GSTN Delays E-Way Bill Changes After Industry Pushback

Saurabh Agarwal, a tax partner at EY India, said many businesses found the proposed Ship-To requirement and the voluntary closure facility difficult to implement alongside existing e-invoicing and IRN-based e-way bill systems. Sectors with complex supply chains – auto components, EPC and e-commerce – were particularly affected. “GSTN’s decision to withdraw the advisories and FAQs, instead of merely extending the implementation timeline, appears to be a response to the industry’s representations and practical implementation concerns,” Agarwal said. The move indicates the government is reconsidering the design rather than just postponing it, he added.

Rajat Mohan, managing partner at AMRG Global, said while GSTN has not stated the reason for the deferment, it is reasonable to infer that additional stakeholder preparedness was a factor. GSTN had earlier acknowledged representations from trade, ERP vendors, GSPs and ASPs seeking more time for system modifications, API integration and testing. “Keeping the implementation on hold avoids disruption to business operations and allows the existing e-Way Bill ecosystem to continue until a revised implementation roadmap is announced,” Mohan said.

Under GST rules, any person transporting goods valued over Rs 50,000 must carry an e-way bill generated from the GST Portal. The system replaced physical check posts at state borders when GST was introduced in July 2017, cutting transit delays and improving free movement of goods. The deferral leaves the current e-way bill framework unchanged for now. Companies that had already started testing the proposed changes may retain the work, Agarwal said, as the objective of improving traceability is likely to return in a revised form.