EWB clerical error but SCN received transporter

[MUTHUKUMARAN K]

i am transporter FY 2021-22 Importer raised EWB against Bill of Entry but wrongly mention transporter name instesed of supplier name. now we got notice from state government Commercial tax office. Importer paid duty and IGST all of them. now we got notice in Section 61,73 and 50 of the CGST/TNGST Act 2017. we clearely explain but they raised SCN and order issued. how to make a complaint .

with regards

K.Muthu Kumaran

9500098134

[Sadanand Bulbule]

The error is purely clerical in nature. The goods were duly accounted for in books of accounts and corresponding tax liability was discharged at the time of import. There is no evasion or short payment of tax involved.

CBIC Circular No. 64/38/2018-GST dated 14.09.2018 (para 5) clarifies that minor errors in E-Way Bill, which do not indicate any intention to evade tax, should be treated leniently and not attract penalty under Section 129 of the CGST Act. Therefore the authorities do not have jurisdiction to fasten tax lability based on E-way bill errors, if there is no mismatch with books of account.

E-way bill is designed to capture the details of transaction on Real time basis and it loses its significance once the goods are delivered to the consignee. In fact, tax invoice is the backbone of the transaction/supply and not the E-way bill per se.

[Shilpi Jain]

You need to file an appeal which will also require you to pay a pre-deposit.

If the amount involved is huge you can also consider filing a writ before High Court assuming you have submitted sufficient documentary evidence at the time of reply to SCN and those have not been considered by the adjudicating authority.

[Sadanand Bulbule]

Alternatively you may convince the adjudicating authority to invoke Section 161 to rectify the errors. 

AI Summary

Clerical error in e way bill may be rectified or challenged by appeal with pre deposit or rectification application. Transporter named in the e way bill instead of supplier was a clerical error; importer discharged duty and integrated tax and accounting records correspond. Minor e way bill inaccuracies should be treated leniently and do not automatically attract additional tax or penalty if there is no mismatch with books. Adverse orders may be challenged by appeal with requisite pre deposit or by judicial review, or the adjudicating authority may be asked to rectify the record using the statutory rectification procedure.