GSTN has today on the GST portal given a update in regard to Blocking of E-Way Bill (EWB) generation facility, after 1st December, 2020. The update is given below:
Update on Blocking of E-Way Bill (EWB) generation facility, after 1st December, 2020
1. In terms of Rule 138E (a) and (b) of the CGST Rules, 2017, the E-Way Bill (EWB) generation facility of a taxpayer is liable to be restricted, in case the taxpayer fails to file their FORM GSTR-3B returns / Statement in FORM GST CMP-08, for tax periods of two or more.
2. From 1st December, 2020, onwards, the blocking of EWB generation facility would be made applicable to all the taxpayers (irrespective of their Aggregate Annual Turnover (AATO)) In terms of Rule 138 E (a) and (b) of the CGST Rules, 2017, on the EWB Portal.
3. Thus, on 1st December 2020, the System will check the status of returns filed in Form GSTR-3B or the statements filed in Form GST CMP-08, for the class of taxpayers to whom it applies, and restrict the generation of EWB in case of:
- Non filing of two or more returns in Form GSTR-3B for the months up to October, 2020; and
- Non filing of 02 or more statements in Form GST CMP-08 for the quarters up to July to September, 2020.
4. This blocking will take place periodically from 1st December’ 2020 onwards.
5. To avail continuous EWB generation facility on EWB Portal, you are therefore advised to file your pending GSTR 3B returns/GST CMP-08 statements immediately.
For FAQs on blocking / unblocking of e-way Bill generation facility on e-way bill portal CLICK HERE.
Statutory provisions (Rule 138E):
138E. Restriction on furnishing of information in PART A of FORM GST EWB-01.-Notwithstanding anything contained in sub-rule (1) of rule 138, no person (including a consignor, consignee, transporter, an e-commerce operator or a courier agency) shall be allowed to furnish the information in PART A of FORM GST EWB-01 in respect of a registered person, whether as a supplier or a recipient, who,—
(a)being a person paying tax under section 10 [or availing the benefit of notification of the Government of India, Ministry of Finance, Department of Revenue No. 02/2019–Central Tax (Rate), dated the 7th March, 2019, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 189, dated the 7th March, 2019,, has not furnished the statement in FORM GST CMP-08 for two consecutive quarters; or
(b)being a person other than a person specified in clause (a), has not furnished the returns for a consecutive period of two months:
Provided that the Commissioner may, on receipt of an application from a registered person in FORM GST EWB-05, on sufficient cause being shown and for reasons to be recorded in writing, by order, in FORM GST EWB-06 allow furnishing of the said information in PART A of FORM GST EWB 01, subject to such conditions and restrictions as may be specified by him:
Provided further that no order rejecting the request of such person to furnish the information in PART A of FORM GST EWB 01 under the first proviso shall be passed without affording the said person a reasonable opportunity of being heard:
Provided also that the permission granted or rejected by the Commissioner of State tax or Commissioner of Union territory tax shall be deemed to be granted or, as the case may be, rejected by the Commissioner.
Explanation:– For the purposes of this rule, the expression “Commissioner” shall mean the jurisdictional Commissioner in respect of the persons specified in clauses (a) and (b).
Explanation.- For the purposes of this Chapter, the expressions ‘transported by railways‘, ‘transportation of goods by railways‘, ‘transport of goods by rail‘ and ‘movement of goods by rail‘ does not include cases where leasing of parcel space by Railways takes place.
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Frah Saeed is a law graduate specializing in the core field of indirect taxes and is the Co-founder of taxwallah.com. She has authored many publications on GST and is into full-time consultancy on GST to big corporates. She as a part of taxwallah.com heads a team comprising of Chartered Accountants and Advocates and plays a key role in our mission to disseminate GST knowledge to all.
