E Way Bill Common Errors

Common Mistakes/Errors in Generating E-way Bill

1. Creating a single bill for multiple consignments – This is the most common mistake that taxpayers make. Currently, there is no provision on the portal to consolidate all invoices and create one e-way bill for multiple consignments. As per the portal, each taxpayer has to raise a separate e-way bill for every invoice. In case there are multiple consignments the transporter is carrying, there has to be a separate bill for each consignment.

2. Incorrect use of bulk generation facility – The e-way bill portal currently allows the generation of multiple e-way bills by uploading multiple invoices. To do this, the taxpayer has to upload multiple invoices in JSON format. This can be done in two ways –

a) Through an automated system

b) Through the e-way bill portal. Using the excel utility tool, taxpayers can upload multiple invoices. The details will be extracted from the invoices and then converted into JSON files.

Once the JSON files are successfully and correctly uploaded on the portal, e-way bills are generated for different consignments. However, it is observed that taxpayers sometimes make mistakes in filling in the excel template correctly. They forget to remove the previous data before updating and uploading. This leads to erroneous invoices being generated.

3. Incorrect format of vehicle number – Submitting the wrong vehicle number in the Part-B of the e-way bill leads to the wrong e-way bill being generated. This error can be done by the consignee, consignor, or transporter. This error can create trouble for the transporter while the vehicle is in transit. It is best to double-check the Part-B of the e-way bill before submitting it to make sure the vehicle number is correct.

4. Failing to provide the details of the transporter – Forgetting to mention the details of the transporter will lead to the generation of an incomplete e-way bill. The taxpayer while filling up Part-B of the GST e-way bill needs to submit the ID and vehicle number of the transporter. These details are needed when the goods are being moved by a third party or another transporter.

5. Tracking the validity of the e-way bill – The portal allows the taxpayer to extend the validity of the e-way bill 4 hours before the expiry or 5=4 hours after the expiry of the e-way bill. We can say that the taxpayer gets a total of 8 hours to extend the validity of the e-way bill. The taxpayers sometimes forget to make full use of this facility given by the e-way bill portal. In case of delays, the taxpayers then have to pay penalties levied by the GST act, upon the expiry of the e-way bill.

6. Use of incorrect user ID to generate an e-way bill – Using a different user ID will have an incorrect GSTIN or even an invalid GSTIN. In such cases, the conflict will arise. The person generating the e-way bill should be careful and use the correct user ID to avoid inconvenience.

7. Keeping records of e-way bills generated by the third-party – Third parties can enroll and generate the e-way bill on either the automated system or the e-way bill portal. The consignee, consignor, registered transporter under GST or unregistered transporter can do that. Mentioning the wrong GSTIN or not mentioning it at all can lead to improper maintenance of records.

8. Uploading of wrong documents – Uploading wrong documents like invoices, delivery challan, and bill of supply by the taxpayer will lead to the generation of an erroneous e-way bill. The wrong e-way bill in this case can lead to penalties, detention, seizure, and even legal proceedings.

9. Giving wrong details of the company – Heavy penalties can be levied on the taxpayer if they enroll themselves with a different name on the e-way bill. Problems can also arise at the time of audit and assessment of the company.

How to avoid E-Way bill common errors

1. Integrating an automated solution on ERPs like SAP, Oracle, and Microsoft Navision can help avoid errors while generating the e-way bill.

2. Verify details before submitting.A quick check on the details you have submitted will help in avoiding silly errors and save you the hassle of penalties etc.

3. Enter clients/customers/products/suppliers in the master menu.The taxpayers are facilitated by the system to enter details in the master menu by simply entering the GSTIN. This helps in easily populating the details by entering the name in the name field. By doing this, you can avoid mistakes in other fields like the place, Pincode, state, etc.

4. Manage sub-users. If someone else is entering the details on your behalf, make sure they are aware of the system and the details to be entered. Sub-users can be created to facilitate the creation of e-way bills from different places. Care should also be taken to delete the details of the sub-users who are no longer associated with the taxpayer.

5. Facilities like SMS-based and Android-based e-way bill management should be used with utmost care to avoid misutilization. Care should be taken to avoid entering erroneous data.

6. Using API interface. Probably the best method for taxpayers who generate a large number of e-way bills. In this method, the taxpayer can directly request the E-way bill system while generating the invoice in their system. They then directly get the e-way bill number. This can then be printed on the invoice and goods can be transported thereafter. This system helps in eliminating complete data entry mistakes. This facility has to be requested from the department. Only selected large transporters or taxpayers are eligible for this facility.