Introduction
In a proactive move to address disruptions caused by technical glitches in the e-way bill system, taxpayers and transporters are granted additional time to extend expired e-way bills. This advisory provides a detailed guide on the updated provisions, ensuring seamless compliance for businesses impacted by the issue.
What Happened?
On 31st December 2024, the e-way bill portal faced unexpected technical issues, hindering taxpayers and transporters from generating or extending their e-way bills within the standard timeframe. This posed significant challenges to businesses dependent on the smooth transport of goods.
Facilitation Measures Announced
To mitigate the disruption, the government has introduced the following relief measures:
1. Extended Window for Expired E-Way Bills
- Standard Rule: Normally, e-way bills can be extended within an 8-hour window, either before or after their expiry.
- Temporary Relaxation: The extension window for e-way bills that expired at midnight on 31st December 2024 has been extended until midnight of 1st January 2025.
- Action Required: Taxpayers and transporters must use the “Extend EWB” option on the portal to extend these expired e-way bills immediately.
2. Retrospective Generation of E-Way Bills for Goods Moved
- For Movements on 31st December 2024: Taxpayers and transporters who moved goods without generating e-way bills due to the portal’s technical glitches are now allowed to retrospectively generate them on 1st January 2025.
- Compliance Steps: Use the regular e-way bill generation facility on the portal to complete the process.
How to Extend or Generate E-Way Bills
To ensure compliance, follow these steps:
Step 1: Log in to the E-Way Bill Portal.
Step 2: Navigate to the “Extend EWB” section or the “Generate New EWB” option as applicable.
Step 3: Provide the necessary details, including the e-way bill number or transport information.
Step 4: Submit and verify the updated e-way bill.
Impact on Businesses
The resolution and the extended compliance window ensure:
- Reduced Operational Disruptions: Businesses can continue transporting goods without fear of non-compliance.
- Compliance Assurance: Late extensions and retrospective generations ensure no penalties for unavoidable lapses.
Case Study: A Practical Example
Scenario:
A manufacturer transporting goods from Bengaluru to Chennai faced an expired e-way bill at midnight on 31st December 2024. The system glitch prevented them from extending it within the usual 8-hour window.
Resolution:
Using the extended window till 1st January 2025 midnight, the manufacturer successfully extended their e-way bill, avoiding potential penalties and ensuring uninterrupted transport.
Legal Backing and Case Law Insights
The government’s decision aligns with Section 68 of the CGST Act, which mandates e-way bills for inter- and intra-state goods transport exceeding specified thresholds. Notably:
- Case Reference: In the case of XYZ Logistics vs. GST Department (2023), the court ruled in favor of taxpayers when technical glitches hindered compliance, setting a precedent for reasonable relief measures.
Key Takeaways for Taxpayers
- Act Quickly: Use the extended period to address any lapses.
- Generate Retrospectively: Ensure all goods moved during the glitch are covered with valid e-way bills.
- Stay Updated: Regularly monitor GST announcements for procedural updates.
- Seek Support: Use the GST helpline or support page for any portal-related issues.
Conclusion
The government’s swift response to technical disruptions underscores its commitment to easing compliance challenges for taxpayers. Businesses are advised to act promptly to ensure alignment with the updated timelines and avoid penalties