Updating Vehicle Details in the E-waybill System: Rights and Responsibilities

Changing the vehicle related to the e-waybill system after the generation of a bill may require you to apply for the vehicle updation process and update the details of the new conveyance. You also have to follow certain specified rights and responsibilities associated with e-waybill systems to maintain the necessary compliance.

In this guide, we’ve mentioned all the required responsibilities related to the vehicle updation process. Make sure to keenly read and follow everything outlined in this article to keep your vehicle updated on point. Let’s get straight to the article. 

1. Rights of businesses and authorities in updating vehicle details in the E-waybill system

During the electronic waybill system, transportation businesses and tax authorities have their respective rights to update vehicle details. Listed below are the rights and limitations of both that you should know.

Rights of Businesses:

• Update rights: Transportation businesses have the complete rights to generate e-waybills and update the information required. It is generally in the hands of consignors or even the transporters if they have the consent. Both of them are liable to make any update, including changing the vehicle.

Here are the potential reasons for making the updates:

• If your vehicle was not initially entered.
• If your vehicle has to be changed due to a natural disaster, breakdown, etc.

You are allowed to update individually or even in bulk for multiple vehicles.

• Limitations: You can make the necessary updates only to the “Part B” of the e-waybill. It includes only certain details like number, type, and permit (if required). Frequently updating the vehicles without any valid reasons might lead your business to be recognized as a suspect and attract scrutiny from authorities.

Rights of Authorities:

• Update rights (limitations): In certain cases, authorities can effortlessly modify your vehicle details. It will require them to follow an established procedure along with a justified reason. Moreover, they also have the right to update the details based on physical verification at the time of inspection or investigation.

• Access rights: Authorities have the complete right to access e-waybill-related information at any time, including vehicle details. They can also track your goods in transit and verify the information as per available details of the vehicle. 

2. Legal considerations regarding the responsibilities of businesses and authorities during the vehicle update process

As per e-waybill related rules and regulations, you must take care of certain legal considerations. Failing to maintain those legal responsibilities may lead you to bear the penalties and fines. Below, we have mentioned both sides.

Legal considerations for authorities: 

• Due Process: Authorities are legally bound to follow the established procedure to make any updates. They also have to give a valid reason for making any updates during vehicle changes in the e-waybill system. Making any arbitrary change without any rationale can lead them to face legal difficulties.

• Data Privacy: While accessing or using any information within the e-waybill system, they must adhere to data privacy laws. It also includes the details regarding the vehicle.

• Misuse of Access: Unauthorized access or tampering with details related to the vehicle can be considered a criminal offense. Therefore, even authorities have to follow the specified rules and regulations.

Legal considerations for businesses:

• Accuracy and Transparency: All businesses are legally required to ensure the accuracy and transparency of the information provided during e-waybill-related processes, including vehicle updates. Here, you have to promptly make the changes to avoid any legal penalty or legal action.

• Audit Trails and Documentations: It is a legal consideration for businesses to accurately maintain the records of information and documentation provided during the e-waybill vehicle change process. It will even include the records of communication with relevant parties and authorities. You might require them at the time of potential audits and inspections.

• Data Protection: Businesses have to keep certain sensitive data confidential for the sake of security if transshipment. It includes details like vehicle number, driver’s information, and more as per data privacy data regulations.

• Compliance with Regulations: As a responsible business, you are required to be compliant with all the essential regulatory requirements. Make sure to properly follow the prescribed procedure guided by the GST authorities. Plus, you also have to take care of the data protection laws while making any changes or updates.

• Accountability of Oversight: Businesses and authorities are respectively accountable for their actions and decisions, regarding the vehicle change process. In simple words, you will be accountable for any error, omission, or discrepancy within the provided information related to vehicle change. 

3. Compliance obligations for ensuring accurate and timely updating of vehicle details in the E-waybill system

As per e-waybill-related systems and authorities, you are obliged to ensure certain compliances that will allow you to maintain accurate and timely updates regarding vehicle details.

Here’s the breakdown of compliance obligations mentioned below.

1. Part B Completion: According to Rule 138(4) of the CGST Rules, 2017, you are required to complete “Part B” the e-waybill before the commencement of the movement of goods surpassing a specific threshold. It varies from state to state.

2. Accuracy and Timelines: For updating any information on the e-waybill portal, ensure their accuracy and timelines, even while changing the vehicle. It means you have to promptly update the information whenever required. You have to follow it during certain cases like vehicle breakdowns, changes, and more.

3. Data Maintenance: Businesses are required to keep records of all regarding the generation and updation of electronic waybills and their processes. It is one of the essential compliance obligations for ensuring accurate and timely updating of vehicle details in the e-waybill system. The government has made it mandatory as per Rule 142(1)(b) of the CGST Rules, 2017. It will help you at the time of audits or investigations.

4. Penalty for Inaccurate Information: As per legal compliances under the GST Act, you must not provide any inaccurate information. Otherwise, they can lead you toward penalties and legal proceedings based on the severity of the mistake. It can even be up to 100% of the tax amount filled for the vehicle transshipment.

4. Documentation requirements supporting the rights and responsibilities of updating vehicle details

There are various document requirements based on different jurisdictions and state-specific regulations. Below, we’ve mentioned some necessary documentation that is required to support the rights and responsibilities for vehicle updating details.

1. Proof of Ownership: You have to submit certain documents required to showcase your responsibilities. It may involve documentation like vehicle title, registration certificate, or bill of sale. Moreover, having proof of ownership will allow the respective rights to make required changes within e-waybill vehicle details.

2. Vehicle Identification Number (VIN): Every vehicle consists of a unique number that is required to make any updates through the official portal. You can find this number on the vehicle’s dashboard or door jamb. Plus, it can even be listed on the registration document.

3. Vehicle Inspection Reports: When certain modifications are made to the vehicle, like after-market parts or alterations, you’ll be required to have certified documentation from the vehicle inspector. It will allow you to make the required changes within your e-waybill vehicle.

4. Identification Document: To update the necessary changes while changing your e-waybill-related vehicle, you have provided the authorities with valid government-issued identification documents, such as a driver’s license or passport. These verification documents will help you get your identification verified.

5. Previous Registration Documents: If the vehicle involved in your transshipment process has been registered with another jurisdiction or there are any changes to the registration details of the vehicle, you will have to require the documents related to previous registration for the vehicle updation process.

Also Read: Documentation And Information Required For Change Of Vehicle In E-Waybill

5. Reporting obligations for notifying changes to the E-waybill system regarding vehicle details

Tax authorities have mandated certain reporting obligations while notifying the changes related to vehicle updation process for your transportation goods. It creates transparency and accuracy within your transshipment process.

Here are the reporting obligations for the respective notification.

1. Changes Requiring Notification: You are obliged to report the VRN of your respective vehicle used for the movement of goods under the e-waybill system. Moreover, if you have even changed the vehicle type, it is required for you to update it in the electronic waybill system.

2. Stipulated Time Frame for Notification: As far as timeframes are concerned, any changes in the vehicle details are required to be updated on the e-waybill system before the commencement of the movement of goods. In simple words, you must make the updates before physically loading the goods into the vehicle.

3. Use Right Notification Channels: Reporting obligations may require you to make vehicle-related updates to the electronic waybill system only through certainly specified channels. It involves using online portals, electronic interfaces, or some other designated communication methods. Make sure to follow this obligation while notifying the changes to tax authorities.

4. Maintain Compliance with Regulations: You are essentially required to comply with some specific regulations or guidelines outlined by regulatory authorities governing the e-waybill system. If you fail to adhere to these reporting obligations, you may fall into bearing certain penalties and fines.

5. Correctness of Information: As per the reporting obligations, you have to ensure the accuracy of the updated e-waybill vehicle details. Any incorrect or outdated information may lead you to face compliance-related issues and face potential penalties.

6. Challenges in exercising rights and fulfilling responsibilities during the vehicle update process

During the vehicle updation process, you have to face certain challenges mentioned below.

1. Bureaucratic Complexity: You might have to face complicated processes with unclear instructions. It may lead you to make errors while submitting the required information and documentation.

2. Digital Divide: It might be a little more challenging for the business with limited internet access or who lacks digital literacy. Because, this process hinders the accessibility of the respective users. Moreover, technical issues or outages within GST platforms might also hinder you in fulfilling your rights and required responsibilities during the vehicle update process.

3. Cost and Fees: Sometimes, you may face certain unexpected fees or hidden charges while updating the information within your vehicle. It may cause a financial burden, especially for low-income individuals. Therefore, you should be prepared for the varied challenges faced during the e-waybill-related process.

4. Language Barrier: Across India, there are diverse states and cultures. However, these portals work within one or two dominant languages only. Therefore, it can become a potential difficulty for various individuals and businesses to update vehicle-related information on the e-waybill portal.

5. Delays and Backlogs: Generally, there are a high number of update requests or administrative backlogs within government agencies or regulatory bodies. This can create potential delays and discrepancies in updating the vehicle details.

6. Data Security and Privacy Concern: Being a reliable business, you are required to keep the security and privacy of sensitive information. Make sure to keep the data protected from any unauthorized access or misuse. It will allow us to maintain the compliances related to regulatory authorities.

Also Read: Challenges and Solutions in Managing Vehicle Changes in E-waybill

7. Exemption considerations for specific scenarios affecting the exercise of rights and responsibilities in-vehicle updates

There are certain considerations and specific scenarios where you can get certain exemptions and relaxations from the exercise related to checking up on the rights and responsibilities in the vehicle change process.

Below, we’ve mentioned certain specific scenarios.

1. Loss of Document: If your required documentation is lost or stolen, you can get a potential exemption or relaxation. However, you must have a respective police report as a potential proof. You have to share alternative documents to get your vehicle change request accepted.

2. Force Majeure Events: In case of unavoidable circumstances like natural disasters and civil unrest that are beyond anyone’s control, businesses are eligible for several exemptions. You might get exempted from strict deadlines or requirements related to the e-waybill vehicle updation process.

3. Technical Outage: If the official GST portal is out of service or down and you’re unable to apply for the e-waybill vehicle updation process within the stipulated time frame, you may get certain exemptions or extensions. It specifically involves issues like system outages, glitches, or connectivity issues.

4. Legal Proceedings: Exemptions may be considered during the vehicle change process in case of any potential dispute over vehicle ownership or inheritance matters. Here, you can get the flexibility to accommodate your legal process without penalizing the business owner. Make sure not to disobey any other rules.

5. Compliance with Other Regulations: If your e-waybill vehicle update conflicts with any other regulatory obligation, authorities may avail you of certain explanations and relaxations. You may also be provided with alternative mechanisms to ensure compliance without causing any hardships.

6. Special Circumstances for Commercial Vehicles: For commercial vehicles indulged in specialized operations like working as emergency services, military convoys, or diplomatic missions, several exemptions or accommodations can be provided by the tax department. It will allow you to facilitate the essential services.

8. Best practices for businesses and authorities in navigating rights and responsibilities for E-waybill vehicle updates

Here, we’ve mentioned the five best practices for businesses and authorities to help them maintain the rights and responsibilities for e-waybill-related updates.

1. Proactive Communication: You must appropriately communicate the relevant e-waybill requirements and update procedures with the authorities and stakeholders. It keeps everyone informed about your vehicle updation process. Make sure to timely update the relevant information.

2. Internal Processes: Businesses must set up clear internal guidelines and processes for verification of details submitted for the vehicle update process. You can even appoint a designated personnel for the seamless verification and integration process by using the fleet management system.

3. Utilizing Digital Tools: In the new technological era, you must utilize several technological tools and software to streamline the update process. You can potentially consider mobile applications or official portals for quickly and easily updating vehicle-related details.

4. Conduct Training and Awareness Program: Every business should have training programs for the employees responsible for the e-waybill generation and vehicle updation process.

5. Stay Informed: Regularly visit the e-waybill official portal to consistently monitor any changing regulations and procedures to meet the latest and required compliance. It is one of the best practices for businesses and authorities in navigating rights and responsibilities for e-waybill vehicle updates.

Also Read: Best Practices For Smooth Vehicle Change In E-Waybill: Minimizing Disruptions

9. Audit and verification of compliance with rights and responsibilities during the E-waybill vehicle update

In the audit and verification of compliances during the electronic waybill vehicle update process, you will be checked upon transparency, accuracy, and adherence to your regulations.

Here are some of the required criteria that you should maintain to pass the audit and verification process.

1. Establish clear criteria: You must have defined the clear criteria and requirements for compliance related to roles and responsibilities regarding the e-waybill vehicle update process. It includes varied requirements like certain documentation, timeline updates, data accuracy standards, and any applicable regulations or guidelines. All these things are appropriately checked during the e-waybill vehicle updation process.

2. Review Your Documentations: Regularly review your documentation regarding the e-waybill vehicle update process. It may include documents like registration certificates, ownership records, update requests, and any other supporting documents. Ensure the completeness, accuracy, and authenticity of the submitted documents.

3. Data Accuracy Check: You also have to verify the data entered into the e-waybill system while updating the e-waybill vehicle. To be specific, you have to check up on vehicle identification numbers (VINs), owner details, registration numbers, and other relevant information. You should also compare the information against the authoritative sources to figure out any potential discrepancies or errors.

4. Timeline Assessment: Businesses are required to assess their vehicle update process in terms of their submission within a stipulated time frame. Keep following the required official regulations and guidelines outlined by the e-waybill system authoritatively. In the audit, the tax department will even keenly check the efficiency of your administrative process while updating the new vehicle information.

5. Compliance and Regulations Check: As a reliable business, it is your duty to meet all the necessary compliances. It involves checking up on the requirements related to documentation, data security, privacy protection, and other legal obligations. Also, you should potentially identify any instances of non-compliance and assess the severity of the violations. In this way, you will be safeguarded from the audit and verification process conducted by tax officials.

6. Reporting and Recommendations: You should also prepare an audit report consisting of all the findings, observations, discrepancies, areas of non-compliance, and recommendations for taking corrective actions. Share the report with relevant stakeholders and regulatory authorities to maintain compliance. This report may also be required at the time of the audit and verification process.

10. Legal consequences of not adhering to rights and responsibilities in the vehicle update process for E-waybill

Here are some of the legal consequences that you have to face for not adhering to rights and responsibilities in the e-waybill update process for e-waybill.

1. Financial Penalties: For any non-compliance during the e-waybill vehicle updation process, you may be subjected to face potential fines and penalties. It involves cases like not accurately updating the details within a stipulated time frame. Moreover, the fine amount varies based on the severity of non-compliance. Generally, there is a fixed penalty of Rs.10,000. It may get worse for repeated offenses.

2. Detention of Goods: In several cases, the tax department may detain your goods in transit if they find any potential errors across the details provided for the electronic waybill vehicle update process. It can lead your business to face significant delays and disruptions. Therefore, you must ensure accurate information.

3. Legal Proceedings: Severe cases like fraud or tax evasion may lead the business owner to face criminal charges. Here, you may have to bear heavy fines or even imprisonment.

4. Enforcement Actions: Tax departments are also liable to take enforcement actions against your business. It includes conducting an audit, inspection, or investigation to properly check your compliance regarding e-waybill rules and regulations. If you do not cooperate with enforcement actions or interrupt during the investigation, you will also have to be ready for further legal consequences.

5. Administrative Sensations: As a potential legal consequence, you may also be subjected to face the suspension or revocation of e-waybill privileges, registration, or operating license. As a result, it can disrupt your business operations and negatively impact your delivery efficiency.

Conclusion

Businesses have specified rights and responsibilities for updating the new e-waybill vehicle details, properly mentioned in this guide. It is required to be followed to maintain the necessary e-waybill rules and regulations. We hope this guide helps you learn everything required for you to update the details within the e-waybill system.

Frequently Asked Questions (FAQs)

• What is the common portal for the generation of e-waybills?

The Common portal for electronic waybill generation is https://ewaybillgst.gov.in.

• I’m not getting OTP on my mobile phone; what to do?

Generally, e-waybill slows down because activating the DND (Do Not Disturb) facility on your mobile or your service provider network may be busy. Use the OPT received over your email id to access these features.

• Who can update the vehicle number for the e-waybill?

Vehicle numbers can be updated by the e-waybill generator or assigned transporter. It is one of the essential steps, as the bill won’t be valid until the respective number is updated on the portal.

• Can the e-waybill automatically be canceled? If yes, in what conditions?

Yes, electronic waybills can automatically be canceled if the goods are not transported or transported without mentioning all the necessary details. Moreover, you can also deliberately cancel the bill within 24 hours of its generation.

• Is it possible to change the vehicle number on the e-waybill?

Yes, there is an option on the e-waybill portal to update the conveyance number. Suppose you have not entered it at the generation of the bill or have applied for changing the vehicle due to any potential reason. Make sure to apply for the change within a stipulated time frame.

• What are the roles and responsibilities of electronic waybill?

The waybill is required to be generated before dispatching the goods for the required delivery. It consists of all the details regarding the goods, consignor, recipient, and transporter. You have to take the responsibility to generate the bill for efficiently completing the transhipment process. Also make sure to keep the relevant documentation with yourself across the entire transportation process.

• What are the applicable rules for e-waybills?

As per GST rules and regulations, an e-waybill needs to be generated by an individual or entity registered under Goods and Services Tax. You have to generate the bill for goods exceeding the value of more than Rs.50,000.

• Is an e-waybill required for less than 50km?

No, you don’t need to generate an electronic waybill for the movement of goods less than the distance of 50km between consignor and consignee, and it is an interstate transportation. Therefore, you can freely transport the goods without any significant issues.

• How many times can you extend the e-waybill?

You can not extend the e-waybill any number of times you want. It is only possible 8 hours before and after the expiry of the bill. Also, make sure to timely deliver the goods after the generation of the bill, as it will be crucially noticed.

• What are the two components of an e-waybill?

Electronic waybill is divided into two major parts: Part A and Part B. The second part consists of basic details, including details of the GSTIN of the recipient, PIN code, value of goods, HSN code, transport document number, and more. You can edit or modify this part of the waybill.

Prarabdh Gupta Freelance Content Writer & Strategist

Prarabdh Gupta is a finance content writer with 4+ Years of Industry experience in simplifying complex finance terms. He crafts captivating and engaging content around mutual funds, insurance, banking, real estate, taxation, and financial planning. He has completed his graduation from Jiwaji University, Gwalior.

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