Business News
E-way bill for inter-state movement of goods likely from April 1
Sushil Kumar Modi said the recommendation of the panel would be considered by the GST Council at its meeting on March 10.
A group of State Finance Ministers (GoM) led by Bihar Deputy Chief Minister Sushil Kumar Modi on Saturday mooted the implementation of Goods and Services Tax (GST) regime provision for electronic-way (e-way) bill generation for intra-state movement of goods from April 1, 2018. E-way bill is generated on the GST-Network — a common and shared information technology (IT) infrastructure between the Centre and States.
Following a GoM meeting here on issues including the IT-related challenges in the GST regime, Mr. Modi said the e-way bill requirement for intra-state movement of goods worth over Rs 50,000 would be introduced in phases after looking into the response regarding the same.
The GoM’s suggestion would be taken up by the GST Council at its meeting on March 10. E-way bill provision, meant to eliminate tax evasion and increase revenues by around 20%, was introduced on February 1, but it had to be put on hold following glitches in the system.
Mr. Pratik Jain, Partner and Leader-Indirect Taxes, PwC India, said in a statement that: “Introducing e-way bill only for inter-state transactions from April 1, 2018 is a good idea as it will give it time for the government as well as industry to adjust with the new system, and ensure that load on the portal is not sudden.”
He added that the GST Council should ensure that all the States introduce this mechanism from the same date and the current practice wherein different system is followed in different states is discontinued. “Any problems with this system can cause widespread supply chain disruption and its good that Government is cautious in its approach,” he said.
