When and why e-way bill is required under GST ?
If we buy a product from a company located very close to our organization, Is e-way bill required ?
Is e-way bill mandatory to claim ITC even if it's appearing in GSTR-2B ?
E-way bill mechanism was introduced to keep a tab on the movement of goods and thereby prevent tax evaision. it is required to be issued if the value of goods being transported exceeds Rs. 50,000.
If you buy a product from a company which is located even 1 km away and the value exceeds Rs 50000, then also e-way bill is required. However, if it is transported through a non-motorised vehicle, like a rikshaw, then e-way bill is not required.
I don't think e-way bill is required to claim ITC, but it is mandatory in other procedural aspects and absence of e-way bill might result in penalty.
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