Historically, e-way bills were not required for transporting gold across states or within a state, regardless of its value. This changed on September 12, 2022, when the National Informatics Centre (NIC) updated rules for generating e-way bills for gold and other precious stones classified under HSN Chapter 71. In 2023, the GST Council further advised that Part-A of the e-way bill should be mandatory for intra-state movement of gold and precious stones if the consignment value exceeds ₹2 lakh, or any other limit specified by individual states or Union Territories. This recommendation was enacted on August 4, 2023, through CGST Rule 138F. This article will explore the e-way bill requirements for these valuable commodities and highlight key updates from the 50th GST Council meeting.

Latest Updates on E-Way Bill for Gold

February 6, 2025

According to Rule 138(14) of the CGST Rules, 2017, goods categorized under Chapter 71 are generally exempt from mandatory e-Way Bill (EWB) generation. Although the National Informatics Centre (NIC) previously offered voluntary EWB generation for these items, this feature has since been removed. Nevertheless, in Kerala, an EWB is compulsory for intra-state movement, as stipulated by Notification No.10/24-State Tax dated 27/12/24.

January 27, 2025

Kerala recently implemented a new procedure for generating e-Way Bills for intra-state movement of gold (Chapter 71), specifically excluding imitation jewelry (HSN 7117). For imitation jewelry (HSN 7117), taxpayers can still use the standard e-Way Bill generation method. This particular update is limited to movements occurring within Kerala state.

e-Way Bill Mandate for Gold and Precious Stone Transport

Adhering to the GST Council's directives, e-way bills are now compulsory for both inter-state and intra-state transportation of gold and other valuable stones. The functionalities for e-way bills pertaining to gold movement have undergone specific adjustments, such as:

• The Part-B section of the e-way bill, which typically contains transporter and vehicle specifics, cannot be altered by default.
• There is no facility to modify transporter details.
• The option to create a consolidated e-way bill, which combines several consignments under one bill, is unavailable.
• E-way bill validity extensions are allowed without needing to modify Part-B details.
• It is not possible to assign multiple vehicles to a single e-way bill.

Despite these changes, the procedures for canceling and rejecting e-way bills for gold and precious stones remain consistent.

Required Details for Generating Gold E-Way Bills

The process for generating an e-way bill for gold mirrors that of other commodities. However, for security, taxpayers should avoid entering Part-B vehicle or transporter information. The essential information required for creating an e-way bill includes:

• The GSTIN of the supplier shipping the gold or precious stones within the state.
• The GSTIN of the receiver to whom these valuable items are being sent within the state.
• The full addresses of both the supplier and recipient, including city, state, and PIN code.
• The distinct identification number of the invoice associated with the gold or precious stones consignment.
• The issuance date of the invoice for the gold or precious stones.
• The overall monetary value of the gold or precious stones being transported.
• The Harmonized System of Nomenclature (HSN) code, which for gold and precious stones falls under Chapter 71.

Furthermore, consistent with standard e-way bill procedures, validity is determined by the direct distance between the origin and destination PIN codes.

Intra-State E-Way Bill Requirements for Gold and Precious Stones

During its 50th meeting on July 11, 2023, the GST Council decided to implement Rule 138F into both the CGST Rules, 2017, and the State SGST Rules, 2017. This rule was officially gazetted on August 4, 2023, via CGST Notification 38/2023. It mandates the generation of an e-way bill for the intra-state movement of gold and precious stones covered under Chapter 71. To allow for state-specific adaptations, the council proposed that individual state governments should have the authority to establish their own particular rules and threshold limits. As per this notification, any individual transporting gold and precious metals worth ₹2 lakhs or more within a state will need to generate an e-way bill, provided the respective state or Union Territory GST laws mandate it. This requirement applies whether the movement is for supply, sale, or other purposes. Additionally, if a GST-registered individual receives gold or precious stones exceeding the specified consignment value from an unregistered person, they must also furnish or generate Part-A of the e-way bill. The primary goal of this regulation is to enhance transparency and support governments in overseeing the transportation of high-value goods, thereby assisting in the prevention of tax evasion.