Eway bill confusion
This query is : Resolved
Quick Summary
08 June 2025
Dear sir/ madam
My question is.
Farmers brings raw cotton to our factory through Tata ace or any other goods vehicle , we purchase raw cotton and make urd purchase bill(self invoice) on their names and gives to them with payment , do we need to generate e way bill also at that time ??
My question is.
Farmers brings raw cotton to our factory through Tata ace or any other goods vehicle , we purchase raw cotton and make urd purchase bill(self invoice) on their names and gives to them with payment , do we need to generate e way bill also at that time ??
09 June 2025
If the raw cotton you are purchasing is GST-exempt unprocessed agricultural produce, an e-way bill is generally not required. Better to break the purchases below 50K each.
Message likes :
1 times
09 June 2025
Is e-Way Bill Required for Raw Cotton from Farmers?
Raw cotton is not exempt from e-Way Bill requirements.
However, some key considerations apply:
f the supplier is an unregistered farmer:
If you (registered buyer) are causing the movement of goods, you are responsible for generating the e-Way Bill.
Since farmers are not required to be registered under GST, they are not liable to generate an e-Way Bill themselves.
Section 138 of CGST Rules says:
If the consignment value exceeds ₹50,000, and the movement is by a registered person, the registered person must generate the e-Way Bill.
Conditions when you must generate an e-Way Bill:
Consignment value > ₹50,000
You (the buyer/factory) are a registered person
You are responsible for transportation (e.g., your Tata Ace or hired vehicle is used)
In this case, you must generate the e-Way Bill, even though the seller (farmer) is unregistered.
Raw cotton is not exempt from e-Way Bill requirements.
However, some key considerations apply:
f the supplier is an unregistered farmer:
If you (registered buyer) are causing the movement of goods, you are responsible for generating the e-Way Bill.
Since farmers are not required to be registered under GST, they are not liable to generate an e-Way Bill themselves.
Section 138 of CGST Rules says:
If the consignment value exceeds ₹50,000, and the movement is by a registered person, the registered person must generate the e-Way Bill.
Conditions when you must generate an e-Way Bill:
Consignment value > ₹50,000
You (the buyer/factory) are a registered person
You are responsible for transportation (e.g., your Tata Ace or hired vehicle is used)
In this case, you must generate the e-Way Bill, even though the seller (farmer) is unregistered.
09 June 2025
Ram Avtar Singh sir ...
Farmers themselves arrange the transport and bring raw cotton to our factory....
Then we will see quality and purchase it
Farmers themselves arrange the transport and bring raw cotton to our factory....
Then we will see quality and purchase it
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Taxable or Tax exempt
- CAPITAL GAIN BASE ON NOTIFICATION
- Form 140 tds
- TDS Deducted AY-2013-14 Not Reflected in 26as
- Demand Outstanding AY 2013-14 TDS Deducted not shown in 26as
- ADVANCE PAYMENT OF ADVOCATE
- NRI starting business in India
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- FORM 141 SDV query
- Invertaded duty struture
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
