The National Informatics Centre (NIC) updated the e-way bill platform on the 12th of September 2022 to facilitate the creation of e-way bills for the transport of gold, gold jewelry, and precious stones. This article discusses the information about the e-way bill for gold which you must know.
Is it mandatory to generate e-way bills for Gold?
Until recently, e-way bills weren’t required for interstate or intrastate movement of gold, regardless of the value of the commodities being transported. The need of e-way bills for intra-state transportation of gold was left up to the states in the 47th GST Council Meeting. E-way bills can now be created for the shipment of gold using the e-way bill gateway in light of the aforesaid ruling.
The GST Council has mandated that all interstate and intrastate transactions involving gold (HSN Chapter 71) must use an electronic way bill. A complete list is available at: List of HSN Code with Tax Rates
Gold e-way bills can be generated by state taxpayers in accordance with each state’s official announcement. A gold e-way bill may be created from a separate menu option.
How to generate e-way bills for Gold?
The stepwise procedure to generate e-way bills for gold are as follows:
- One can navigate from their dashboard to the tab ‘e-way bill’ on the left-hand side of the dashboard
- Click on ‘EWB for Gold’ to enter the Part-A details.
- It opens up the ‘e-way bill for gold entry form’ where the user needs to enter the invoice details, sender and receiver address.
When will the use of an electronic way bill be mandated for the transport of gold?
- If the taxpayer’s GST Registration state has mandated the use of an e-way bill, the taxpayer must create one. Each taxpayer is responsible for familiarizing themselves with the notices and exemptions offered by their state.
- When only goods covered by HSN Chapter 71 are being sent, an e-Waybill for Gold must be used.
Important Note: E-way bill Part-B information is necessary if HSN Chapter 71 goods are being transported with non-HSN Chapter 71 goods.
You can understand more about GST on Gold at: Decoding GST Levied On Gold Purchase and Impact of GST on the Gold or you can also consult our GST Experts at: 8881-069-069.
Parameters and Validity of E-Way bill for Gold
- It is possible to generate an e-way bill for gold using the same settings as for any other commodity. Taxpayers are not required to change their e-way invoices to reflect the Part-B vehicle or transport information. Exceptions of this sort are made for reasons of safety.
- The pin-to-pin distance is also used to verify the e-way bill for gold. The algorithm takes into account the distance between the starting point and the final destination based on the postal code given in each address.
Other Important Information for E-Way Bill Generation for Gold
Gold shipments can still use the e-way bill cancellation and rejection services. The following are some of the ways in which the functionality of e-way bills created for the transport of gold has evolved as a result:
- By design, changes to Part-B information are not permitted.
- The transporter option is not permitted to be updated.
- It is not possible to create a single consolidated e-way bill, although its validity period can be extended without a new Part-B being generated.
- Multi-vehicle transport is not an option.
Conclusion
Transportation of gold and precious stones between states is now required to use an electronic way bill, as decided at the preceding GST Council meeting in June 2022. Each state’s notification might set its own minimum requirement for this operation. However, the GoM that was established to look into the issue proposed setting the ceiling at Rs.2 lakh or more. Nonetheless, the Central Board of Indirect Taxes and Customs is yet to issue a Central Tax notification removing Chapter 71 from the list of exemptions.
If you want any other guidance related to GST Registration or GST Return filing, please feel free to talk to our business advisors at 8881-069-069.
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