TaxTMI 
TaxTMI 
Dear Experts
We are manufacturing Pharmaceutical Product for other companies (Job Work) at the time of dispatch we are paying Excise Duty Edu. Cess & HSC Cess as job worker VAT OR CST Applicable or not Applicable
Regards
Sharad M S
VAT / CST Eligibility for Job Worker
27 May 2014 
2 Replies 
5384 Views Asked by
VAT/CST applicability depends on transfer of property in goods; no VAT/CST if only processing supplied materials.
VAT and CST attach only when there is a transfer of property in goods. A job worker who only processes goods supplied by another (using only consumables) does not attract VAT/CST; if the job worker adds material to the goods, VAT/CST is payable on the value attributable to that addition and should be accounted with proportionate excise consequences. (AI Summary)
VAT and CST attach only when there is a transfer of property in goods. A job worker who only processes goods supplied by another (using only consumables) does not attract VAT/CST; if the job worker adds material to the goods, VAT/CST is payable on the value attributable to that addition and should be accounted with proportionate excise consequences. (AI Summary)