ADVISORY ON E-WAY BILL GENERATION FOR GOODS UNDER CHAPTER 71
Key Points – E-Way Bill Requirement for Goods under Chapter 71 (Feb 6, 2025)
- General Rule: Goods under Chapter 71 (Natural pearls, precious stones, precious metals, jewelry, goldsmith/silversmith articles) except imitation jewelry (HSN 7117) are exempt from mandatory E-Way Bill (EWB) generation (Rule 138(14), CGST Rules).
- Kerala Exception: Kerala mandates EWB generation for intra-state movement of all goods under Chapter 71 (including those normally exempt), as per Notification No. 10/24-State Tax dated 27/12/24. An advisory was issued on 27/01/2025.
- Previous System Error: The EWB portal previously allowed voluntary EWB generation for Chapter 71 goods (except 7117) under the category “EWB for Gold.” This was an error and has been withdrawn.
- Clarification: EWB generation is not required for goods under Chapter 71 (except 7117) outside of Kerala. The previous system functionality does not change the exemption.
- Action Required: Taxpayers and transporters should comply with the clarification.
Feb 6th, 2025
Subject: Clarification on E-Way Bill Requirement for Goods under Chapter 71
Rule 138(14) of the Central Goods and Services Tax (CGST) Rules, 2017, read with its Annexure S.Nos. 4 and 5, states that goods covered under Chapter 71 viz., Natural or cultured pearls and precious or semi-precious stones; precious metals and metals clad with precious metal, Jewellery, goldsmiths’, and silversmiths’ articles, except those classified under HSN 7117(Imitation Jewellery), are exempt from the mandatory requirement of generating an E-Way Bill.
Prsuant to the introducti on of the E-Way Bill (EWB) for goods classified under Chapter 71, excluding HSN 7117 itation Jewellery), in the state of Kerala for intra-state movement, the National Informatics Centre (NIC) has provided an option to generate EWBs for goods covered under Chapter 71 except 7117 under the category “EWB for Gold” “on the EWB portal
It has been observed that various industry stakeholders have voluntarily been generating EWBs for goods under Chapter 71 due to the availability of this option in the EWB system. In this regard, it is clarified that while the system previously allowed EWB generation for goods under Chapter 71, this facility has now been withdrawn
Accordingly, taxpayers and transporters engaged in the movement of goods under Chapter 71 (except HSN 7117) are advised that EWB generation is not required. However, it may be noted that for the intrastate movement of such goods within the state of Kerala, the generation of an EWB has been mandated vide Notification No.10/24-State Tax dated 27/12/24 issued by the state of Kerala. An advisory dated 27.01.2025 has already been issued in this regard.
Industry stakeholders are requested to take note of this clarification and ensure compliance with the applicable regulatory provisions.
For any further clarifications, stakeholders may contact the GST Helpdesk or approach their respective jurisdictional tax authorities.
Date: 06/02/2025
Thank You,
Team GSTN