What an E-Way Bill Is, in One Line
An e-way bill is an electronic document you must generate before moving goods worth more than ₹50,000, and it proves the movement is tax-compliant. It carries a unique number (EBN) that the transporter keeps with the consignment, and tax officers can verify it in transit. It is required under the GST rules for the movement of goods, whether the movement is due to a sale, a transfer, or a return.
When You Need One
You generally need an e-way bill when the consignment value crosses the threshold and goods are moving:
- For a sale to a customer.
- As a stock transfer between your own branches — see stock transfer between locations.
- For a return to a supplier.
- For job work or other movements without a sale (using a delivery challan).
The Value Limits
- Inter-state: ₹50,000 across all of India.
- Intra-state: ₹50,000 in most states, but higher in some — around ₹1,00,000 in several states/UTs, and up to ₹2,00,000 for within-city movement in Rajasthan.
Because intra-state limits vary, always check your own state’s threshold before assuming you are exempt.
What Changed in 2026
Several updates have made manual handling riskier and worth knowing:
- E-Way Bill 2.0 portal: A refreshed portal running alongside the existing one for better availability.
- Mandatory MFA login: Multi-factor authentication (an OTP) is now required for all taxpayers to access the portal.
- 180-day invoice rule: You cannot generate an e-way bill against an invoice or challan dated more than 180 days earlier.
- 360-day extension cap: An e-way bill can be extended only up to 360 days, after which the system blocks it.
These tighten the window between invoicing and dispatch, so timely generation matters more than before.
What You Need Before Generating
- The invoice, bill of supply, or delivery challan for the consignment.
- Supplier and recipient GSTIN and details.
- HSN codes, taxable value, and tax amounts — the same data as on a GST invoice.
- Transport details: transporter ID or vehicle number and the approximate distance.
If your billing software already holds the invoice data, most of this pre-fills, which is the fastest way to avoid errors.
Validity of an E-Way Bill
An e-way bill is valid for a limited period based on distance — broadly one day per a fixed block of kilometres, with more time for longer or over-dimensional cargo. If the goods cannot reach in time, you can extend validity within the rules (subject to the 360-day cap). Plan dispatch so the bill does not expire mid-transit.
Penalties for Getting It Wrong
- Moving goods without a valid e-way bill can attract a penalty and detention of the goods and vehicle.
- Mismatches between the e-way bill, invoice, and physical goods are a common scrutiny trigger.
- Expired e-way bills in transit are treated as non-compliance.
How This Connects to E-Invoicing
For businesses above the e-invoicing threshold, the e-way bill can be generated from the same data as the e-invoice, reducing duplicate entry. If you are not sure whether e-invoicing applies to you, read our e-invoicing requirements guide and the e-invoice limit explainer.
Conclusion
The e-way bill is a non-negotiable part of moving goods over ₹50,000 in India, and the 2026 changes — the 2.0 portal, MFA login, and the 180-day invoice limit — make timely, accurate generation more important than ever. The simplest way to stay compliant is to generate it straight from your invoice data rather than re-keying it. InfiBis keeps invoices, HSN codes, and stock movements in one place so e-way bill generation is fast and error-free. For the wider compliance picture, see our GST return filing guide.