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CA Intermediate · Taxation · E-Way Bill

Sunrise Textiles, Surat (registered) sends yarn worth Rs 40,000 by its own vehicle to a job worker in Surat, within the same State. The job worker is also registered. Under the CGST Rules, what is the position about generating an e-way bill for this movement?

An e-way bill is not required because the consignment value of Rs 40,000 does not exceed the Rs 50,000 threshold. The requirement is driven by consignment value and the nature of movement, not merely by the consignor being registered or by who owns the vehicle.

  1. AE-way bill is mandatory because the consignor is registered
  2. BE-way bill is not required, as the consignment value is below Rs 50,000Correct
  3. CE-way bill is required only if the vehicle is a goods carriage hired from a transporter
  4. DE-way bill is required only if the job worker is unregistered

Explanation

The general threshold for an e-way bill is a consignment value exceeding Rs 50,000. Here the value is Rs 40,000, so no e-way bill is compulsory for this movement, regardless of the mode of transport. Registration status of the consignor alone does not trigger the requirement, so option A is wrong.

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