The government had initiated the rolling out of the intra-state Electronic Way Bill in phases starting from the 15th of April. This was primarily to minimize the confusion and the apparent problems that traders had to face when the inter-state e-Way Bill was introduced on a nation-wide scale on 1st April.
Today, six states will be implementing the intra-state e-Way Bill for the movement of goods within the respective states. These six states are Jammu and Kashmir, Goa, Chattisgarh, Punjab, Mizoram and Odisha.
According to the Central Board of Indirect Taxes and Customs (CBIC), the e Way Bill for moving goods within a state will become compulsory in every part of the country on the 3rd of June.
E Way Bill a success?
In spite of the apparent initial apprehensions, this new mechanism introduced by the government pertaining to the transport of goods seems to be receiving favorable response presently. Including the new entrants, 27 states and union territories have embraced the intra-state Digital Bill.
The number of Bills that are generated has also witnessed considerable increase. From 8 lakh bills generated in the first week of April, the average number at the end of May stands at 16.8 lakhs.
The GSTN said,
“So far, a total of 6.43 crore E-way bills have been generated on the e way portal.”
The e-Way Bill is mandatory to be generated while transporting goods worth more than Rs 50,000 from one place to place, whether the transportation is inter-state or intra-state. This Bill replaces the Way Bill that was prevalent during the VAT regime.
The government feels that this document can serve as an effective anti-evasion measure and help to shore up the government’s revenue collections. This is because the Bill will help to formalize those businesses that happen on the basis of cash and are outside the ambit of tax authorities.