The Kerala GST Department has issued the instructions on implementation of e-way bill for movement of gold and precious stones.

As per the notification issued by the Commissioner of State Tax vide reference cited, generation of e-way bill has been made mandatory for intra-state movement of goods, specified at serial numbers 4 and 5 (gold and precious stones) of the Annexure appended to sub-rule (14) of rule 138 with effect from 20th January 2025, if the value of the consignment is Rs. 10 lakhs and above.

Subsequent to the issuance of the notification, various doubts have been raised by the trade communities on the implementation of the provisions of the notification. In order to clarify the issue and to facilitate hassle-free movement of goods, the instructions and guidelines are issued.

Every registered person who causes the intra-state movement of gold and precious stones is required to generate e-way bills in Form GST EWB-01 before the commencement of such movement if the consignment value of the goods is Rs. 10 lakhs and above.

To calculate the £10 lakh threshold for e-way bill

generation, consider the value of goods inclusive of tax, if the movement is in relation to a taxable supply.

For generating an e-way bill in this regard, taxpayers are required to furnish the details in Part A of FORM GST EWB-01. Furnishing of information in Part B (transportation details) are not required.

E-way bills must be generated even when transportation is by a non-motorised conveyance.

The generation of e-way bills is mandatory in the event of supply, non-supply, or supply from an unregistered person vi. If the movement of above mentioned goods is initiated by a registered person, generation of e way bill is mandatory.

However, in the cases o f over-the-counter B2C transactions, where the movement of goods ends at the point of sale itself and the title is transferred to an unregistered person (customer), generation of e waybill is not required.

In cases where the movement is caused by a registered person for reasons other than supply such as job work, hallmarking etc, an e-way bill shall be generated at the time of commencement of the movement accompanied by a Delivery Challan.

Subsequent to the initial movement, if the goods are entrusted for hallmarking, job work, polishing etc. to various entities/service providers, each transaction shall be supported by proper documents. 

At every stage, the person in possession of the goods must maintain records showing the quantities held, quantities entrusted for job work/hallmarking etc., and the balance in hand. Thes records must be made available to tax authorities for verification upon request.

In cases where the supply is made at places other than the registered business place of the taxpayer for a temporary period like an exhibition, exchange mela, or the like, or who employs a travelling salesman or representative for display cum sale purpose, the e-way bill shall be generated at the commencement of the movement for the said purpose accompanied by registration certificate also. On the occasion of such activities, they must maintain accurate records, including a stock register showing daily quantities held, disposed of, and balance in hand, as well as true and correct accounts of the transactions made.

These records must be made available to the tax authorities for verification as and when required.

Trade Circular Details

Trade Circular No. 1/2025-Kerala GST

Date: 28-01-2025

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