JOB WORK PROCEDURES
By: – CA.VINOD CHAURASIA
Goods and Services Tax – GST
Dated:- 5-9-2017<\/p>\n
JOB WORK PROCEDURES
\nIntroduction: This article discusses in detail about Job work procedures including the following:
\n\tConcept of Job work
\n\tRegistration & its nature
\n\tJob work procedures under GST
\n\tRelated ITC provisions & rules
\n * Monthly & Quarterly Reporting and
\n\tTransition provisions.
\nWhat is Job work ?
\nAs per section 2(68) of CGST Act, “Job work” means any treatment or process undertaken by a person on goods belonging to another registered person.
\n Who is Job worker ?
\n Job worker is a person who is treating or processing the goods belonging to other person. The job worker is required to carry out the process specified by the owner on the goods.
\nWho is Principal or Manufacturer ?
\nThe registered person to whom these goods belong is called 'Principal' or Manufacturer. He is real owner of the goods. The ownership of the goods does not transfer to the job-worker but<\/p>\n
= = = = = = = =<\/p>\n
Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n ade by the principal directly from the job worker's premises shall be included in the aggregate turnover of the principal. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n section 143) = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n facture from the premises of job worker within the following period: = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n r there is any provision for giving intimation to Jurisdictional Asstt.Commissioner – CGST of Principal before sending the goods to Job worker premises. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n","protected":false},"excerpt":{"rendered":" JOB WORK PROCEDURESBy: – CA.VINOD CHAURASIAGoods and Services Tax – GSTDated:- 5-9-2017 JOB WORK PROCEDURES Introduction: This article discusses in detail about Job work procedures including the following: Concept of Job work Registration & its nature Job work procedures under GST Related ITC provisions & rules * Monthly & Quarterly Reporting and Transition provisions. What … Continue reading “JOB WORK PROCEDURES”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-7587","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/7587","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7587"}],"version-history":[{"count":0,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/7587\/revisions"}],"wp:attachment":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7587"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7587"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7587"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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\nJob work procedure – Sec. 143
\n1. A registered person (i.e. “Principal”) may send any inputs, or capital goods, without payment of tax, to a job worker for job work and from there to subsequent job worker and likewise and shall:
\na) bring back to any of his business place without payment of tax:
\n * Capital Goods other than mould & dies, Jigs & fixtures, or tools – within 3 years;
\n * Input Goods- within 1 year
\n or
\nb) after completion of job work, he may supply the finished goods directly from the place of business of job worker on payment of tax within India or export them with or without payment of tax, provided that:
\nPrincipal has to declare the place of business of the job worker as his additional place of business except where –
\n * The job worker is registered u\/s 25; or
\n * The “Principal” is engaged in supply of such goods as may notified by the Commis<\/p>\n
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\nInput tax credit in respect of inputs or capital goods sent for job work
\nAs per section 19, the principle can take ITC in respect of inputs, semi finished goods or capital goods sent to job worker:
\n * from principal's own place of business; or
\n * directly from the place of the supplier of such goods without being first received at the premises of the principal. The principal need not wait till the inputs are first brought to his place of business.
\nBut, 4 conditions as specified under rule 45 are to be complied with
\nCondition 1 – Delivery Challan (Rule -55)
\nThe inputs or capital goods shall be sent to the job worker under the cover of a delivery challan issued by the principal.
\nThe challan shall be issued even for the inputs or capital goods directly sent to the job worker
\nCondition 2 – Details in delivery challan (Rule -55)
\nThe goods shall be sent under cover note of delivery challan containing below details:
\n * date and number of the delivery challan
\n * name,<\/p>\n
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\n * Capital other than mould & dies, Jigs & fixtures, or tools – within 3 years;
\n * Input Goods- within 1 year
\nfrom date of being send out or receipt by job worker (Sec 143).
\nEffective date for goods send depends on place of business:
\n * If sent from principal's place of business- Date of goods send out
\n * If sent directly from the place of supply of the supplier of such good- Date of receipt by job worker.
\nIf the inputs or capital goods are not returned to the principal or otherwise supplied by the principal with in time as per section 143, such inputs or capital goods will be treated as supply from effective date and tax will be payable on such deemed supply and the challan issued will be treated as an invoice for such supply and such supply shall be declared in FORM GSTR-1 and the principal shall be liable to pay tax along with interest.
\nTransitional provisions for relating to Job work-Sec 141 & Rule-119
\n *<\/p>\n
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\n Dated: 5-9-2017
\n Reply By CA.VINOD CHAURASIA as =
\nNo. Only quarterly reporting in ITC-04 with in 25 day.
\n Dated: 5-9-2017
\n Reply By SURESH ASTEKAR as =
\nDear Sir,
\nAs regards intimation, please note that Section 143(1) specifically requires that inputs or capital goods may be sent under intimation. However, this provision does not make it clear as to whether the intimation should be given for each and every time when the inputs \/ capital goods are sent or is it on a periodical basis. Please throw light on this aspect.
\n143. (1) A registered person (hereafter in this section referred to as the “principal”)
\nmay under intimation and subject to such conditions as may be prescribed, send any inputs
\nor capital goods, without payment of tax, to a job worker for job work and from there
\nsubsequently send to another job worker and likewise<\/p>\n
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