GST authorities drop plans to enforce stricter e-way bill norms
₹ 500 crore, but now it applies to those with annual sales exceeding ₹ 5 crore. It is not required for retail sales to end consumers.
Tax experts note that linking e-way bill generation to e-invoice details offers benefits and challenges. Rajat Mohan, senior partner at AMRG & Associates, said it could improve tax compliance and reduce evasion by aligning transportation and invoice data.
However, it may increase administrative burdens, particularly for small and medium enterprises facing compliance costs and technology updates. The transition could lead to disruptions and compliance errors.
While the scheme aims for streamlined tax processes, businesses must adapt and manage potential errors in a dynamic tax environment. The government's decision to retract the proposal indicates the challenges faced, but businesses await clarity on the revised implementation timeline, Mohan added.
Since its rollout in July 2017, GST has significantly boosted revenue, with monthly collections now averaging ₹1.66 trillion, nearly double the amount in the initial GST year. This rise in indirect tax compliance has also driven an increase in direct tax collections, making the under-reporting of sales more difficult.Milestone Alert!
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