The Central Board of Indirect Taxes and Customs has published an advisory on September 16, 2021, concerning the generation of the e-way bill where the principal supply is the supply of services. The GST Network is the information technology drive for the indirect tax system. It has been announced that no e-way bills (EWB) are required if the principal supply is service and no supply of goods is involved. However, where the supply is a bundled supply with a mix of goods & services, e-way bills are mandated. The supplier has to obtain an e-way bill by entering codes for both. The CBIC highlighted that representations were received from numerous trade bodies asserting that they cannot generate an EWB bill for the movement of those goods where the principal supply is essentially a service. This is since there is no requirement for generating an E-way Bill for the supply of services.
Recognizing that there is no necessity for producing E-way Bill by entering SAC (Service Accounting Code-Chapter 99) on the E- way bill portal, the taxpayers, are suggested as below: