Seller Must Download E-Way Bill Once Goods Are In Transit : Allahabad High Court

The Allahabad High Court upheld the demand for tax and penalty imposed upon a dealer for selling 400 bags of Arecanut without an e-way bill.

The court ruled that an e-way bill must be downloaded once goods are in transit; subsequent downloading would not absolve liability under the State Goods & Service Tax Act.

The court concluded that there was an intention to evade the tax, as the goods were misclassified and taxed at 5% instead of 18%. 

Citing M/S Akhilesh Traders vs State Of U.P , it held that transporting goods without proper documents raises a presumption of tax evasion, and dismissed the petition.