E-way bill rules, validity and distance limits
The e-way bill is about movement, not about sale. That single idea explains most of what people get wrong: a branch transfer, goods sent for job work and a delivery on approval all need one, even though nobody has sold anything.
| Distance | Validity |
|---|---|
| Up to 200 km | 1 day |
| Each additional 200 km or part | 1 additional day |
| Over-dimensional cargo | Separate, shorter slabs apply |
What the rules cover
Movement, not sale
Required for the movement of goods above the notified consignment value, whether or not a supply takes place — which catches branch transfers, job work and goods on approval.
Part-A and Part-B
Part-A carries the parties, the goods and the values; Part-B carries the vehicle. The validity clock starts when Part-B is completed, not when Part-A is.
Distance-based validity
One day per 200 kilometres or part thereof, with a shorter scale for over-dimensional cargo — and a "day" runs to midnight of the following day rather than for 24 hours.
Who generates it
The consignor, the consignee, or the transporter. If the supplier does not generate it, the obligation can fall on whoever is moving the goods.
Consolidated bills
One vehicle carrying several consignments can carry a consolidated bill covering them all, which is how most transporters actually operate.
Exemptions
Certain goods, certain modes and short movements within a state are exempt, and state-level thresholds for intra-state movement differ. Check your state.
How the process runs
- Decide whether one is needed. By consignment value and by the nature of the movement — including movements that are not sales.
- Generate Part-A. From the invoice or the delivery challan that caused the movement, so the two documents agree.
- Complete Part-B. When the vehicle is known. The validity period starts here.
- Update if the vehicle changes. A breakdown or a transhipment means a new Part-B against the same bill, with the history retained.
E-way bill questions
Do I need an e-way bill for a branch transfer?
Yes, if the consignment value is above the threshold — the rule is about movement of goods, not about a sale taking place. The correct document to raise it from is a delivery challan rather than an invoice.
What happens if the bill expires in transit?
The consignment is travelling without a valid bill, which exposes it to detention and penalty. Validity can be extended in limited circumstances near expiry, which is why watching the expiry rather than the issue date matters on long routes.
Who is responsible if the supplier does not generate it?
The obligation can fall on the recipient or the transporter depending on the circumstances. In practice, whoever is moving the goods bears the consequence of their not being covered.
Is this page tax advice?
No. Thresholds for intra-state movement differ by state and the rules change. Confirm the current position for your state with your tax adviser before relying on this.
Related
Watch the expiry, not the issue date
tBiz computes validity from the distance and shows what expires today.