Job Work Under GST
Job Work Under GST • 2(68) CGST Act - 'any treatment or process undertaken by a person on goods belonging to another registered person'. • Sec 143 – job work procedures • NO GST for movement of goods on job work – Delivery challan to be used for movement. • Inputs – One year – If not returned to pay tax with interest. • Capital goods – 3 years. If not returned to pay tax with interest. Commissioner has power to extend the time on case-to-case basis on request. • Clearance from job worker place is permissible – provided they must be registered under GST, or it should be registered as additional place of business for the principal. • Proper records to be maintained by both job worker and principal. • Scrap generated in job worker place can be disposed if job worker is registered under GST or by the principal. • Job work can be accepted on imports on payment of duty for the imported goods. • Job work is also possible for exports with proper documents. • ITC