# Delivery Challan

A Delivery Challan is a movement document that accompanies goods in transit — for an outward dispatch to a customer or an inward movement from a supplier — without being a tax invoice. Use it to document what is being moved, generate an e-Way Bill, and attach transportation details. A Delivery Challan does not post to stock or accounts on its own.

On this page

Getting started
Overview & List View Quick Start
Form reference
Header Fields Item Lines e-Way Bill Generation Transportation Details
More
Actions & Status Posting Behavior Master Update View Tabs & Widgets Best Practices FAQ Related Topics

Overview & List View

The Delivery Challans list shows every challan with its id, number, consignee, date, supply type, shipping center, amount, whether an e-Way Bill was generated, and status. Use the quick filter tabs to switch between views, and Advanced Filters to narrow the list. From the list you can create a new challan, open an existing one, edit a draft, or delete a draft. List columns | **Column** | **Shows** | |------------|-----------| | Id | Challan reference number. | | Number # | Delivery challan number. | | Consignee | Customer (outward) or supplier (inward) the goods are moving to or from. | | Date | Challan date and time. | | Supply Type | Outward or Inward. | | Shipping Center | Center the goods move from. | | Amount | Total value of the goods on the challan. | | e way | Whether an e-Way Bill has been generated. | | Status | Current status of the challan. | Quick filter tabs | **Tab** | **Shows** | |---------|-----------| | Default | All challans except cancelled ones. | | Approved | Challans that have been approved. | | Draft | Challans saved but not yet approved. | | Cancelled | Challans that have been cancelled. | Advanced Filters Id, Bill No, Customer, Supplier, Supply Type, Employee, Branch, Brand, Item, Center, Status, Date, and Created date. List row actions | **Action** | **Available when status is** | |------------|------------------------------| | Edit | Draft | | Delete | Draft | | View | All statuses |

Quick Start — Create a Delivery Challan

1. Navigate

Go to Inventory → Delivery Challans from the left menu.

2. Create new challan

Click New to open the challan entry screen. A challan can also be created from a Delivery Note, an Inventory Transfer, a WIP transfer, or an approved Purchase Invoice (as an inward challan).

3. Fill in details

4. Save

5. Generate the e-Way Bill

After approval, add transportation details and use Generate EWayBill where an e-Way Bill is required for the movement. See e-Way Bill Generation for the supply type, transaction type, and party-block fields.

Header Fields Reference

| **Field** | **Description** | |-----------|-----------------| | Consignee (Customer) | Customer receiving the goods. Shown and required for outward supply. | | Supplier | Supplier the goods are moving from. Shown and required for inward supply. | | Delivery Challan No | Challan number. Auto-generated when numbering is configured. | | Shipping center * | Center the goods move from. Required. | | Billing Address / Shipping Address | Auto-filled from the selected consignee or consignor. | > A Delivery Challan uses the same form type as a sale document, so layout, numbering, and tax columns follow your sale type configuration. Transportation details and the e-Way Bill are added after the challan is approved.

Item Lines

| **Column** | **Description** | |------------|-----------------| | Item | Saleable item being moved. Required. | | Qty | Quantity being moved. | | Unit | Unit of measure. Defaults from the item. | | Rate / Amount / Taxes | Value and tax columns, based on the sale type and tax configuration. |

Actions & Status

View toolbar actions

| **Action** | **Description** | **Available when status is** | |------------|-----------------|------------------------------| | Approve | Finalizes the challan. Hidden when a multi-level approval template applies. | Draft | | Edit | Opens the challan for editing. | Draft | | Delete | Permanently removes the challan. | Draft | | Clone | Creates a copy of the challan. | All (if permitted) | | Print | Prints the challan. | All | | Export | Exports the challan to a spreadsheet. | All |

More menu (⋮) actions

| **Action** | **Description** | **Available when status is** | |------------|-----------------|------------------------------| | Add Transportation | Adds or edits transporter and vehicle details. Hidden once an e-Way Bill is generated. See Transportation Details. | Approved, Closed | | Generate EWayBill | Generates the e-Way Bill for the movement. Hidden once generated. See e-Way Bill Generation. | Approved, Closed | | Cancel EWayBill | Cancels the generated e-Way Bill. Shown only when one exists. | Approved, Closed, Cancelled | | Cancel | Cancels the challan. | Approved | | Add/Update Note | Adds or edits a note on the challan. | All | | Master Update | Updates selected header fields without reopening the full form. See Master Update. | Approved, Closed |

Statuses

| **Status** | **Description** | |------------|-----------------| | Draft | Saved but not yet approved. Can be edited or deleted. | | Approved | Finalized. Transportation details and an e-Way Bill can be added. | | Closed | Challan is closed — typically once linked downstream documents are processed. | | Lost | Challan marked as lost. | | Cancelled | Challan has been cancelled. | | Multi Level Approval | Awaiting the multi-level approval workflow. |

e-Way Bill Generation

An e-Way Bill (EWB) is the movement permit required under GST when goods above the threshold value are transported. On an approved challan, open the three-dot menu (⋮) and choose Generate EWayBill. Add transportation details first so the vehicle and transporter information is complete. The generation form is organised into a transaction block and four party blocks — Bill From, Dispatch From, Bill To, and Ship To. Most fields are pre-filled from the challan. For an Outward challan the consignor (Bill From / Dispatch From) is your company and shipping center, and the consignee (Bill To / Ship To) is the customer. For an Inward challan the roles are reversed — the supplier is the consignor and your company is the consignee.

Supply Type & Sub Supply Type

Supply Type is the direction of the goods movement. | **Supply Type** | **Meaning** | |-----------------|-------------| | Outward | Goods are leaving your premises — a dispatch to a customer, branch, or job worker. | | Inward | Goods are being received — for example a purchase return or goods coming from a supplier. | Sub Supply Type classifies the reason for the movement. It refines what the outward/inward movement actually represents and is reported on the e-Way Bill. | **Sub Supply Type** | **When to use** | |---------------------|-----------------| | Supply | A normal taxable supply of goods. | | Line Sales | Goods sent for line/route sales (default for an outward challan). | | Exhibition or fairs | Goods moved to an exhibition or trade fair. | | For Own Use | Goods moved for the company's own use, not for sale. | | SKD/CKD/Lots | Semi-knocked-down / completely-knocked-down consignments moved in lots. | | Export | Goods moved for export. | | Recipient Not Known | The final recipient is not yet known at dispatch. | | Job Work | Goods sent to or returned from a job worker. | | Import | Goods moved as an import. | | Job work returns | Goods returned from or to a job worker. | | Sales return | Goods returned against a sale. | | Others | Any other reason — a Sub Supply Description is then required. For a purchase debit note this defaults to Purchase Return. | > When Sub Supply Type is Others, the Sub Supply Description field appears and must be filled before the e-Way Bill can be generated.

Document Type

The kind of document backing the movement, reported to the portal. The shared confirm form lists the full portal set. | **Document Type** | **Meaning** | |-------------------|-------------| | Tax Invoice | Movement backed by a tax invoice. | | Bill of Supply | Movement backed by a bill of supply (exempt/composition goods). | | Bill of Entry | Movement backed by a bill of entry (imports). | | Delivery Challan | Movement backed by a delivery challan (the usual choice here). | | Credit Note | Movement backed by a credit note. | | Debit Note | Movement backed by a debit note — used on a Purchase Debit Note. | | Others | Any other supporting document. |

Transaction Type

The Transaction Type tells the portal whether the party being billed and the party receiving the goods are the same, and whether the goods dispatch and the billing address are the same. It decides which of the four party blocks must carry distinct details. Under GST this is driven by comparing the Bill-From state with the Dispatch-From state, and the Bill-To state with the Ship-To state. | **Transaction Type** | **Meaning** | **When it applies** | **State condition** | |----------------------|-------------|---------------------|---------------------| | Regular (1) | Bill-From and Dispatch-From are the same party/place, and Bill-To and Ship-To are the same party/place. A single seller and a single buyer. | No separate Dispatch-From or Ship-To details are provided. | Bill-From state = Dispatch-From state, and Bill-To state = Ship-To state. | | Bill To - Ship To (2) | The party billed (Bill-To) is different from the party the goods are shipped to (Ship-To). Dispatch side is unchanged. Common when a customer asks you to deliver to a third party or another of their sites. | Only Ship-To details are provided. | Bill-From state = Dispatch-From state, but Bill-To state ≠ Ship-To state. | | Bill From - Dispatch From (3) | The party billing you (Bill-From) is different from the place the goods are actually dispatched from (Dispatch-From). Buyer side is unchanged. Common when a seller invoices from a head office but ships from another warehouse/state. | Only Dispatch-From details are provided. | Bill-From state ≠ Dispatch-From state, but Bill-To state = Ship-To state. | | Combination of 2 and 3 (4) | Both the dispatch side and the delivery side differ — Bill-From ≠ Dispatch-From and Bill-To ≠ Ship-To. | Both Dispatch-From and Ship-To details are provided. | Bill-From state ≠ Dispatch-From state, and Bill-To state ≠ Ship-To state. | > The codes and names above match the NIC master codes (1 Regular, 2 Bill To - Ship To, 3 Bill From - Dispatch From, 4 Combination of 2 and 3). As per NIC rules, in a Bill To - Ship To movement the GSTIN, trade name, and state go with the Bill To party while the address, PIN, and actual state go with the Ship To party. > Choose the transaction type deliberately. For Bill To - Ship To (2) and Combination (4), the Ship To GSTIN becomes mandatory (see below), because the goods are delivered to a party different from the one being billed.

Consignor — Bill From & Dispatch From

The consignor is the sender. Bill From identifies who is billing; Dispatch From is the actual physical location the goods leave. In a Regular transaction these describe the same place. | **Field** | **Block** | **Description** | |-----------|-----------|-----------------| | Name | Bill From | Legal name of the consignor (your company for outward, the supplier for inward). | | GSTIN | Bill From | GSTIN of the consignor. | | State | Bill From | State under which the consignor is registered (the Bill-From state). | | Address Line 1 / Line 2 | Dispatch From | Physical address the goods are dispatched from. | | Country | Dispatch From | Country of dispatch. | | State / Province | Dispatch From | Actual state the goods move from (the Dispatch-From state). Differs from the Bill-From state in transaction types 3 and 4. | | District / Region | Dispatch From | District of the dispatch location. | | Area | Dispatch From | Area/locality of the dispatch location. | | Pincode | Dispatch From | PIN code of the dispatch location. |

Consignee — Bill To & Ship To

The consignee is the receiver. Bill To identifies who is billed; Ship To is the actual delivery location. In a Regular transaction these describe the same party. | **Field** | **Block** | **Description** | |-----------|-----------|-----------------| | Name | Bill To | Legal name of the party being billed (the customer for outward, your company for inward). | | GSTIN | Bill To | GSTIN of the Bill-To party. Defaults to URP (Unregistered Person) if not available. | | State | Bill To | State of supply — the Bill-To state. | | Address Line 1 / Line 2 | Ship To | Physical address the goods are delivered to. | | Country | Ship To | Country of delivery. | | State / Province | Ship To | Actual state the goods are delivered to (the Ship-To state). Differs from the Bill-To state in transaction types 2 and 4. | | District / Region | Ship To | District of the delivery location. | | Area | Ship To | Area/locality of the delivery location. | | Pincode | Ship To | PIN code of the delivery location. | | Ship To GSTIN | Ship To | GSTIN of the party actually receiving the goods. See the rules below. | | Ship To Trade Name | Ship To | Trade name of the Ship-To party. Optional. |

Ship To GSTIN & Trade Name

To meet the GSTN/NIC requirement effective 1 August 2026, the Ship-To party's GSTIN is captured separately from the Bill-To party's GSTIN. > For Regular (1) and Bill From / Dispatch From (3) transactions the Ship-To party is the same as the Bill-To party, so a distinct Ship To GSTIN is not required; the system sends URP when none is provided.

Transportation Details

Add transportation details before generating the e-Way Bill using Add Transportation from the three-dot menu (⋮). An e-Way Bill needs either Part A (transporter) or Part B (vehicle) — Part B completes the bill for movement.

Transport Details

| **Field** | **Description** | |-----------|-----------------| | Transportation mode | How the goods move — Road (1), Rail (2), Air (3), or Ship (4). | | Distance | Approximate distance of the movement in kilometres. The portal caps this at 4000 km. |

Part A (transporter)

Use Part A when a third-party transporter carries the goods and the vehicle is not yet known. | **Field** | **Description** | |-----------|-----------------| | Transporter Id | Transporter's GST/enrolment id used to hand the movement to the transporter. | | Transporter Name | Name of the transporter. | | Transporter GSTN | GSTIN of the transporter. | | Transporter Doc No | Transport document (LR/RR/airway bill) number. | | Transporter Doc Date | Date of the transport document. |

Part B (vehicle)

Use Part B when you know the vehicle carrying the goods. Completing Part B marks the e-Way Bill ready for movement. | **Field** | **Description** | |-----------|-----------------| | Vehicle No | Registration number of the vehicle. | | Vehicle Type | Regular or ODC (Over-Dimensional Cargo). | > Only one transportation record is allowed per challan. To change transporter or vehicle details, edit the existing record rather than adding a new one.

Posting Behavior

A Delivery Challan is a movement and documentation record. It does not post to inventory or to your accounts — no stock is moved and no journal is created when it is approved. Stock movement is handled by the source document (for example a Delivery Note or Inventory Transfer), and billing is handled by the related sale invoice. The challan only documents what is in transit and supports e-Way Bill generation.

Master Update

Master Update lets you change selected header fields on an approved challan without editing the full document or item lines. Open the three-dot menu on the challan and select Master Update. | **Field** | **Can be updated?** | **Notes** | |-----------|---------------------|-----------| | Date * | Yes | Cannot be set before the accounts closing date. | | Consignee, shipping center, item lines | No | Edit the draft, or cancel and create a new challan. | Click Confirm to save changes or Cancel to close without saving.

View Tabs & Side Panels

When you open a challan in full view, the right side shows tabbed panels. Click the expand icon on a tab to open the same data in a larger modal.

Top panel

| **Tab** | **What it shows** | |---------|-------------------| | Summary | Documents linked to this challan, such as the source delivery note or transfer. |

Bottom panel

| **Tab** | **What it shows** | |---------|-------------------| | History | Activity log — who created, approved, edited, or cancelled the challan and when. | | Attachments | Files uploaded to this challan. |

Best Practices

FAQ

Does approving a delivery challan move stock?
No. A Delivery Challan documents goods in transit. Stock is moved by the source delivery note or inventory transfer, not by the challan. What is the difference between a Delivery Challan and a Delivery Note?
A Delivery Note records the actual goods leaving stock. A Delivery Challan is the transit document that accompanies the goods and supports e-Way Bill generation. When can I generate the e-Way Bill?
Generate the e-Way Bill after the challan is approved and transportation details are added. Can I create a challan for an inward movement?
Yes. Set the supply direction to Inward and select the supplier the goods are coming from. You can also open an approved Purchase Invoice and use Create Delivery Challan from its more menu (⋮) to start an inward challan with the supplier and item lines pre-filled. Why can't I add a second transportation record?
Only one transportation detail block is allowed per delivery challan. Edit the existing record instead of adding another. Why does e-Way Bill cancel fail?
An e-Way Bill must already be generated for the challan before you can cancel it from the system. Can I create a challan without a delivery note?
Yes, when created from an Inventory Transfer or as a standalone transit document — stock still moves on the source DN or transfer, not on the challan. Which header fields can I change with Master Update?
Date, Employee In charge, Branch, and Project on approved challans. Transportation and line details require cancel and recreate if wrong. Related documentation