UP government has deferred the implementation of the e way bill, the mechanism to check tax evasion under the new tax regime Goods and services tax (GST) till further orders. The e- way bill was to be enforced from April 1.The order deferring the implementation of the e- way bill has come into force with immediate effect.
The commercial tax commissioner Kamini Chauhan Ratan in the order issued on March 29 said `` exercising the power conferred under Rule 138 , sub rule 14 of the UP Goods and services tax rules 2017, the generation of e- way bill is not required for the transportation of all category of goods within the boundary of state of Uttar Pradesh’’.
She said the order deferring the implementation of the e-way will be in force till further orders. The commercial tax commissioner said the order has been issued in consultation with the Chief Commissioner central taxes lucknow and Meerut.
The GSTCouncil, earlier in March had decided on a staggered rollout of the e-way bill starting with inter-state from April 1 and intra-state from April 15. Businesses and transporters moving goods worth over Rs 50,000 from one state to another will have to carry an electronic or e-way bill from April 1.
Touted as an anti-evasion measure that would help boost tax collections by clamping down on trade that currently happens on cash basis, the e-way bill provision of the Goods and services tax (GST) was first introduced on February 1 this year. E-way bill is basically a movement challan. It is an electronic way bill for movement of goods both inter- state and intra state which can be generated on the GSTN (Goods and Services Tax Network). The movement of goods of more than Rs 50,000 in value cannot be made by a registered person without an e-way bill.
However, its implementation was put on hold after the system developed glitches in generating the e way bill. With several states also starting to generate intra-state e-way bills on the portal, the system developed a snag.
To ensure a foolproof system, the GSTN has activated only that facility on its portal where the e-way bill can be generated when goods are transported from one state to another by either road, railways, airways or vessels.
UP government in July last year had decided to suspend e-way bill till August 15 owing to technical problems highlighted by businessmen and traders. The suspension was later extended to February this year.
Official sources here said that “Owing to the problems highlighted by a number of traders and MlAs, the UP government has decided to suspend e-way bill till further orders. They said that the movement of goods for the time being will be made through the sale bill along with the relevant transport documents.