I have a question. I m register with excise and if my unit is small and need a another premises. I want to start manufacturing in that unit on job work basis. The material from parent co will go and after the job work will come back to parent co. Duty will be paid by parent co on sale price which will include the job work charges.
Please suggest how to go about it
Job Work issue
Prem Bajaj
Guidance on Job Work Manufacturing: Notification No.214/86-CE, Cenvat Credit Rule 4(5)a, and Rule 4(6) Compliance Explained A participant in a discussion forum inquired about starting manufacturing on a job work basis at an additional premises while being registered under Central Excise. Four responses were provided, advising on compliance with relevant procedures. The first response referenced Notification No.214/86-CE. Another response highlighted the need to follow job work procedures, including goods valuation. A third response detailed using Cenvat credit Rule 4(5)a, maintaining a Register-V, and the 180-day return limit for goods. The final response suggested directly clearing materials under Rule 4(6) with appropriate permissions from Central Excise authorities. (AI Summary)