Interstate Jobwork without payment of tax

[mk Jain]

# GST Applicability on Interstate Job Work ??

( As per CGST Law in chapter XI A – Job work allowed without payment of tax and should be return in prescribed time one year for input)

But in IGST law no procedure mentioned for Job work.

as per Miscellaneous -17 in Chapter IX of IGST law :

Application of certain provisions of the CGST Act, 2016 to I G S T

The provisions relating to registration, valuation, time of supply of goods, time of supply of services, change in rate of tax in respect of supply of goods or services, input tax credit and utilization thereof, distribution of input tax credit by an Input Service Distributor, job work, accounts and records, payment, tax deduction at source, return, tax collection at source, audit, assessment, adjudication, demands, refunds, interest, recovery of tax, offences and penalties, inspection, search and seizure, prosecution and power to arrest, appeals, review, advance ruling and compounding shall apply, so far as may be, in relation to the levy of tax under this Act as they apply in relation to levy of tax under the CGST Act, 2016:

On behalf of above we suppose that Interstate Job work allowed without payment of duty as per CGST Law?

AI Summary

Interstate job work: IGST applies CGST job work rules; practitioners advise payment and credit to avoid procedural disputes.
IGST applies specified CGST provisions, including job work and input tax credit rules, but lacks detailed interstate procedural guidance; practitioners advise paying GST on movement and availing credit on return to avoid reconciliation disputes and await rules which will clarify procedural requirements for interstate job work.