The e-way bill which got much hype after its introduction may be delayed due to the draft bills and rules which are still under the discussion in GST council. Also, it is speculated that the required infrastructure for the maintaining and tracking of GST e-way bill is not done yet. The provision of GST e-way bill will track the interstate and intrastate movement of the goods of value over 50 thousand which will grant the powers to the tax authorities for checking the goods at any given point in the transition.
(GSTN) chairman Navin Kumar mentioned that “That (e-way bill) will take time. That will not happen on July 1. I think the earliest that it can happen is by December because the Council has not approved the rules yet. (When) the rules are there, only then we will start working on it.” As he cleared out that the new provision will take time for actualization may be until December, so the current system will be under continuity.
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He also said that “Today, under VAT, if goods are transported from one state to another, then what happens at the border — there are check posts, there are people who see that… many states have started the system of what they call transit permit, so at the border, you have to take a transit permit and when you exit the state, you have to show it at the exit point. So, whatever system is there, that will continue, until the new system comes.”
The GSTN is still waiting for the final rules regarding an e-way bill from the GST council so that the authority can proceed with various final reviews and infrastructure related duties like IT partners and their selections. The chairman said in this regard that, “We have to fix up some IT company to do that. We will give them the rules, the law, and then codes will be given. For that also infrastructure is required and that will have to be connected to our main system. Because whatever data goes there, that will get into the returns of the taxpayers who are selling those goods.”
The chairman has hinted that they have been working on the proposal of appointing the organization to manage IT framework after the finalization of the rules and regulation and after which the selection process will be under scrutinization. The chairperson said that “We are working on the proposal. We will float that. By the time people have to submit their bids, the rules should be there. We are keeping everything ready. As soon as rules are given to us, we will invite the applications.”
M S Mani, senior director, Indirect Tax, Deloitte Haskins & Sells told that “E-way bill, as has been introduced, needs significant IT enablement. Once the IT infrastructure is in place, the government should roll out the e-way bill, so that there is no disruption.”
