Exploring the Details of E-way Bill Validity

An e-way bill enables the transportation of goods. You can generate it on the official e-way bill generation portal. Technology has made it more convenient to generate this bill via an Android application or even through a short message service (SMS). You can also resort to an application programming interface (API) for the same. Once the bill is generated, an e-way bill number is provided to the said recipient. Every e-way bill number generated is unique. An e-way bill becomes mandatory only when the value of the goods being transported is more than ₹50,000 and you are a GST-registered individual. Two of the primary objectives of this bill are:

• To calculate the amount of GST which is to be levied on the individual who transports your merchandise.
• Monitor all the inter-state movement of merchandise which is taxed as well as monitor merchandise being transported within the territory of a particular state.

An e-way bill validity period is dependent upon the distance across which the merchandise is made to move. Thus if the distance travelled does not exceed 100 km, the validity is applicable only for 24 hours from the starting date of transportation. Beyond this, the validity extends by another 24 additional hours from the date of initial transportation.

Did you know? That an e-way bill serves as a highly effective tool in the detection of tax evaders?

Also Read: What is EWay Bill? How to Download the EWay Bill in PDF Format?

Determining the Validity of the E-way Bill

What are the determinants of e-way bill validity?

• The e-way bill validity period is dependent on the distance that is covered by the transporter of the consignment.
• The e-way bill consists of two parts, Part A and Part B. Part A consists of the various details some of which include the following:
• Quantity of the products which are being transported
• Value of the products
• GSTIN details (w.r.t the recipient of the goods)
• Details of the invoice number
• Goods or railway receipt number or even bill of lading as well as airway bill number
• The reason for transporting the goods
• The total value of the consignment
• HSN code
• Part B includes the following details:
• The vehicle number of the person who is transporting the goods
• Document number
• Document date

The validity of an e-way bill begins only on the day when the details of the consignment as well as the transportation mode are updated in Part B of the e-way bill. The e-way bill validity expires at midnight of the following day (totalling 24 hours).

Once an e-way bill is generated, the e-way bill validity time is calculated up to midnight of the following day (exactly after 24 hours). Let’s consider this by way of an example. If an e-way bill is generated on 1 June 2019 for transporting goods across a distance of less than 100 km, the validity of the bill extends until midnight on 2 June 2019.

However, this validity has undergone revisions from 1 January 2021. The details of the same are given below:

Also Read: GST Invoice – Learn About GST Invoice Rules And Bill Format

Extension of the Validity Period of the E-way Bill

It has always been a difficult decision for many individuals to extend the validity of an e-way bill. The validity of an e-way bill can be extended under various situations. Some of these are given below:

• The said consignment of goods does not reach where it is supposed to within the e-way bill validity time because of various unforeseen contingencies. These could be a sudden disruption of law and order, climatic fury like heavy rains or floods, an accident, or even a bottleneck delaying the movement of the goods
• In case the vehicle carrying the merchandise has a machinery breakdown or some other type of a breakdown which causes a delay in the transportation of the consignment
• If for some reason, the situation necessitates a change of vehicle for the said transportation
• The existing carrier of the consignment has the liberty to extend the e-way bill validity period

Steps Involved to Extend the Validity of E-way Bill

You can make a requisition for extension of the e-way bill either eight hours before or eight hours after the time frame that the validity of the bill expires.

Given below are the various steps involved in the process of extending the validity of an e-way bill:

• At the onset, you have to log on to the official website of the e-way billing portal, namely www.ewaybillgst.gov.in. Key in all the relevant details like your username, the password associated, and captcha and then click on the ‘login’ tab.
•  A new screen will appear. On the left side of the screen, you will notice various options. Click on the option that states ‘extend validity’.
• You now have to key in the number of the e-way bill for which you are seeking an extension
• Two options stating ‘yes’ and ‘no’ will appear
• Click on the ‘yes’ option. You will be asked to provide the reasons for seeking an extension.
• Key in the number and other details of the vehicle carrying the consignment
• A drop-down menu will appear. Key in the reasons against the requirements of the drop-down menu
• As soon as you complete these formalities, the system furnishes you with an e-way bill validity extension. The extension, however, will depend on the distance that has been covered till that point in time,

Also Read: Things You Need to Know About GST Explained in Details

Points to Remember for E-way Bill Validity

The validity of an e-way bill is possible under distinct situations. These could be delays caused by a road accident, unforeseen disruption of law and order, extreme climatic conditions or vehicle breakdown

• The person assigned to transporting the said consignment is authorised to apply for an extension of the e-way bill
• An e-way bill cannot be modified, edited or cancelled after it has been generated. The only section which can be updated is Part B. This includes the details of the vehicle carrying the consignment so if there is a change of vehicle, the same is updated in this section
• If you have furnished the wrong details in the e-way bill, you have to cancel it and apply for a new one. This process has to be completed within 24 hours of the generation of the e-way bill
• The validity of every single e-way bill begins as soon as the number of the said vehicle is detailed in the official document provided by either the one who is supplying the goods or the one who is going to receive the goods
• The validity for the very first day ends by midnight or zero hours of the next day
• Every invoice is accompanied by a single e-way bill. You cannot generate an e-way bill for a number of invoices

Conclusion:

The contents of this article give clarity on the validity of an e-way bill. This article gives you an understanding of what determines the validity of an e-way bill and how it can be extended under special situations. You also get an understanding of the various steps involved in applying for an extension of the validity of an e-way bill. Do you have issues with payment management and GST? Install the Legaltree App, a friend-in-need and one-stop solution for all issues related to income-tax or GST filing, employee management and more. Try it today!