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Acche Din for Horse Cart Pullers, GST E-way Bill Spurs Demand

Horse Cart Pullers GST E-way Bill

The history of carts in India is as old as the Indus Valley Civilization. Historians may be divided on the date or year when the first cart came into use, but the cart finds a reference in some of the earliest Indian literature cum religious texts like Rig Veda. It has been more than two millennia since Rig Veda was first cited but cart owners, then and now, have stood the test of time. In fact, times have even got better in the GST Age. Cart Owners now complain of too much workload driven by incessant demand from goods suppliers/transporters. Cart Owners thank the less than a year old e-way bills for the change in fortunes.

What is the E-way Bill?

The E-way bill was introduced earlier this year as part of the GST Tax System. It was aimed at making transportation of goods or consignments within or outside state boundaries more transparent and accountable. Transportation of goods or consignments of value greater than Rs 50,000 to a destination which is over 10-km from the source must register and generate an e-way bill through the GTS Network. However, an e-way bill is mandatory for motorized vehicles only. Rickshaws and carts are exempted from e-way bill generation.

One major reason for the introduction of the e-way bill was to curb tax evasions and increase compliance. Section 138 exempts rickshaws and carts owners from the e-way bill ambit. This has prompted a significant surge in the transportation of goods via cart or rickshaws. Also, the rise in demand has also led to cart owners increasing their rates.

The development has raised the government eyebrows. And some reports suggest that the matter has attracted a lot of concern. We would not be surprised if an alternative system of accountability for cart owners is introduced sooner than later by the centre.

Read Also: New Mandatory Rule Introduced To Generate GST E Way Bill

The GST and e-way Bill were touted as India’s foray into the 21st century with a larger tax base that would propel India’s growth rate. But transporters and goods suppliers have successfully managed to tweak GST laws for personal favours/gains. As the saying goes ‘What goes around come around’, the Ache Din for car owners are finally back. Though, it would be interesting to see how long the cart owners can pull the heavy loads. Also, an alternative solution for cart owners in the form of loans for buying their own Small Goods Commercial Transport Vehicle would be a welcome move.

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