The GST Network (GSTN) said on 05 June 2020 that an average of 14.26 lakh e-way bills were generated each day in June. The above number is 77% of the average number of e-way bills generated per day during the pre-lockdown months.
The e-way bills are required for the transportation of goods valued at over ₹50,000. The businesses and transporters have generated around 4.27 crore e-way bills, which were valued at over ₹12.40 lakh crore during June 2020. This number is higher than the four crore e-way bills worth ₹11.43 lakh crore generated in March 2020. The GSTN stated that the economic activity has risen and it showed a gradual lifting in business from the lockdown.
During April and May 2020, 86.09 lakh (valued ₹3.90 lakh crore) and 2.54 crore (valued ₹8.98 lakh crore) e-way bills were generated, respectively. In comparison, in February and January 2020, 5.63 crore (valued ₹15.39 lakh crore) and 5.61 crore (valued ₹15.71 lakh crore) e-way bills were generated, respectively, on the e-way bill portal.
As per the e-way bill generation data of three months, an average of 18.49 lakh e-way bills was generated per day during 25 January 2020 and 24 March 2020. A nationwide lockdown to control the spread of coronavirus was imposed on 25 March 2020. The e-way bill number drastically came down to 1.72 lakh per day during Lockdown Phase-1 and to 3.51 lakh per day and 6.75 lakh per day in Lockdown Phase-2 and Phase- 3, respectively. In Lockdown Phase-4, it was at 9.84 lakh per day, and in Unlock 1.0 in June 2020, the number rose to 14.26 lakh per day.
The GSTN said that it is evident from the month-on-month comparison of the generation of e-ways bills, in terms of both the numbers and value that economic activities are on the rise and on the way to recovery.
The GSTN also states that amidst Unlock 2.0, it is expected that the cargo movement will further accelerate along with other indicators is a healthy sign of an early economic recovery and stability. The data proves that the Indian Economy is gathering pace with the movement of goods and rebounding close to pre-lockdown levels as well the GST collections rising sharply.
This increase in e-way bill generation will increase the indirect tax revenues, and it may show the same in GST collections for the respective month. It is to be noted that the GST collection in June 2020 increased to ₹90,917 crore from ₹62,009 crore in May 2020 and ₹32,294 crore in April 2020.
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DVSR Anjaneyulu known as AJ, is a Chartered Accountant by profession. Loves to listening to music & spending time with family and friends.