E-way bill is an electronically generated bills which shall be mandatorily carried by the person-in-charge while the movement of goods whose value exceeds the threshold limit of 50,000 INR. The validity of an e-way bill is for a certain period of time which depends upon the distance and type of cargo used in the movement of consignment.
Calculation of proximate distance
Sometimes taxpayer calculates the approximate distance from the place of the transporter to the place of supply which is incorrect the distance shall be calculated between the place of the consignor and the place of the consignee.
The distance which has to be covered can be computed using the MAP feature. This feature helps the taxpayer to ascertain the approximate distance from the place of supply to the place of a recipient of that supply.
It shall be noted that in the distance column maximum distance of 3000 KM can only be enrolled. Once the distance is enrolled in the distance field and an e-way bill is generated the distance field cannot be amended.
In case there is a movement of goods where the distance is more than 3000 KM then the validity of the e-way bill shall be extended to avoid the penalty.
Determining the validity of an e-way bill
|Normal Cargo||⦿ 1 day for any distance upto 100 km.|
|⦿ 1 additional day for every 100 km or part thereof.|
|Over Dimensional Cargo||⦿ 1 day for any distance upto 20 km.|
|⦿ 1 additional day for every 20 km or part thereof.|
Over dimensional cargo is a cargo which carries a single indivisible unit and it also exceeds the dimensional limit as prescribed under the rule 93 of the Central Motor Vehicle rules 1989.
For instance, If there is a movement of goods in either truck-trailer or tractor-trailer and the cargo heights exceeds the dimensional limit of 16 meters then the cargo shall be considered as over dimensional cargo. Over dimensioning of the cargo also affects the distance travel as the taxpayer will get only 20 km per day which can be extended.
Exceptions in the validity of an e-way bill
The e-way bill is not valid for the movement of consignment unless the details of the transporter and the vehicle details are furnished in Part-B of the e-way bill. But there are some exceptions where the vehicles details may not be furnished. This exception includes
When there is a movement of a consignment which is less than 10 km within the State or Union Territory from the place of the consignor to the place of the transporter for further transporter.
When there is a movement of goods where distance is less than 10 Km within the State or Union Territory from the place of the transporter to the place of the consignee.
Who can extend the validity?
The validity of the e-way bill can be extended by anyone who is involved in the movement of consignment this can include
• Consignor when the goods are moved by him
• Consignee in a case when he takes the responsibility of transportation
• Outsourced transporter when he is assigned to transport the good from the place of supply to the place of the recipient.
Time-limit for the extension of the validity
The validity of the e-way bill can be extended either
• Within 4 hours of its expiry
• After 4 hours of its expiry
To avoid the penalties one shall follow these guidelines while extending the validity of the e-way bill.
How to extend the validity?
Any taxpayer can extend the validity of an e-way bill by using an automated e-way bill solution or else by the following steps
1. Log in to the e-way bill portal with all the valid credentials which includes ID, password and the Captcha image
2. Navigate the cursor to “e-Way bill” option
3. Select “Extend Validity” from the drop-down list
4. Enrol the e-way bill number which has to extend
5. Opt “YES” for the extension of e-way bill validity
6. Enter the reason for the extension of the validity along with the remarks and enter the vehicle detailsIt has to be noted that not all the fields are editable this includes
• GSTIN of Consignee and consignor
• The invoice against which the consignment has been issued.
Other than this all fields shall be updated including
• Approximate distance
• Place of dispatch
• Place of delivery
• Vehicle details or mode
Allotment of new e-way bill number
Once the taxpayer is done with the procedures of extension of the validity, a new e-way bill number is generated in place of the old e-way bill. It shall be noted that a taxpayer can extend the validity of EWB “n” no of times.