The revised Second Edition of its Handbook on E-Way Bill under GST has been released by the Institute of Chartered Accountants of India (ICAI). It furnishes an updated practical reference on the rules, procedures, and compliance provisions regulating the transportation of goods under GST.
ICAI’s GST & Indirect Taxes Committee has issued a handbook, which has been updated up to 15 August 2026. It helps Chartered Accountants, tax professionals, businesses, departmental officers, and other stakeholders in understanding and working on the evolving e-way bill framework.
This revised publication has arrived as e-way bill compliance has become crucial in daily GST operations, especially for businesses involved in interstate and intrastate movement of goods.
E-Way Bill Remains a Key GST Compliance Requirement
In the GST structure, an e-way bill furnishes an electronic record of the movement of goods. It fetches crucial data for the consignor, consignee, goods, quantity, value, and transportation details.
ICAI states that the e-way bill system has enhanced transparency, created a digital record of transactions, and facilitated the tracking of the transportation of goods. It has also streamlined logistics by replacing earlier check-post-based procedures with an electronic compliance system.
Section 68 of the CGST Act and Rules 138 to 138F of the CGST Rules regulate the statutory structure.
E-way bill requirement
Concerning inter-State movement of goods, the handbook specifies that an e-way bill is needed where the value of the consignment surpasses Rs 50,000.
The applicable limit for the intra-State movement is regulated under the respective State or Union Territory’s GST rules and notifications. Thus, a business undertaking intra-State movement is required to verify the applicable State-specific provisions instead of depending upon a single nationwide threshold.
The important point is that compliance with the e-way bill is linked to the movement of goods, not merely to whether or not the sale attracts tax.
The handbook emphasizes that certain movements, such as those for job work, repairs, testing, exhibitions, demonstrations, replacements, the return of goods, and stock transfers, may also necessitate an e-way bill, depending on the applicable provisions and exemptions.
E-Invoice and E-Way Bill Are Not Identical
A key clarification in the ICAI handbook is that an e-invoice and an e-way bill serve distinct purposes.
An e-invoice is primarily used to establish and authenticate the invoice or supply transaction through the Invoice Registration Portal, while an e-way bill relates specifically to the transportation of goods.
When both requirements apply, generating an e-invoice does not remove the necessity of generating an e-way bill. Likewise, an e-way bill does not substitute the provision for e-invoicing.
An e-way bill may apply even without a sale
Businesses often relate e-way bills solely to sales transactions. However, the handbook specifies that the requirement for an e-way bill can arise even when there is no transfer of ownership.
Movements that involve job work, repairs, testing, exhibition, demonstration, personal use, stock transfers, or the return of goods can fall under the e-way bill structure, depending on the applicable conditions.
Therefore, it is essential for businesses to verify the actual movement of goods and the reason for that movement, instead of only validating whether a tax invoice has been issued.
E-way bill exemptions
The handbook specifies situations where an e-way bill is not needed under the applicable provisions.
These include, among others-
- Movement of specified exempt goods;
- Transportation through non-motorised conveyances;
- Certain movements involving customs clearance;
- Certain non-GST goods;
- Goods transported under customs control;
- Transit cargo to or from Nepal or Bhutan;
- Certain defence-related movements;
- Empty cargo containers;
- Certain movements to or from a weighbridge within the prescribed distance; and
- Movement of empty LPG cylinders in specified circumstances.
Nevertheless, before dismissing the e-way bill as unnecessary, businesses should verify whether a particular movement falls within the scope of any exemptions.
The validity of the e-way bill is linked to the distance.
The handbook specifies the validity period of an e-way bill.
For general consignments, validity is usually determined based on a distance of 200 km or part thereof; one day is allowed for the initial distance, and an additional day is granted for every subsequent 200 km or part thereof.
Distinct provisions apply to Over dimensional cargo (ODC) and multimodal shipments which involve transport by ship.
The handbook illustrates that validity extension is provided via the e-way bill portal within the specified time window and based on the remaining distance to be travelled.
Who Should Generate the E-Way Bill?
The individual accountable for e-way bill generation depends on the type of movement.
In the case of a normal supply, the registered person responsible for the movement of goods, usually the supplier or the recipient, whichever is applicable, bears the responsibility.
The handbook includes specific situations like-
- Exports and imports;
- Job work;
- SKD/CKD consignments;
- Line sales;
- Sales returns;
- Exhibition and fair movements;
- Own-use movements; and
- Repairs, testing, stock transfers, and other business movements.
For example, when a principal sends goods to a job worker, the principal generally generates the e-way bill. In some cases, where the job worker initiates the movement of goods, the job worker may also generate it.
Read Also: ICAI Releases GST Compliance Handbook for E-Commerce Operators
E-Way Bill Portal proposes Multiple Compliance Facilities
The handbook provides information to users about distinct facilities available on the e-way bill portal, which include generation, updating, cancellation, validity extension, consolidated e-way bills, reports, and user management.
Businesses are enabled to use facilities like bulk upload, SMS, mobile applications, and API integration, as per the available functionality on the portal.
The portal furnsihes facilities for keeping client, supplier, transporter, and product masters that support reducing repetitive data entry and reducing errors while generating e-way bills.
Cancellation and Rejection NormsĀ
A wrongly generated e-way bill can be cancelled within 24 hours of generation, subject to the conditions specified in the handbook.
However, once the transportation of goods has commenced, the e-way bill cannot be easily cancelled. Depending on the circumstances, appropriate documentation and a new e-way bill may be required for the return or rectification of the goods.
The handbook specifies that a receiver can reject an e-way bill within 72 hours of generation or before the delivery of goods, whichever is earlier.
ICAI Handbook delivers practical GST Compliance Reference
The revised handbook by ICAI consolidates the key aspects of e-way bill compliance, including its applicability, generation, validity, exemptions, portal procedures, penalties, case law, and FAQs.
Alongside changes to GST rules, the portal, and legal rulings, the e-way bill system is also undergoing continuous updates. In this context, this handbook will serve as a practical guide for professionals and business owners involved in the movement of goods.
Taxpayers should note that e-way bill compliance must not be seen only as a document generation exercise. Before the movement of goods, things such as the nature of movement, consignment value, applicable State rules, supporting documents, and validity requirements must be considered.
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