INTER STATE TRASACTION

[SNEHAL SHAH]

R/sir,

We are the manufacturing of chemical product . we are send material from Gujarat to Maharastra ( Borivalli ) for job work under central excise rule.  (4(5)(a)) with prepare jobwork challan ( Annexure - II ) and LR prepare Gujarat to Maharastra ( Borivalli ) .

We have also permission sale under 4(6)central excise rule that means sale directly to job work premises , so we are prepare invoice when job worker intimate to us material ready and send it directly to job worker premises ( Borevalli ) .

Job worker ( Borevalli ) send this material ( Finished goods - After job work ) with Excise invoice and LR copy ( Address : Gujarat to Kalyan- Buyer) .

There is no issue for material sending as per excise law but is it any issue for CST related . Please guide this procedure is ok or not .

Awaiting reply .

SNEHAL SHAH

[YAGAY andSUN]

In this scenario you would have to raise an Invoice under CST Act by charging the CST as applicable.

AI Summary

Inter-state sale to job-worker premises requires an invoice under CST Act and charging applicable CST on the supply. Inter-state movement of inputs to a job worker where the manufacturer sells directly to the job-work premises is an inter-state supply requiring issuance of an invoice under the CST Act and charging applicable CST on the taxable inter-state transaction, in addition to maintaining excise job-work documentation.