Vehicle
Registration No.”4

3
FORM GST EWB-01
4
Ibid 3

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Source: National Informatics Centre5

The above figure shows how the e-way bill electronically works. As the process starts (from
the left), the taxpayer has option to apply for E-way bill through Web, Phone App, ERP
(Enterprise resource planning) software or GSP (GST Suvidha Provider). The bill enters the
E-way bill system with the help of API’s. This API framework enables consignor or
conveyor to request the "EWB system" to produce, upgrade, and extract information relevant
to one‘s e-way bills from their electronic systems. Then through API the GST officer receives
data through States, CBIC (Central Board of Indirect
Taxes and Customs) or GSTN (The Goods and Service
Tax Network). After assessing and checking the data fed
by the tax payer he receives the E-way bill on approval
by the GST Officer.

The diagram on the right shows the statistics on mode-

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Source: National Informatics Centre6

Consequences of non-conformance to E-way bill rules:

Any e-way bill that is not generated in compliance with “Rule 138 of the CGST Rules, 2017”
will be deemed to be in violation of the rules. As per Section 122 of the CGST Act, 2017, a
taxable person who transports any taxable goods without the cover of specified documents (e-
way bill is one of the specified documents) shall be liable to a penalty of Rs.10,000/- or tax
sought to be evaded (wherever applicable) whichever is greater. As per Section 129 of CGST
Act, 2017, where any person transports any goods or stores any goods while they are in
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Report: E-WAY BILL - A JOURNEY OF THREE YEARS – National Informatics Centre.

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transit in contravention of the provisions of this Act or the rules made there under, all such
goods and conveyance used as a means of transport for carrying the said goods and
documents relating to such goods and conveyance shall be liable to detention or seizure.