Last updated: 10 June 2026. Two changes to the e-way bill (EWB) portal go live on 1 August 2026, both announced in the GSTN advisory dated 20 May 2026. (They were originally due on 15 June 2026; GSTN deferred the go-live to 1 August in a News & Updates notice dated 9 June 2026.) First, the Ship-To GSTIN field becomes mandatory whenever you generate an e-way bill for a Bill-To/Ship-To transaction — without it, the portal will not generate the e-way bill. Second, a new voluntary closure facility lets you mark an e-way bill as delivered once the goods reach the destination. Here is what each change means, who it affects, and what to check before the date.
Applicability Note: This guide reflects the GSTN advisory dated 20 May 2026 (go-live deferred to 1 August 2026 per the GSTN News & Updates notice dated 9 June 2026) and GST provisions applicable as of 10 June 2026. The portal is the authoritative source, and the go-live date and behaviour can change through further GSTN advisories. Always verify the current position on gst.gov.in or the e-way bill portal before generating or closing an e-way bill.
Who Should Care?
This guide applies to:
- Anyone who generates e-way bills for Bill-To/Ship-To deliveries — manufacturers, traders, and distributors whose buyer's billing address differs from the actual delivery site
- Businesses with multiple branches or warehouses — where a head office places the order but stock ships to a different GSTIN or location
- Transporters and logistics teams — who generate Part-B details and can now also close the e-way bill after delivery
- Accountants and ERP/billing software users — who need their masters and API integrations ready before 1 August 2026
1. What Is Changing, and When
GSTN issued an advisory dated 20 May 2026 announcing enhancements to the e-way bill system aimed at better data accuracy and shipment traceability. There are two distinct changes. They were originally due to take effect on 15 June 2026, but GSTN later deferred the go-live to 1 August 2026 (News & Updates notice dated 9 June 2026) after representations from trade and industry seeking more time for system, API/ERP and master-data readiness:
- The Ship-To GSTIN field becomes mandatory for Bill-To/Ship-To transactions.
- A voluntary e-way bill closure facility is introduced so that delivery can be recorded on the portal.
The updated APIs were released in the NIC sandbox environment ahead of go-live so that ERP and billing-software vendors could test integrations, with production deployment scheduled for 1 August 2026. The underlying e-way bill rules are not changing — an e-way bill is still required for the movement of goods where the consignment value exceeds ₹50,000 under Rule 138 (subject to state thresholds and the usual exemptions). What changes is one mandatory field and one new option after delivery. For the broader mechanics of generation, validity, and exemptions, see our 2026 e-way bill guide.
2. Mandatory Ship-To GSTIN in Bill-To/Ship-To Transactions
A Bill-To/Ship-To transaction is one where the party that places the order and receives the invoice is different from the party that physically receives the goods. A common example: a company's head office in Delhi places the order and gets the invoice (Bill-To), but the goods are delivered straight to its warehouse in Surat (Ship-To). The two locations often have different GSTINs.
Until now, the Ship-To GSTIN could be left blank in some scenarios. From 1 August 2026, the portal will not let you generate the e-way bill for a Bill-To/Ship-To transaction unless the Ship-To GSTIN is filled in. It cannot be skipped.
What to enter when the delivery site is unregistered
If the goods are shipped to an unregistered location, an end consumer, or a site that does not have its own GSTIN, you enter "URP" (Unregistered Person). The portal accepts URP as a valid entry, so an unregistered delivery point is not a reason you will be blocked — you just have to declare it as URP rather than leave the field empty.
Why this matters: the Section 129 risk
This is more than a form-filling change. The Ship-To GSTIN you declare should match the recipient and delivery details on the underlying invoice. A mismatch between the e-way bill and the invoice is exactly the kind of discrepancy that can lead to goods being detained under Section 129 of the CGST Act during transit.
Section 129 penalties: where the owner of the goods comes forward, the penalty is 200% of the tax payable on those goods (Section 129(1)(a)). Where the owner does not come forward, it is the higher of 50% of the value of the goods or 200% of the tax payable (Section 129(1)(b)). For exempt goods, lesser amounts apply. These figures reflect Section 129 as amended by the Finance Act 2021, effective 1 January 2022.
So the practical point is to get the Ship-To GSTIN right, not just filled in. Picking the wrong GSTIN, or defaulting to the Bill-To GSTIN out of habit, can create the very mismatch that invites a detention notice.
3. The New Voluntary E-Way Bill Closure Facility
The second change is an option, not an obligation. Once goods have actually been delivered, the e-way bill can now be closed on the portal to record that the movement is complete. This gives a clean digital record of "goods delivered" instead of leaving e-way bills open until they simply expire.
Who can close an e-way bill
Any party to the movement can do it: the supplier, the recipient, the transporter, or the driver / authorised representative. Whoever is best placed to confirm delivery can record it.
The closure window
Per the advisory, closure can be done on the same day of delivery or the immediately succeeding day. It is a short window tied to actual delivery, so closure is meant to be done promptly rather than days later.
How to close it
- Portal: on the e-way bill portal, by e-way bill number or by date.
- Mobile: an OTP-based facility that does not require a login.
- API: for businesses whose logistics or ERP systems are integrated with the e-way bill APIs.
It is voluntary — for now. There is no penalty today for not closing an e-way bill, and not using the facility does not affect the validity of an e-way bill that was generated correctly. Think of it as a traceability and record-keeping improvement rather than a new compliance burden.
4. What to Do Before 1 August 2026
- Map your Bill-To/Ship-To flows. Identify every customer or branch where the billing GSTIN and the delivery location differ, and confirm you hold the correct Ship-To GSTIN for each.
- Update your billing/ERP masters. Make sure the Ship-To GSTIN field is captured and passed through to the e-way bill, so generation does not fail from 1 August.
- Brief your dispatch and accounts teams. The Ship-To GSTIN must match the invoice. Where the site is unregistered, use URP.
- Test API integrations. If you generate e-way bills through software, confirm your vendor has picked up the sandbox changes before production go-live.
- Decide your closure policy. Closure is optional, but agreeing now who closes the e-way bill (you, the transporter, or the recipient) keeps your records clean from day one.
If e-way bills are a regular part of your operations, it is worth a quick internal check this week — ask our GST experts if you are unsure how a specific flow should be reported.
Key Takeaways
- From 1 August 2026 (deferred from 15 June), the Ship-To GSTIN is mandatory on Bill-To/Ship-To e-way bills — the portal will not generate the EWB without it (GSTN advisory dated 20 May 2026).
- Where the delivery site is unregistered, enter "URP" — an unregistered location does not block generation.
- The Ship-To GSTIN must match the invoice; a mismatch can trigger detention under Section 129 (200% of tax where the owner comes forward; higher if not).
- A new voluntary closure facility lets the supplier, recipient, transporter, or driver record delivery — same day or the next day — via portal, mobile (OTP, no login), or API.
- Closure is optional with no penalty for now; the base ₹50,000 e-way bill threshold and other rules are unchanged.
Frequently Asked Questions
When does the Ship-To GSTIN become mandatory on e-way bills?
From 1 August 2026, per the GSTN advisory dated 20 May 2026 (the go-live was deferred from 15 June to 1 August 2026). From that date the e-way bill portal will not generate an e-way bill for a Bill-To/Ship-To transaction unless the Ship-To GSTIN field is filled in.
What do I enter in Ship-To GSTIN if the recipient is unregistered?
Enter "URP" (Unregistered Person). The portal accepts URP as a valid entry, so a delivery to an unregistered site or end consumer does not stop you from generating the e-way bill — you just declare it as URP rather than leaving the field blank.
Is the e-way bill closure facility mandatory?
No. Closure is voluntary, and there is no penalty for not using it. It is a way to record on the portal that goods have been delivered. Per the advisory, it can be done on the same day of delivery or the immediately succeeding day, through the portal, a mobile OTP facility, or API.
Who is allowed to close an e-way bill?
Any party to the movement — the supplier, recipient, transporter, or the driver/authorised representative. Whoever can confirm delivery may record it within the allowed window.
What happens if the Ship-To GSTIN does not match the invoice?
A mismatch between the e-way bill and the invoice can lead to the goods being detained under Section 129 of the CGST Act in transit. Where the owner comes forward, the penalty is 200% of the tax payable on the goods; where the owner does not come forward, it is the higher of 50% of the value of the goods or 200% of the tax payable. Getting the Ship-To GSTIN right — not just filling it in — is what avoids this.
Disclaimer: This article is for informational purposes only and does not constitute professional tax advice. GST rules are subject to frequent changes through notifications and circulars. Please consult a qualified tax professional or verify the current provisions on the official GST portal (gst.gov.in) before making any compliance decisions.
Need help getting your Bill-To/Ship-To e-way bills ready for 1 August? Our GST experts can help → gstconsultancy.com