GSTN puts proposed e-way bill changes on hold after industry feedback

The Goods and Services Tax Network (GSTN) has put on hold two proposed enhancements to the e-way bill system that were scheduled to come into effect from August 1, following feedback from industry over implementation challenges, PTI reported.

In an advisory, GSTN said its earlier advisories dated June 9 and June 17 on the proposed changes have been withdrawn for now.

"The earlier Advisories dated 09th June 2026 and 17th June 2026, regarding certain proposed enhancements to the e-Way Bill system, with the scheduled date of implementation as 1st August 2026, have been put on hold until further notice," GSTN said.


The proposed changes included mandatory capture of the 'Ship-To GSTIN' in Bill-to-Ship-to transactions to improve identification of the actual recipient of goods and strengthen traceability. GSTN had also proposed a 'voluntary closure' facility that would have allowed taxpayers to close an active e-way bill in cases where the movement of goods did not eventually take place. The changes also involved corresponding API updates for ERP and e-invoicing integrations.

According to PTI, tax experts said the decision followed industry representations highlighting practical difficulties in implementing the new requirements.

EY India Tax Partner Saurabh Agarwal said many businesses encountered challenges while testing the proposed changes.

"During testing, many businesses found that the proposed Ship To GSTIN requirement and the voluntary e-Way Bill closure facility were difficult to implement alongside the existing e-invoicing and IRN-based e-Way Bill system, especially in sectors with complex supply chains such as auto components, EPC and e-commerce," Agarwal said.

He added that GSTN's move to withdraw the advisories instead of merely extending the implementation timeline suggests the government is re-evaluating the proposals.

"GSTN's decision to withdraw the advisories and FAQs, instead of merely extending the implementation timeline, appears to be a response to the industry's representations and practical implementation concerns. Indicates that the government is reconsidering the design of these changes based on industry feedback rather than simply postponing them," PTI quoted Agarwal as saying.

He also said companies should retain the testing work already undertaken, as efforts to improve traceability of goods movement are likely to continue in a revised form.

AMRG Global Managing Partner Rajat Mohan said the deferment would help businesses avoid disruptions while giving stakeholders more time to prepare.

"Keeping the implementation on hold avoids disruption to business operations and allows the existing e-Way Bill ecosystem to continue until a revised implementation roadmap is announced," Mohan said.

Under the GST regime, an e-way bill is mandatory for transporting goods valued above Rs 50,000. It is generated through the GST portal by a registered taxpayer or transporter before goods are moved.

The e-way bill system was introduced after the rollout of GST on July 1, 2017, replacing physical check posts at state borders with a digital mechanism to track the movement of goods while facilitating smoother interstate trade.