The e-way bill is a document generated online using the EWB web portal. As per the GST rules, it is mandatory to create an e-way bill if the value of transported goods is more than Rs. 50,000. This system prevents tax evasion and offers real-time tracking of goods. Also, it ensures that taxes are collected by the state where goods are consumed or sold.
To further reduce the compliance burden, the government has notified certain transactions where the generation of an e-way bill is not mandatory. In such cases, only a tax invoice or bill of supply (carried by the transporter) would suffice.
Want to know specific cases when you are not required to generate an e-way bill? In this article, let’s check out seven transactions that are exempted from the e-way bill regulations.
1. Goods of value below Rs. 50,000
An e-way bill is not needed if the total value of transported goods is less than Rs. 50,000. This exemption particularly helps high-frequency small-ticket sellers active on online marketplaces.
However, this exemption does not apply when:
- Transporting handicraft goods
or
- Goods are sent for interstate job work.
For these exceptions, an e-way bill is mandatory regardless of the value.
2. Transport to a weighbridge
An e-way bill is not required when goods are moved to a weighbridge located within 20 km of the business premises and then returned. However, as proof, these movements must be covered by a delivery challan.
3. Transport by non-motorised conveyance
When goods are transported using non-motorised vehicles like horse carts or hand-pulled carts, an e-way bill is not required. These modes of transport fall outside the mandatory e-way bill system.
Also, this exemption simplifies compliance for small-scale or localised transportation.
4. Transport for customs clearance or under customs bond
If goods are moved from a port, airport, or land customs station to an inland container depot (ICD) or container freight station (CFS) for customs clearance, no e-way bill is needed.
Also, when goods are transported under a customs bond from an inland container depot to a customs port or between two customs ports, there is no need for an e-way bill.
That’s because these movements are monitored by customs authorities directly. This eliminates the need for additional documentation.
5. Transportation under government control
If goods are transported by rail under the ownership of a government or local authority, an e-way bill is not required. Additionally, goods transported to or from the Ministry of Defence are exempt from the e-way bill requirement.
6. Transport within a notified area
The government has notified certain specific areas, such as:
- Industrial zones
or
- Small towns (designated by state governments)
When goods are transported to these areas, there is no need to generate an e-way bill.
7. Transit goods to Nepal or Bhutan
Goods moving to or from Nepal or Bhutan as part of transit shipments are exempt from the e-way bill. This rule applies to international transit movements to reduce procedural delays at borders.
Conclusion
The e-way bill system has been in force since April 1, 2018. Over the years, it has helped all the related parties like businesses, government authorities, banks, and NBFCs, by increasing transparency, reducing paperwork, and preventing tax evasion.
To reduce the compliance burden, the government has provided certain specific exemptions where the generation of an e-way bill is not mandatory. Some common scenarios are:
- Low-value goods worth less than Rs. 50,000
- Customs-related movements
- Goods transported by government bodies or in notified areas
However, in such cases when an e-way bill is not required, the transporter must carry other documents like a tax invoice or bill of supply, as proof.
Media info,
Contact Person,David
Organization, Ewaybillgst
Email, Info@ewaybillgst.gov.in
Website, https://www.ewaybillgst.gov.in
Address, New York, USA
