Ad Free CAclubindia and Daily Updates on your Mobile. Subscribe Now!

regarding e way bill in case of works contract

Ankita Jain (Study and job) (110 Points)

23 January 2018

Dear sir/madam,

1) when we issue invoice in case of works contract and sending some material for doing that work so how we quote item value in e way bill.
2) In case of this type of invoice both material and service elements is clubbed, we taking this service under gst as works contract & mention SAC. we cannot identify value of different material and even we identify the value of different material total of that material value don't match with invoice amt because it also has service element.

please reply
Thankyou
with regards
Ankita Jain

Reply
Follow
Share

9 Replies

Rekha Sai Teja (Working also) (406 Points)
Replied 24 January 2018

Hi Ankita,

GST Schedule II clearly mentions that the following are supply of service–

construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly,
works contract including transfer of property in goods (whether as goods or in some other form) involved in the execution of a works contract

You need to raise the Invoice as a service and relavant SAC code. It is treated as SERVICE ONLY..

No need to generate GST E way bill.

Upgrade to CAclubindia Pro. Subscribe Now!

Pooja D Mehta (Audit Executive) (33 Points)
Replied 03 February 2018

Dear Ma'am,

But eway bill requirement triggers when movement of goods is required and not based on supply of goods or service.

Hence in case of works contract as well for movement of goods from one place to another eway bill will still remain mandatory.

Kindly clarify if otherwise.

Pooja D Mehta (Audit Executive) (33 Points)
Replied 03 February 2018

Dear Ma'am, But eway bill requirement triggers when movement of goods is required and not based on supply of goods or service. Hence in case of works contract as well for movement of goods from one place to another eway bill will still remain mandatory. Kindly clarify if otherwise.

Ramkishan (Propreitor) (23 Points)
Replied 05 July 2018

But pls also clear, when we have to send material that is to be used in that work contract, how that will move from one state to another with out E way bill,

for example - A based in UP take the work contract in Uttranchal, now the question is that how the material that is to be used in that work contract is dispatched there on the site..

Suvendu (Accounts) (429 Points)
Replied 05 July 2018

issues e way bill as challan

Upgrade to CAclubindia Pro. Subscribe Now!

Partheep Achanala (2 Points)
Replied 09 March 2019

Its a fabulous & fantastic answer

client nca (3 Points)
Replied 23 April 2019

railway construction site in mp and the main contractor(reg. in mp.) sub let the contract to up reg. firm....up reg. firm purchase the material and unload it directly on construction site with e-way bill and took ITC...now the question is 1. can i raise composite supply bill to the main contractor who is reg. in mp 2. at what extent i can raise the bill 3. e-way bill is required....although the material is already dumped on construction site with e-way bill..( Bill to ...ship to..) PLZ reply

dharmesh (accountant) (10 Points)
Replied 07 June 2023

No EWB required for the supply of service

GSTN announced that if the principal supply is purely a supply of service and involving no movement of goods, the e-way bill is not required to be generated.

However, if the movement of some goods is involved along with the principal supply of service, the e-way bill may be generated. Such situations may arise in cases of supply of the following services:

Printing services
Works contract services
Catering services
Pandal or shamiana services

In such cases, the e-way bills may be generated by entering the details of the HSN code of the goods, along with the SAC (Service Accounting Code) of the services involved.