Skip to content

CMA Final · Indirect Tax Laws and Practice · E-way Bill

A registered person generated an e-way bill for a consignment, but the goods were not transported as per the details furnished. Under Rule 138(9), which statement is correct?

The e-way bill can be cancelled electronically within 24 hours of generation, but not if it has already been verified in transit. The 72-hour period concerns deemed acceptance of details by the counterparty, not cancellation.

  1. AThe e-way bill may be cancelled within 24 hours of generation, unless it was verified in transitCorrect
  2. BThe e-way bill may be cancelled within 72 hours of generation in all cases
  3. CThe e-way bill may be cancelled at any time before its validity expires, even after verification in transit
  4. DThe e-way bill cannot be cancelled and must lapse

Explanation

Rule 138(9) permits electronic cancellation within twenty-four hours of generation where goods are not transported or are not transported as per the details. The first proviso bars cancellation if the e-way bill has been verified in transit under Rule 138B. The 72-hour period relates to deemed acceptance by the other party, not cancellation.

Did you get it right without looking?

One question tells you little. A timed set on E-way Bill shows your real accuracy, how long you take and where you lose marks.

Practise E-way BillFree diagnostic mock

More E-way Bill questions