It has been divulged by the Deputy Chief Minister of Bihar, who also heads the group of ministers on GST-Network had announced in mid-April that nine Indian states accounted for nearly 82% of the e-Way bills that had been generated in the country. He has further stated that 19.39% of the e-Way Bills have been generated by Gujarat (the highest), 15.32% by Karnataka and 12.43% by Maharashtra. The other states that have generated the highest number of e-Way bills are Haryana, Uttar Pradesh, Delhi, Tamil Nadu, Rajasthan and Punjab.
However, many other states have adopted the e-Way Bill after Mr. Modi’s comments. The data that he has put forward, thus, may have undergone some changes.
It has also been iterated by Mr. Modi that after the introduction of the e-Way Bill for the intra-state movement of goods, a 25% increase in the generation of e-Way bills have taken place.
The e-Way Bill is essential to monitor whether or not a supplier or the recipient of goods have paid the required taxes for transporting goods that are valued at more than Rs 50,000 from one place to another. Previously, there was an e-Way Bill concept for different states and the rules and regulations were dissimilar. Naturally, there were problems of duplicate e-Way Bills as well as other challenges that led to the government being cheated of its due revenues.
The e-Way Bill was the need of the hour to streamline the Indian logistics business. Other than the problems of different states having different rules for the transportation of goods and evasion of taxes, there were quite a number of other problems that necessitated the formulation of the new e-Way Bill concept. These include: detention of vehicles ferrying goods at check-posts for long periods of time; delay in the process of generating e bill that led to the delay in delivery of shipments; making numerous trips to the tax office to procure blank delivery notes and the hassle of filling up different forms for transporting different goods to different states.
According to data available with the government, around 40% of the shipments were unnecessarily delayed keeping the supplier and recipient clueless about the status of the shipment. These were the primary challenges that led to the government opting for an e-Way bill that would be uniformly implemented across the country.
Mr. Sushil Kumar Modi is all praise for the e-Way Bill system. He said that software developed for the purpose is well-equipped to handle the work-load and that it has the capacity to handle more than 75 lakh e-way bills in a single day.