Can a GST taxable person dispatch goods to his job workers without paying GST?

 

Can a GST taxable person dispatch goods to his job workers without paying GST?

Can a GST taxable person dispatch goods to his job workers without paying GSTContracting and sub-contracting is common nowadays in business. A manufacturer will have many job workers. The material manufactured is sent for further job to get final product.

When GST implements, how does job work treated under GST tax payment system? Is job worker liable to pay GST or owner of goods (here supplier) liable to pay GST?

 

Under 43A of GST Law explains about supply of goods to job worker that the registered taxable person (principal) can send the taxable goods to a job-worker for job-work without payment of tax. He can further send the goods from one job-worker to another job-worker and so on subject to certain condition. It may be noted that provisions of Section 43A of GST Law are not applicable if non-taxable or exempted goods are proposed to be sent for job-work.

Here, we discussed whether GST is applicable against supply of goods to Job works. If you have any comments on this subject about GST on supply of goods for Job work, share below:

 

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Comments


Patrick: Principle unit send material to unregister unit,principle unit not intimate to commissioner gst had to pay or not

Kamal: Goods sent to jobworker under intimation can be sent without pmt of tax, what is the format of intimation , multiple job workers for all we need separate intimations , please send the intimation format and procedure where to submit the intimation at factory range or at regd office range to excise commissioner

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