In a significant compliance reminder, authorities have reiterated that taxpayers engaged in the supply of scrap are mandatorily required to generate e-way bills for consignments exceeding ₹50,000 in value. This directive aligns with existing provisions under the Goods and Services Tax (GST) law, ensuring proper documentation and tracking of high-value scrap transactions.
Strict Action for Non-Compliance
Failure to comply with e-way bill requirements may attract penalties and legal proceedings under the relevant tax laws. Taxpayers dealing in scrap are urged to adhere to the regulations to avoid potential disruptions and enforcement actions.
The directive has been issued with the prior approval of the Competent Authority, reinforcing the government's commitment to ensuring transparency and tax compliance in scrap trade movements.
Official copy of the circular is as follows
It is to inform that the taxpayers who are dealing in scraps supply are required to generate e-way bills, mandatorily if the consignment value of the scrap exceeds Rs 50,000/- for movement of every shipment as per the Law.
In case of any non-compliance with regards to these provisions, necessary action shall be taken including initiating proceedings under the relevant law.
This is issued with the prior approval of the Competent Authority.
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