If you move goods worth more than ₹50,000 from one place to another, you usually need an e-way bill first. It is a digital document under GST. You generate it on the e-way bill portal before the goods start moving. The driver carries it along with the invoice. Without it, the goods and the vehicle can be stopped on the road.
Quick answer: An e-way bill is required under Rule 138 of the CGST Rules when a consignment of goods worth more than ₹50,000 moves for a sale, transfer, or job work. You must generate it before the goods move, and it stays valid for one day per 200 km for normal cargo.
When is an e-way bill required?
The rule is simple at its core. Rule 138 of the CGST Rules says a registered person who causes movement of goods must generate an e-way bill when the consignment value crosses ₹50,000. The movement can be for a supply, like a sale. It can also be for a reason other than supply, like sending goods to a job worker or moving stock to your own branch in another state. It also applies when a registered person receives goods from an unregistered person.
Consignment value means the invoice value of the goods. It includes GST and cess charged on the invoice. It does not include the value of exempt goods if they are billed on the same invoice. So if your invoice has taxable goods worth ₹45,000 and exempt goods worth ₹20,000, the consignment value for this test is ₹45,000, and no e-way bill is needed on value grounds.
For inter-state movement, the limit is strictly ₹50,000. For movement within a single state, some states have set a different limit. A few states allow ₹1 lakh for select goods on intra-state movement. But the moment the truck crosses a state border, the central ₹50,000 limit applies. If you run routes in more than one state, check the state notification for each route before you dispatch.
A few movements never need an e-way bill at all. Goods that are fully exempt from GST do not need one. Used personal and household effects being moved by a person do not need one. A short list of specified goods, like certain LPG and kerosene movements, is also exempt. Everything else above the limit needs a bill.
Who has to generate the e-way bill?
The first duty falls on the supplier, also called the consignor. If you are sending the goods, you generate the bill before they move. If the supplier is unregistered and the recipient is registered, the recipient generates it. If neither the supplier nor the recipient generates it, and the goods are handed to a transporter, the transporter must generate it.
In practice, this means one party must take responsibility before the vehicle leaves. Do not assume the transporter will do it. Confirm who is generating the bill when you book the transport. If you use an e-invoice, many accounting tools can auto-generate the e-way bill from the invoice data, which removes one manual step.
What goes into Form GST EWB-01?
The form is called GST EWB-01. It has two parts, and both matter.
| Part | What it contains | When it is needed |
|---|---|---|
| Part A | GSTIN of supplier and recipient, invoice or challan number and date, value of goods, HSN code, reason for transport, transporter ID | Fill this at the time of generation |
| Part B | Vehicle number, or the transport document number such as a lorry receipt | Fill this before the goods move |
Part A alone gives you an e-way bill number, but the bill is not active for transport until Part B is filled. Validity starts only when Part B is completed. There is one narrow exception. Part B can be left out for an initial leg of up to 50 km within the same state, from the consignor’s place of business to the transporter’s premises for onward transport. The same 50 km relaxation applies on the final leg from the transporter’s place to the consignee. Once the goods move beyond that first leg, Part B must be in place.
If one vehicle carries several consignments, the transporter can also generate a consolidated e-way bill in Form EWB-02. This lists all the e-way bills travelling in that vehicle. It saves the driver from carrying a pile of separate printouts.
How long is an e-way bill valid?
Validity depends on distance and cargo type. The rule gives one day for every 200 km or part of it for normal cargo. For over-dimensional cargo, it gives one day for every 20 km or part of it. A multimodal shipment with at least one leg by ship also gets the 20 km rule.
| Cargo type | Validity |
|---|---|
| Normal cargo | 1 day per 200 km or part thereof |
| Over-dimensional cargo | 1 day per 20 km or part thereof |
The day count starts when Part B is filled. Each day ends at midnight of the following calendar day. Take a normal cargo trip of 450 km. Divide 450 by 200 and you get 2.25, which rounds up to 3 days. The bill is valid for three days, ending at midnight after the third day. Plan your dispatch so the vehicle can reach in time. If the distance is short, even 10 km still gets one full day, because any part of 200 km counts as a full day.
What changed in 2025, and what stayed the same?
Three changes in 2025 tightened the system. First, since 1 January 2025, you cannot generate an e-way bill for a document older than 180 days. An invoice dated more than 180 days back will be rejected by the portal. Generate the bill soon after invoicing, not weeks later. Second, two-factor authentication became mandatory for all users of the e-way bill portal from 1 April 2025. You now log in with an OTP on your registered mobile. Third, since 1 January 2025, validity extensions cannot push a bill beyond 360 days from its original generation date.
What stayed the same is the core framework. The ₹50,000 threshold has not changed. The 200 km validity rule for normal cargo has applied since March 2023. The 24-hour cancellation window and the 8-hour extension window are unchanged. The penalty framework under Section 129 of the CGST Act is also unchanged. If a guide you read still says validity is one day per 100 km, that guide is out of date. The 100 km rule ended years ago.
How to generate an e-way bill, step by step
Follow these steps on the e-way bill portal at ewaybillgst.gov.in. A second portal, ewaybill2.gst.gov.in, is also available for the same services.
- Log in. Use your GSTIN-based login. Since April 2025, you must complete two-factor authentication with an OTP.
- Pick your mode. You can generate on the portal, by SMS, through an API, or through your accounting software. If you already made an e-invoice, check whether your software auto-generates the e-way bill from it.
- Fill Part A. Enter the supplier GSTIN, recipient GSTIN, document number and date, total value including GST, HSN codes, reason for transport, and transporter ID if you have it.
- Save Part A. The portal shows an e-way bill number. Remember, the bill is still not active for transport.
- Fill Part B before the vehicle moves. Enter the vehicle number, or the transport document number for rail, air, or ship movement.
- Submit and check the status. The portal should show the bill as active. Print it or download the QR code.
- Give it to the driver. Under Rule 138A, the person in charge of the vehicle must carry the invoice or bill of supply or delivery challan, plus a copy of the e-way bill. The driver shows these if an officer stops the vehicle for verification.
Generation can also be blocked for another reason. Under Rule 138E, if you have not filed GSTR-3B for two consecutive tax periods, the portal blocks e-way bill generation. File the pending returns first, and the block lifts. This is a common reason small businesses find themselves suddenly unable to dispatch goods.
What happens if you move goods without a required e-way bill?
An officer can stop the vehicle and verify the documents. If a required e-way bill is missing, the officer can detain the goods and the vehicle under Section 129 of the CGST Act. Release then needs payment of the tax due plus a penalty. Where the owner of the goods comes forward, the penalty for release is 200% of the tax payable on the goods. Where the owner does not come forward, the penalty is higher. The goods can also be sold or disposed of if the penalty is not paid within the time the law allows.
Small procedural slips do not always end in penalty. Courts and tribunals have treated minor lapses, like a missing Part B on a short first leg that the law itself excuses, more leniently than a full failure to generate a bill. But do not count on leniency. A missing bill on a regular inter-state trip is a clear violation, and the cost of detention, delay, and penalty is far higher than the few minutes it takes to generate the bill.
Can you cancel, edit, or extend an e-way bill?
You cannot edit an e-way bill after generation. If you entered a wrong vehicle number, wrong value, or wrong GSTIN, the only fix is to cancel and generate a fresh bill. Cancellation is allowed within 24 hours of generation, but only if the goods have not moved and the bill has not been verified in transit. Once 24 hours pass, or once an officer has verified the bill, cancellation is no longer possible.
Extension works differently. If the goods cannot reach their destination in time because of a breakdown, a natural calamity, or another genuine reason, the generator or transporter can extend validity. The extension window opens 8 hours before expiry and closes 8 hours after expiry. Give a genuine reason and the current location of the goods. The portal then assigns fresh validity based on the remaining distance. Remember the overall cap: no bill can be extended beyond 360 days from its original generation date.
Common mistakes and how to avoid them
| Mistake | Why it matters | How to prevent it |
|---|---|---|
| Skipping Part B and assuming the bill is ready | The bill stays inactive and the vehicle can be detained | Always fill Part B before the vehicle leaves |
| Leaving GST out of the consignment value | You may wrongly conclude no bill is needed | Add GST and cess to the value before testing the ₹50,000 limit |
| Using an invoice older than 180 days | The portal rejects generation | Generate the bill soon after invoicing |
| Waiting past 24 hours to cancel a called-off shipment | Cancellation is no longer possible | Cancel the same day if the shipment is called off |
| Missing the 8-hour extension window | The vehicle may have to halt mid-journey | Set a reminder a day before expiry |
| Letting GSTR-3B filing lapse for two periods | Generation gets blocked under Rule 138E | File GSTR-3B on time every month or quarter |
If you already read our guides on GST e-invoicing and GSTR-1 vs GSTR-3B, the e-way bill fits into the same compliance chain. E-invoice records the sale, GSTR-1 reports it, GSTR-3B pays the tax, and the e-way bill covers the physical movement. For registration basics, see our GST registration guide. For claiming credit on your purchases, see our input tax credit guide.
Key numbers at a glance
All figures below come from Rule 138 of the CGST Rules and CBIC’s e-way bill guidance. They are the numbers worth memorising if you dispatch goods often.
- ₹50,000 — consignment value above which an e-way bill is required for inter-state movement.
- 200 km — distance covered per day of validity for normal cargo.
- 20 km — distance covered per day of validity for over-dimensional cargo.
- 24 hours — window to cancel an unused e-way bill.
- 8 hours — extension window before and after expiry.
- 360 days — maximum total extension from the original generation date.
- 180 days — maximum age of the invoice or challan used to generate a bill.
- 50 km — intra-state first-leg distance where Part B can be skipped.
FAQ
What is the minimum amount for an e-way bill for inter-state movement?
The consignment value must be more than ₹50,000. The value includes GST and cess, but excludes the value of exempt goods billed on the same invoice. At exactly ₹50,000, no e-way bill is needed, because the rule applies only above ₹50,000.
Who is responsible for generating the e-way bill?
The supplier generates it first. If the supplier is unregistered and the recipient is registered, the recipient generates it. If neither generates it and the goods are handed to a transporter, the transporter must generate it. Confirm who is responsible before the vehicle leaves.
How many days is an e-way bill valid?
Normal cargo gets one day for every 200 km or part of it. Over-dimensional cargo gets one day for every 20 km or part of it. The count starts when Part B is filled, and each day ends at midnight of the following calendar day.
Can I edit an e-way bill after generation?
No. An e-way bill cannot be edited once generated. Cancel it within 24 hours if the goods have not moved and it has not been verified in transit, then generate a fresh bill with the correct details.
How can I extend the validity of an e-way bill?
Request an extension on the portal within 8 hours before or after expiry. Give a genuine reason, like a vehicle breakdown, and the current location of the goods. The total extension cannot go beyond 360 days from the original generation date.
Is an e-way bill required for exempt goods?
No. If you are moving only exempt goods, no e-way bill is needed. Used personal and household effects are also exempt. But if the same vehicle carries taxable goods above ₹50,000, a bill is needed for that consignment.
Official Sources
- E-Way Bill Portal — ewaybillgst.gov.in
- Central Board of Indirect Taxes and Customs — cbic.gov.in
- Goods and Services Tax Portal — gst.gov.in
Reviewed by Asuthod Rathod, CA
Last updated: 27 October 2026
Disclaimer: Tax rules change from time to time. Verify the latest rules on the official portals above or consult a qualified tax professional before acting on this guide.
Editorial byline for eircicai GST guides — covering registration, return filing, rates, and compliance for small businesses. Content is reviewed by Asuthod Rathod, CA.