E-Way Bill without e-Invoice for B2B and B2E transactions for e-invoice enabled taxpayer to be blocked w.e.f. 1st March 2024

E-invoice has been operationalised since October 2020 for taxpayers with Annual Aggregate Turnover (AATO) above Rs. 500 Crores and eventually in a phased manner, e-invoice generation is made mandatory for taxpayers with AATO above Rs.5 Crores.

From day one, e-Invoice is seamlessly integrated with the e-Way bill system and accordingly e-Way bills are generated along with e-Invoice. That is, during e-invoice generation, if the transportation details are sent, the e-waybill is automatically generated.

Most of the taxpayers are generating the e-invoice along with the e-way bill.

However, analysis reveals that certain taxpayers who are eligible for e-invoicing generate e-Waybills without linking to e-Invoice for B2B and B2E transactions.

In certain cases, invoice details provided separately for e-Waybill and e-Invoice do not match specific characteristics. This results in a mismatch between the e-Waybill and e-Invoice statements.

Hence, to avoid such situations, e-Waybill generation will not be allowed without e-Invoice details from 1st March 2024.

This is applicable for e-invoice-enabled taxpayers and for the transactions related to Supplies under B2B and Exports. EWBs for other transactions, such as B2C and non-supplies, will remain unchanged.

Check and Balances

E-Waybill creation will include checks for eligible taxpayers (Suppliers) for e-invoicing. In the case of B2B and B2E (Exports), direct e-Waybill generation without e-Invoice will not be allowed for Suppliers eligible for e-Invoicing.

This applies to the E-Waybill categories of Supply/ Exports/ SKD/ CKD/ Lots.

However, e-Waybill generation for B2C and other non-supplier transactions will continue as usual. Similarly, for the E-Way Bills generated by the transporter, a similar check would be enforced on the Supplier GSTIN. Other operations such as Part-B updating, transporter ID updating, etc. will continue as usual without any change.

All taxpayers and transporters are asked to make the appropriate changes in their systems so that they can adapt to the changes beginning March 1, 2024.