Consolidated E-Way Bill – Generation and Cancellation

As the name implies, a consolidated e waybill (GST EWB-02) is a document that contains multiple e-way bills. When a supplier agrees to transport many consignments in a single (shared) vehicle, consolidated e-way bills are generated. As a result, a consolidated e-way bill acts as a one-stop solution for all the worries related to the pile of different e-way bills. So, in this blog, we will talk about the validity of consolidated e-way bills and how you can cancel or reject CEWB. 

Categories of E-Way Bill 

1. Individual E-way Bill 

Aside from the list of exceptions to the e-way bill requirement, you need to create an individual e-way bill for each consignment whose value is above INR 50,000. 

2. Consolidated E-Way Bill 

Consolidated E-Way Bill (EWB-02) is a single document that comprises the details of all individual e-way bills connected to the multiple consignments transported by a single mode of transportation. 

Why Was It Necessary to Introduce the Concept of Consolidated E-way Bill? 

Regardless of whether the movement of products is driven by supply or otherwise, an e-way bill must be issued. A separate e-way bill is usually required for each consignment being transported. However, with all its advantages, a practical challenge occurred. It became quite a challenge to carry multiple e-way bills if a supplier must transport different consignments in a single-vehicle. Therefore, to overcome the issue, the concept of the consolidated e-way bill was introduced.

When to Generate Consolidated E-way Bill? 

In cases where the carrier is conveying multiple parties’ consignments:  After the parties (whose goods are being transported in a single vehicle) have generated various e-way bills, the transporter has the option to issue a single consolidated e-way bill for convenience. Before the movement of goods, a consolidated E-way bill is generated. The GST common site has a form GST EWB-02 that may be used to create the same. 

Details Required to Generate Consolidated E-Way Bill 

Here is the list of details that are required to generate a consolidated e-way bill: 

1. Individual e-way bill number 
2. Vehicle number or Transporter ID (for transport by road) 
3. Number and date of the transporter’s document (for transport by rail, air, or ship) 
4. Transportation mode 
5. Place and State of the recipient  

Note: If any changes in transportation details occur after the consolidated e-way bill is generated, the information can be updated and applied afterward too. While updating the vehicle details, an explanation for such a modification must be supplied. 

How to Regenerate Consolidated E-Way Bill/CEWB?

The ‘regenerate CEWB’ option is available under the ‘Consolidated EWB’ menu. You can use this option to modify the vehicle number on an existing Consolidated EWB without having to change the individual EWBs. This creates a new CEWB that must be transported with the new vehicle and the old one will become invalid. 

Details Required to Regenerate Consolidated E-Way Bill 

1. Transportation Mode (Road, Rail, Air, or Ship) 
2. Enter the vehicle number 
3. From Place 
4. Select a state from the drop-down menu 
5. Choose an appropriate reason from the drop-down menu, which could be transshipment or vehicle breaking down) 
6. Remarks 

Validity of Consolidated E-Way Bill 

The validity of an e-way bill is determined by the distance between the place of transporter or consignor and consignee. The e-way bill will be valid for 1 day from the relevant date if the distance is less than 100 kilometers. Following that, for every 100 kilometers traveled, the validity will be extended by one day from the relevant date. 

As a result, we can conclude that a consolidated e-way bill has no specific validity, and the validity of individual consignments must be taken into consideration. 

Cancellation of E-Way Bill 

If an e-way bill is generated but goods are not transported or are not transported according to the details provided in the e-way bill, the e-way bill may be canceled electronically on the e-way bill portal within 24 hours of its generation, either directly or through software. It shall be noted that an e-way bill that has been confirmed in transit in compliance with rule 138B of the CGST Rules, 2017 cannot be canceled.  

Process to Cancel Consolidated E-way Bill 

1. Under the “Consolidated EWB” tab, select the sub-option “Cancel Consolidated EWB.” 
2. A screen will appear, prompting the user to enter the Consolidated e-way bill number.  
3. The portal will then display the relevant consolidated e-way bill, along with the option to cancel it.  

Note: You will not be able to make any more modifications to an e-way bill once it is canceled. 

Rejection of E-way Bill  

The transporter can create an e-way bill that includes the information of the recipient. And on the e-way bill portal, the recipient can read the e-way bill generated against his/her GSTIN. Acceptance or rejection of such consignments, as specified in the e-way bill, can be sent. It will be regarded as accepted if the acceptance or rejection is not indicated within 72 hours (about 3 days) of the generation of the e-way bill or the delivery of the goods, whichever is earlier.

Consequences of Not Adhering to E-Way Bill Provisions 

If e-way bills are not issued as per Rule 138 of the CGST Rules, 2017, it will be regarded as a contravention of the rule. 

A taxable person who carries any taxable goods without an e-way bill can be penalized up to INR 10,000 or the tax attempted to be evaded (when applicable), whichever is higher, under Section 122 of the CGST Act, 2017. 

According to Section 129 of the CGST Act, 2017, any person who transports or stores goods in violation of the provisions of this Act or the rules made thereunder is liable to detention or seizure of all such goods and conveyance used as a means of transport for carrying the said goods, as well as documents relating to such goods and conveyance.