Transitional job-work provisions preserve tax exemption if goods return within stipulated period; failure triggers input tax credit recovery. Where inputs, semi-finished goods or goods sent for testing prior to the appointed day are returned to the place of business within six months from the appointed day, no tax shall be payable, with the Commissioner empowered to extend that period by up to two months; if goods are not returned within the specified period the input tax credit shall be liable to recovery. This exemption is subject to a prescribed declaration by the consignor and the job worker of goods held on the appointed day, and transfers to registered persons for supply or export within the period are permitted under existing law.
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 preserve tax exemption if goods return within stipulated period; failure triggers input tax credit recovery.
Where inputs, semi-finished goods or goods sent for testing prior to the appointed day are returned to the place of business within six months from the appointed day, no tax shall be payable, with the Commissioner empowered to extend that period by up to two months; if goods are not returned within the specified period the input tax credit shall be liable to recovery. This exemption is subject to a prescribed declaration by the consignor and the job worker of goods held on the appointed day, and transfers to registered persons for supply or export within the period are permitted under existing law.
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