Transitional job work provisions allow tax-free return of inputs if returned within prescribed period, with extensions and ITC recovery. Inputs or goods despatched to a job worker or other premises before the appointed day remain eligible for tax-free return if returned to the principal within the prescribed period; the Commissioner may grant a limited extension on sufficient cause. Failure to return within that period triggers recovery of the input tax credit. Alternatively, the consignor may transfer goods to a registered person for supply on payment of tax or for export without payment within the prescribed period. Tax-free treatment requires prescribed declarations by the consignor and the job worker of goods held on the appointed day.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Transitional job work provisions allow tax-free return of inputs if returned within prescribed period, with extensions and ITC recovery.
Inputs or goods despatched to a job worker or other premises before the appointed day remain eligible for tax-free return if returned to the principal within the prescribed period; the Commissioner may grant a limited extension on sufficient cause. Failure to return within that period triggers recovery of the input tax credit. Alternatively, the consignor may transfer goods to a registered person for supply on payment of tax or for export without payment within the prescribed period. Tax-free treatment requires prescribed declarations by the consignor and the job worker of goods held on the appointed day.
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