Job work procedure, Section 143 of CGST Act, 2017

 

 

Section 143 of CGST Act, 2017 Job work procedure

 

The below post explains about Job work procedure under section 143 of CGST Act,2017.

Section 143 of CGST Act, 2017 explains Job work procedure as below: (The amendments if any will also be updated here soon).

The extract of Section 143 of CGST Act,2017 quoted below:

 

143 Job work procedure

143. (1) A registered person (hereafter in this section referred to as the “principal”)

may under intimation and subject to such conditions as may be prescribed, send any inputs

or capital goods, without payment of tax, to a job worker for job-work and from there

subsequently send to another job worker and likewise, and shall, ––

Job work procedure, Section 143 of CGST Act, 2017(a) bring back inputs, after completion of job work or otherwise, or capital goods,

other than moulds and dies, jigs and fixtures, or tools, within one year and three years,

respectively, of their being sent out, to any of his place of business, without payment

of tax;

(b) supply such inputs, after completion of job work or otherwise, or capital

goods, other than moulds and dies, jigs and fixtures, or tools, within one year and three

years, respectively, of their being sent out from the place of business of a job worker

on payment of tax within India, or with or without payment of tax for export, as the case

may be:

Provided that the principal shall not supply the goods from the place of business

of a job worker in accordance with the provisions of this clause unless the said principal

declares the place of business of the job-worker as his additional place of business

except in a case—

 

(i) where the job worker is registered under section 25; or

(ii) where the principal is engaged in the supply of such goods as may be

notified by the Commissioner.

(2) The responsibility for keeping proper accounts for the inputs or capital goods shall

lie with the principal.

(3) Where the inputs sent for job work are not received back by the principal after

completion of job works or otherwise in accordance with the provisions of clause (a) of subsection

(1) or are not supplied from the place of business of the job worker in accordance

with the provisions of clause (b) of sub-section (1) within a period of one year of their being

sent out, it shall be deemed that such inputs had been supplied by the principal to the

job-worker on the day when the said inputs were sent out.

(4) Where the capital goods, other than moulds and dies, jigs and fixtures, or tools,

sent for job work are not received back by the principal in accordance with the provisions

of clause (a) of sub-section (1) or are not supplied from the place of business of the job

worker in accordance with the provisions of clause (b) of sub-section (1) within a period of

three years of their being sent out, it shall be deemed that such capital goods had been

supplied by the principal to the job-worker on the day when the said capital goods were

sent out.

(5) Notwithstanding anything contained in sub-sections (1) and (2), any waste and

scrap generated during the job work may be supplied by the job worker directly from his

place of business on payment of tax, if such job worker is registered, or by the principal, if the

job worker is not registered.

Explanation. ––For the purposes of job work, input includes intermediate goods arising

from any treatment or process carried out on the inputs by the principal or the job worker.

 

The above information clarifies about Job work procedure under section 143 of CGST Act,2017.  

 

If you have any comments about Section 143 of CGST Act, 2017 explaining Job work procedure, share below your thoughts:

 


 

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Comments


PRATIK SHARMA: I am a Job Worker, doing job working of both manufacturer & Traders. previously we were not liable to charge service tax on services provided to manufacturer. i just want to know that, In GST am i liable to charge taxes on service provided to manufacturer and if liable at what rate PLS REPLY

Sandeep Bhatnagar: How do file intimation for sending goods to job worker ?

Satish M M : We are making some plastic items job work basis. This is comes under GST? How much persentage has come? How do sending goods return after finish the job work?

rajesh thakkar: dear our quarey is , our job work service required taxable yes or no. we are manufacture and job work for same product. we are mainting all records separate for job work and manufacture. we provide job work service for manufacture product on behalf of other manufacture also. in that, case ,what is tax liability on service providing to other manufacture.

mrityunjay biswas: We are making some plastic woven sacks items job work basis. This jobwork charges under GST? How much persentage has come? How do sending goods return after finish the job work?

j. sundaram: we are manufacture of iron castings. After manufacture, we are sending 1. castings for Grinding to remove fins in the castings 2. sending castings for machining. For both activities, we are sending under challan for Labour charges only. On completion of the work, they return the jobs to us. we would like to know is GST is applicable.

chinnaraj.N: we are received the job work section 143(5) after job work we are charge for rs. 25000/- billing.so GST charge applicable or not please conform

Mandar : its required to intimate to GST officer to start any job work activity ?

Julius Abraham: We are manufacturers sending goods job work interstate through three job workers and exported from the final jobworker. How these transactions to be shown in ITC 04

YOGESH GOEL: Can a registered job worker use some of his inputs to Principles material received for job working to complete the job working. If Yes, what is the procedure ?

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