E-way Bill is an essential document required to be generated whenever some movement of goods is involved from one place to another.
Whether the movement is inter-state or intra-state, whenever the aggregate value of the consignment exceeds the threshold E-way Bill limit of Rs 50,000, it is essential that the shipment is reported to the government portal and a unique number called ‘E-way Bill number’ is generated for this shipment.
E-way Bill system is a kind of authorization for the transport of goods and helps the concerned authorities verify the legitimacy of the goods transported.
In this short article, we will understand the ‘Consolidated E-way Bill‘ and its details.
E-way Bills under GST – Different types
There are two types of E-way Bills under GST:
- Individual E-way Bill
- Consolidated E-way Bill
We will see some of the essential details about these two types.
- Individual E-way Bill
As discussed above, the generation of the E-way Bill is mandatory when there is the transport of goods involved for the consignment whose value exceeds Rs. 50,000.
E-way Bill generated for this type of transport is called the ‘Individual E-way Bill’.
Individual E-way Bill is mandatory for all the transport of goods except for handicraft goods.
- Consolidated E-way Bill
As the name suggests, Consolidated E-way Bill is a consolidation of multiple E-way Bills.
Consolidated E-way Bill comes into the picture when a supplier wishes to transport multiple consignments in a single or common vehicle.
Generating a consolidated E-way Bill saves the efforts of the Supplier to carry multiple E-way Bills for multiple consignments that are being shipped in the same vehicle.
Consolidated E-way Bill is the best alternative to multiple Eway Bill generation reducing the paperwork and facilitating faster transport.
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Reasons to introduce the consolidated E-way Bill
According to the GST rules, every consignment being transported and whose value exceeds Rs 50,000 must have a unique E-way Bill Number assigned to it.
Failure in carrying a valid E-way Bill allows the GST officials to seize the vehicle when scrutinized or impound monetary penalty on the Supplier or the transporter.
When multiple consignments are being shipped on a single vehicle, multiple E-way Bills for all the consignments was necessary.
This increased the paperwork for the transporter and didn’t seem much feasible.
For convenience purposes, Consolidated E way Bill under GST was introduced.
When can the Consolidated E-way Bill be generated?
It is essential to note that the transporter can generate a consolidated E-way Bill.
Consolidated E-way Bill is mainly beneficial to the transporter as it reduces his paperwork, thus simplifying his transporting process without any compliance issues.
A transporter can generate Consolidated E-way Bill when all the parties (whose goods are to be transported in the transporter’s vehicle) have generated E-way bills for their respective consignment.
To generate a consolidated E-way Bill, form GST-EWB 02 should be used from the GST portal.
Mandatory details to generate consolidated E-way Bill
Following are the mandatory fields that are required to generate a consolidated E-way Bill.
- Individual E-way Bill numbers (generated by the parties/suppliers)
- Transporter ID
- Vehicle number (when transported by roadways)
- Mode of transportation
- Source of the transportation
- State from where the transport will start
The transportation details should be the same for all the individual E-way Bills added in the consolidated E-way Bill.
In case. There is a change in the transporter details, the same should be amended in the consolidated E-way Bill, and these transportation details shall hold for all the individual E-way Bills included.
Consolidated E-way Bill Validity
Usually, an E-way Bill validity depends upon the distance the goods are being transported.
Following is the standard validity period for an Individual E-way Bill under GST:
Type of Transport | Distance | Validity of the EWB |
Normal cargo | Up to 100 km | 1 Day |
For every additional 100 km | 1 Additional Day | |
Over dimensional cargo | Up to 20 Km | 1 Day |
For every additional 20 km | 1 Additional Day |
The validity of the E-way Bill for the different consignments may vary.
Hence, there is NO specific validity for a Consolidated E-way Bill.
The validity of the individual E-way Bills is considered that are clubbed together in the Consolidated E-way Bill.
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Essential conditions to generate consolidated E-way Bill
For successfully generating a consolidated E-way Bill, the following conditions should be met:
- Only active E-way Bills should be added to the consolidated E-way Bill. A cancelled E-way Bill will not be considered under the consolidated E-way Bill.
- The transporter (usually) should create this ‘Consolidated E-way Bill’ with due diligence, which clubs together all the E-way Bills for the corresponding consignments transported on the same vehicle.
- An active E-way Bill can be added into the Consolidated E-way Bill only within its validity period. Therefore, the E-way Bill, whose validity has expired, should NOT be added to the consolidated E-way Bill.
- If a consolidated EWB is to be regenerated, the current transporter can regenerate a fresh Consolidated EWB. The party who had earlier generated the consolidated EWB can also regenerate it with the amended details.
Generate E-way Bill in a single click!
E-way Bill generation is mandatory for all eligible consignments. Failing to do so may cause the supplier monetary penalty, and the vehicle may also get seized.
GSTHero’s E way Bill system offers 1-click E-way Bill generation from the GSTHero portal.
If you are not a GSTHero user, we provide you with the option of an E-way Bill connector.
GSTHero’s E-way Bill Tally connector will help you generate bulk E-way Bills directly from the Tally ERP.
GSTHero’s Tally Connector will work as a 3 in 1 solution to cater to all your business needs in one place.
- No need to visit multiple government portals
- No more Manual entry making
- No more errors
- No more penalties
GSTHero’s Tally connector will help the businesses to achieve three milestones as follows:
- Lightning-fast GST returns filing
- 1-click E-way Bill generation
- 1-click e-Invoice generation
All three things using your current ERP!
This saves time when there are multiple E-way Bills to be generated.
Using this connector, the user will not have to visit the E-way Bill portal even once, provided that the data for all mandatory fields for E-way Bill generation are present in the user’s ERP.
To generate E-way Bill at lightning speed, try GSTHero and GSTHero’ s E-way Bill Tally Connector.
For a free demo, you can contact us at:
Email: info@gstehro.com
Contact: +918007700800
To sum it up…
In this short article, we have understood the concept of a Consolidated E-way Bill.
We have also submitted some essential details about the Consolidated E-way Bill and the necessary conditions to generate them.
Stay updated; stay ahead!
Until the next time….