E way bill Notification

E-way bill is an electronic document generated on the GST portal evidencing movement of goods. As per Rule 138 of the CGST Rules, 2017, every registered person who causes movement of goods of consignment value more than Rs. 50000/- is required to furnish e-way bill.

Who should Generate an e-Way Bill ?

1. Registered Person – E-way bill must be generated when there is a movement of goods of more than Rs 50,000 in
value to or from a Registered Person. A Registered person or the transporter may choose to generate and carry
e-way bill even if the value of goods is less than Rs 50,000.

2. Unregistered Persons – Unregistered persons are also required to generate e-Way Bill. However, where a supply
is made by an unregistered person to a registered person, the receiver will have to ensure all the compliances
are met as if they were the supplier.

3. Transporter – Transporters carrying goods by road, air, rail, etc. also need to generate e-Way Bill if the
supplier has not generated an e-Way Bill.

Exceptions to e-way bill requirement:

No e-way bill is required to be generated in the following cases –

a) Transport of goods as specified in Annexure to Rule 138 of the CGST Rules, 2017
b) Goods being transported by a non-motorised conveyance
c) Goods being transported from the port, airport, air cargo complex and land customs station to an inland container depot or a container freight station for clearance by Customs;
d) In respect of movement of goods within such areas as are notified under rule 138(14) (d) of the SGST Rules, 2017 of the concerned State;
e) Consignment value less than Rs. 50,000/-

Validity of E-Way Bill:

An e-way bill is valid for periods as listed below, which is based on the distance travelled by the goods. Validity is calculated from the date and time of generation of e-way bill.

Distance Validity of EWB
(a) Less Than 100 Kms 1 Day
(b) For every additional 100 Kms Additional 1 Day
or part thereof

Registration on the e-Way Bill System:

The registration mechanism for the GST taxpayers for the e-Way Bill system is a simple process. One time
GST taxpayer needs to register on this system. To do that the taxpayer needs to have the GSTIN issued under
the GST system and mobile number registered with the GST system with him.
If a transporter is unregistered, but the limit of the value of goods is exceeding, the transporter has to
generate e-Way Bills using Transporter ID. They will have to mention this ID on every e-Way Bill in place of
Visit e-Way Bill portal for Registration.

1. What is E-way Bill?
E-Way Bill is the document, where you need to provide information regarding movement of goods.

2. Ok, But Movement of Goods happens in various type such as on Sale, Purchase, stock transfer etc
and happens at different level of value, for which and all transactions E-way bill is to be
 E-Way Bill is to be generated when the value of the goods to be transported exceeds 50,000/-. And
 E-Way bill is to be generated for the following transactions
a. In relation to Supply (in simple words, if movement of goods is related to sale, stock transfer etc)
b. For reasons other than Supply (Such as for exhibition, testing, Job work etc)
c. Due to inward supply from an unregistered person, (Here when you are receiving goods from
unregistered person, you would be required to generate e-way bill.
d. However, the taxpayer can generate e-way bill even if the value of the goods does not exceed 50,000/-
on voluntary basis.

3. My Customer comes to my place of business, purchases goods takes it with him in his Car. In this case whether E-way comes into picture if yes, then who is required to update it?
If your Customer is Registered, he would be required to generate E-way bill.
If your Customer is unregistered, He may generate E-way bill at his own option as specified in Proviso to Sub
Rule (3) of Rule 138 of CGST RULES.

4. I went through the Format of E-way bill to be generated, there is PART A & PART B in it, how do I understand those?
In general sense, PART A of EWB-1 (E-way bill-01) requires you to furnish details related to Invoice,
consignment such as GSTIN of your customer, Place of delivery, Invoice Number etc, transporter name
PART B is for updating details regarding vehicle in which such goods are going to be transported.

5. How would a businessman, know about the details of the vehicle in case he gives it to the GTA?
Vehicle number can be updated by businessmen, when the goods the moved in his own vehicle/personally
hired vehicle such as PORTER.
However, when goods are handed over to the lorry or GTA, it is difficult for businessmen to know the vehicle
number and hence in order to deal with this, Government has said that where the supplier is unable to fill
PART B of EWB-01, such detail can be filled by transporter once the goods and E-way bill number is handed
over to him.

6. How would Transporter be able to update the vehicle number in my E-way bill?
While generating E-way bill, in PART “A” you would have mentioned transporter Name, ID with the help of
which your e-way bill number would be appearing in transporter’s electronic portal.

7. Iissued 3 invoices to my customer to whom I have transported goods on the same day. Now I am
required to generate 1 E-way bill or 3 e-way bills?
For Every Invoice, you would have to generate separate E-Way Bill.
Since, you are sending it together, you can generate Consolidated E-way bill and submit to the transporter.

8. My Supplier is unregistered, I give him the order of purchase and he brings the goods from his place to my principal place of business, now who is required to Generate E-way bill?
As mentioned in Question no 2 above, Registered person in this case it would be the purchaser who would be
required to generate E-way bill as if he is the person who has initiated the movement.

9. Ok what if the unregistered supplier of mine, who manufactures goods at his place, brings it to the market, goes to every entity for sale? In this case, who would be liable to generate E-way bill?
In this case, E-way bill is not required to be generated by unregistered person according to the Explanation
provided in the rules, Which states that in case of movement of goods by unregistered person to recipient, Eway
bill is to be generated by Recipient PROVIDED recipient is known at the time of commencement of
movement of goods. According to the question recipient is not known and hence e-way bill is not mandatory.

10. What about HSN Code which is to be furnished in EWB-01 PART-01? If my turnover was below 1.5
crores in preceding year still am I required to mention?
According to the notification no 27/2017, it states that any taxpayer having turnover in preceding financial
year upto 5 crores is required to mention 2 digits of HSN Code and for taxpayer with turnover in Preceding
Financial year exceeding 5 crores is required to mention 4 digits.
In this notification, they have not given any relaxation to the taxpayers with turnover upto 1.5 crores which
was given in Monthly returns and invoice rules.
They might consider this issue as difficulty would arise to the traders and small taxpayers.

11. We Heard in Newspapers, Media that E-way bill is not required for movement of Goods within 10kms?
Yes, however it is to be understood that only Transporter Conveyance Details are not required to be
mentioned in following cases
a. If place of business or supplier to place of business of transporter is within 10 kms.
b. If place of business of transporter to place of business of customer is within 10 kms.
c. Movement of goods should be within the state in both the above-mentioned criteria.

12. If the goods having e-way bill has to pass through transshipment and through different vehicles,how it has to be handled?
Some of the consignments are transported by the transporter through transshipment before it is
delivered to the recipient at the place of destination. Hence for each movement from one place to
another, the transporter needs to update the vehicle number in which he is transporting that

13. Who can reject the e-way bill and Why?
The person who causes transport of goods shall generate the e-way bill specifying the details of other
person as a recipient of goods. There is a provision in the common portal for the other party to see the eway
bill generated against his/her GSTIN. As the other party, one can communicate the acceptance or
rejection of such consignment specified in the e-way bill. If the acceptance or rejection is not
communicated within 72 hours from the time of generation of e-way Bill, it is deemed that he has
accepted the details.

14. What are the modes of e-way bill generation, the taxpayer can use?
The e-way bill can be generated by the registered person in any of the following methods;-
o Using Web based system
o Using SMS based facility
o Using Android App
o Using Site-to-Site integration
o Using GSP ( Goods and Services Tax Suvidha Provider)

15. What are pre-requisites to generate the e-way bill?
To generate the e-way bill, it is essential that the person shall be registered person and if the transporter
is not registered person it is mandatory to get enrolled on the common portal of e waybill
(http://gst.kar.nic.in/ewaybill) before generation of the e-way bill. The documents such as tax invoice or
bill of sale or delivery challan and Transporter’s Id, who is transporting the goods with transporter
document number or the vehicle number in which the goods are transported.

Budget Updates 2016-17

Finance Minister Arun Jaitley presents his third Union Budget on Monday 29th of February, 2016. With an eye on supporting the small tax-payer and the small investor, the Minister announced a slew of schemes, and income tax exemptions.Finance Minister Arun Jaitley in his Budget 2016 speech outlined the nine pillars on the basis of which he hopes to enhance India’s economic growth. He focused on agriculture to tax and financial sector reforms. Budget 2016 stressed on Indian economy’s resilience amidst the current global economic turmoil. “Global economy is in a serious crisis. Financial markets have been battered but Indian economy has held its ground firmly.” said Finance Minister Arun Jaitley. We take a look at important highlights from his speech:

Economy & Welfare Road map

  •  Growth of Economy accelerated to 7.6 per cent in 2015-16.
  •  Despite increased devolution to States by 55 per cent as a result of the 14th Finance Commission award, plan expenditure increased at RE stage in 2015-16 – in contrast to earlier years.
  • ‘Transform India’ to have a significant impact on economy and lives of people.
  • Government to focus on ensuring macro-economic stability and prudent fiscal management.
  • Boosting on domestic demand
  • Focus on enhancing expenditure in priority areas of – farm and rural sector, social sector, infrastructure sector employment generation and recapitalisation of the banks.
  • Continue with the ongoing reform programme and ensure passage of the Goods and Service Tax bill and Insolvency and Bankruptcy law

Challenges in 2016-17

  •  Risks of further global slowdown and turbulence
  • Additional fiscal burden due to 7th Central Pay Commission recommendations and OROP.
  • Allocation for Agriculture and Farmers’ welfare is Rs 35,984 crore
  • A dedicated Long Term Irrigation Fund will be created in NABARD with an initial corpus of about Rs 20,000 crore
  • Programme for sustainable management of ground water resources with an estimated cost of Rs 6,000 crore will be implemented through multilateral funding
  •  5 lakh farm ponds and dug wells in rain fed areas and 10 lakh compost pits for production of organic manure will be taken up under MGNREGA
  •  Soil Health Card scheme will cover all 14 crore farm holdings by March 2017.
  •  2,000 model retail outlets of Fertilizer companies will be provided with soil and seed testing facilities during the next three years
  •   Allocation under Pradhan Mantri Gram Sadak Yojana increased to Rs 19,000 crore. Will connect remaining 65,000 eligible habitations by 2019.

Financial sector & Fiscal reforms

  •  Statutory basis for a Monetary Policy framework and a Monetary Policy Committee through the Finance Bill 2016.
  •  A Financial Data Management Centre to be set up.
  • RBI to facilitate retail participation in Government securities.
  •  New derivative products will be developed by SEBI in the Commodity Derivatives market.
  • Allocation of Rs 25,000 crore towards recapitalisation of Public Sector Banks.
  • Target of amount sanctioned under Pradhan Mantri Mudra Yojana increased to Rs 1,80,000 crore.
  •  General Insurance Companies owned by the Government to be listed in the stock exchanges
  • Fiscal deficit in RE 2015-16 and BE 2016-17 retained at 3.9 per cent and 3.5 per cent. > Revenue Deficit target from 2.8 per cent to 2.5 per cent in RE 2015-16
  •  Total expenditure projected at Rs 19.78 lakh crore
  •  Plan expenditure pegged at Rs 5.50 lakh crore under Plan, increase of 15.3 per cent
  •  Non-Plan expenditure kept at Rs 14.28 lakh crores
  •  Special emphasis to sectors such as agriculture, irrgation, social sector including health, women and child development, welfare of Scheduled Castes and Scheduled Tribes, minorities, infrastructure.
  •   Every new scheme sanctioned will have a sunset date and outcome review.
  •  Rationalised  and restructured more than 1500 Central Plan Schemes into about 300 Central Sector and 30 Centrally Sponsored Schemes.
  • Committee to review the implementation of the FRBM Act.

Rationalization of taxation

  • Raise the ceiling of tax rebate under section 87A from Rs 2000 to Rs 5000 to lessen tax burden on individuals with income upto Rs5 lakhs.
  •  Increase the limit of deduction of rent paid under section 80GG from Rs 24000 per annum to Rs 60000, to provide relief to those who live in rented houses.
  • Committed to providing a stable and predictable taxation regime and reduce black money.
  •  Domestic taxpayers can declare undisclosed income or such income represented in the form of any asset by paying tax at 30 per cent, and surcharge at 7.5 per cent and penalty at 7.5 per cent, which is a total of 45 per cent of the undisclosed income. Declarants will have immunity from prosecution.
  •  Surcharge levied at 7.5 per cent of undisclosed income will be called Krishi Kalyan surcharge to be used for agriculture and rural economy.
  • Service tax exempted for housing construction of houses less than 60 sq.m
  • Levy of excise duty on readymade garments above Rs 1000 @  6% without input tax credit
  • Cenvat Credit Rules, 2004 is being amended to effect better input tax credit flow including apportionment of credit .
  • Krishi Kalyan Cess 0.5%to be levied on all taxable services
  • New Dispute Resolution Scheme to be introduced.
  • No penalty in respect of cases with disputed tax up to Rs 10 lakh. Cases with disputed tax exceeding Rs 10 lakh to be subjected to 25 per cent of the minimum of the imposable penalty.
  • Any pending appeal against a penalty order can also be settled by paying 25 per cent of the minimum of the imposable penalty and tax interest on quantum addition.
  •  High Level Committee chaired by Revenue Secretary to oversee fresh cases where assessing officer applies the retrospective amendment.
  •  One-time scheme of Dispute Resolution for ongoing cases under retrospective amendment.
  •  Penalty rates to be 50 per cent of tax in case of underreporting of income and 200 per cent of tax where there is misreporting of facts.
  • Disallowance will be limited to 1 per cent of the average monthly value of investments yielding  exempt income, but not exceeding the actual expenditure claimed under rule 8D of Section 14A of Income Tax Act.
  •  Time limit of one year for disposing petitions of the tax payers seeking waiver of interest and penalty.
  • Mandatory for the assessing officer to grant stay of demand once the assesse pays 15 per cent of the disputed demand, while the appeal is pending before Commissioner of Income-tax (Appeals).
  •  Monetary limit for deciding an appeal by a single member Bench of ITAT enhanced from Rs 15 lakhs to Rs 50 lakhs.
  • 11 new benches of Customs, Excise and Service Tax Appellate Tribunal (CESTAT).
  • 13 cesses, levied by various Ministries in which revenue collection is less than Rs 50 crore in a year to be abolished.
  • For non-residents providing alternative documents to PAN card, higher TDS not to apply.
  •  Revision of return extended to Central Excise assesses.
  •  Additional options to banking companies and financial institutions, including NBFCs, for reversal of input tax credits with respect to non- taxable services.
  • Customs Act to provide for deferred payment of customs duties for importers and exporters with proven track record.
  • Customs Single Window Project to be implemented at major ports and airports starting from beginning of next financial year.
  • Increase in free baggage allowance for international passengers. Filing of baggage only for those carrying dutiable goods.

Technology for accountability

  •  Expansion in the scope of e-assessments to all assessees in 7 mega cities in the coming years.
  • Interest at the rate of 9 per cent p.a against normal rate of 6 per cent p.a for delay in giving effect to Appellate order beyond ninety days. > ‘e-Sahyog’ to be expanded to reduce compliance cost, especially for small taxpayers.

Employment & Growth prospects

  •  Increase the turnover limit under Presumptive taxation scheme under section 44AD of the Income Tax Act to Rs 2 crores to bring big relief to a large number of assessees in the MSME category.
  • Extend the presumptive taxation scheme with profit deemed to be 50 per cent, to professionals with gross receipts up to Rs 50 lakh.
  •  Phasing out deduction under Income Tax:
  •  Accelerated depreciation wherever provided in IT Act will be limited to maximum 40 per cent from 1.4.2017
  •  Benefit of deductions for Research would be limited to 150 per cent from 1.4.2017 and 100 per cent from 1.4.2020
  •  Benefit of section 10AA to new SEZ units will be available to those units which commence activity before 31.3.2020.
  •  The weighted deduction under section 35CCD for skill development will continue up to 1.4.2020
  •  Corporate Tax rate proposals:
  •  New manufacturing companies incorporated on or after 1.3.2016 to be given an option to be taxed at 25 per cent + surcharge and cess provided they do not claim profit linked or investment linked deductions and do not avail of investment allowance and accelerated depreciation.
  •  Lower the corporate tax rate for the next financial year for relatively small enterprises i.e companies with turnover not exceeding Rs 5 crore (in the financial year ending March 2015), to 29 per cent plus surcharge and cess
  •  10 per cent rate of tax on income from worldwide exploitation of patents developed and registered in India by a resident.
  •  Complete pass through of income-tax to securitization trusts including trusts of ARCs. Securitization trusts required to deduct tax at source.
  • Period for getting benefit of long term capital gain regime in case of unlisted companies is proposed to be reduced from three to two years.
  • Non-banking financial companies shall be eligible for deduction to the extent of 5 per cent of its income in respect of provision for bad and doubtful debts.
  • Determination of residency of foreign company on the basis of Place of Effective Management (POEM) is proposed to be deferred by one year
  •  Commitment to implement General Anti Avoidance Rules (GAAR) from 1.4.2017
  •  Exemption of service tax on services provided under Deen Dayal Upadhyay Grameen Kaushalya Yojana and services provided by Assessing Bodies empanelled by Ministry of Skill Development & Entrepreneurship.
  •  Exemption of Service tax on general insurance services provided under ‘Niramaya’ Health Insurance Scheme launched by National Trust for the Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disability.
  • Basic custom and excise duty on refrigerated containers reduced to 5 per cent and 6 per cent.

Rural sector

  • Allocation for rural sector – Rs 87,765 crore.
  •  Rs 2.87 lakh crore will be given as Grant in Aid to Gram Panchayats and Municipalities as per the recommendations of the 14th Finance Commission
  •  Every block under drought and rural distress will be taken up as an intensive Block under the Deen Dayal Antyodaya Mission
  • A sum of Rs 38,500 crore allocated for MGNREGS
  •  300 urban Clusters will be developed under Chairmanship of senior most Lok Sabha MP from the district for monitoring and implementation of designated Central Sector and Centrally Sponsored Schemes.
  •  Priority allocation from Centrally Sponsored Schemes to be made to reward villages that have become free from open defecation.
  •  A new Digital Literacy Mission Scheme for rural India to cover around 6 crore additional household within the next 3 years.
  • National Land Record Modernization Programme has been revamped. > New scheme Rashtriya Gram Swaraj Abhiyan proposed with allocation of Rs 655 crore.

New ITR Forms – re-draft after criticism

The new format of Income Tax Return (ITR) forms that was withdrawn by the government in wake of complaints over providing details of foreign trips, domestic bank account number, etc is being revised to make it simpler. A special team of officials from the CBDT is working on it in consultation with the Income Tax and Revenue Department officials. The officials said that the new and simplified ITR forms are expected to be notified soon after it is cleared by the Finance Ministry so that the tax payers can file their return soon.

As it stands now the new ITR forms including, ITR – 1 and ITR – 2 requires an assessee to furnish the name of the bank, account number, address, IFSC code, any joint account holder, number of bank accounts held by the individual “at any time” (opened / closed) during the previous year.

With regards to tax payer’s foreign tour, the ITR forms had also sought details of assessee’s passport number, place of issuance, countries visited, number of times such visits were made,  expenses incurred in case of an resident tax payer.

Kerala Budget 2015 -Highlights

Kerala Budget Highlights 2015

Imposing fees on certain e-forms filed with ROC, RD or MCA (HQ) under MCA-21 where at present no fee is prescribed.

The Ministry of Corporate Affairs vide Circular Number 14/2012 dated 21.06.2012 had imposed fees on certain forms which were charged Nil fees earlier. This circular will come into effect from 22nd July, 2012.
Anyway, the last date for filing the Form 23B without fee has been extended upto 4th August, 2012. Fee shall be charged on any eForm 23B filed on or after 5th August, 2012.

Particulars of the Forms and Applicable fee as per the Circular are given below:

I. For the following forms fees will be applicable as per Schedule X to the Act.
1. Form 1 of Investor Education protection Fund Rule – Statement of amounts credited to Investor Education and Protection Fund.
2. Form 23B – Information by statutory auditor to the Registrar of companies Act, 1956 pursuant to section 224(1)(a) of the Companies Act, 1956.
3. Form 36 – Receiver’s or manager’s abstract of receipts and payments (charge related form)
4. Form 62 – Form for submission of misc. documents under the below mentioned rules:
(a) Form 154 of the companies (Court) Rules, 1959
(b) Form 157 of the companies (Court) Rules, 1959
(c) Form 158 of the Companies (Court) Rules, 1959

II. For the following forms fees will be applicable as per Companies (Fee on Application) Rules, 1999
1. Form 24A – Application to RD:
(a) For Appointment of Auditors under section 224(3)
(b) Others
2. Form 61 – Application to ROC:
(a) Compounding of Offences u/s 621A
(b) Application for extension of Annual General Meeting upto 3months u/s 166
of the Act
(c) Application for extension of time for preparation of Annual Accounts upto 18 months u/s 220 of the Act.
(d) Others
3. Form 65 – Application to the Central Govt (HQ):
(a) Application pursuant to rule 2 of the Companies (Application for Extension of Time or Exemption under Subsection (8) of Section 58A)
(b) Others
(c) No fees will be charged for Form 65 Application to the Central Govt (HQ) filed for Information and explanation on Reservations and Qualification contained in the cost audit report by a company.

Welcome to Boby, Francis & Pradeep Chartered Accountants Co

BOBY, FRANCIS & PRADEEP is a Chartered Accountant Firms Cochin,an excellent financial consultant registered with The Institute of Chartered Accountants of India (ICAI), New Delhi. The firm is one among theTop CA firm cochin was established in the year 1993 at Kochi, South India. With a track record of over 18 years, the firm is providing less than one roof, services in the field Accounting, Statutory/Internal Audit, Taxation, Company Registration, Company Law Matters, VAT Registration, Vat Matters, Service Tax Registration, Service Tax Matters, Management Consultancy and Business Process Outsourcing (BPO).

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