Partly Job Work Process

[Basha AbdulRazack]

I need to clarify the point for the partly Job work Invoice Issue.

We are sending goods (A) to another company for Job work for which the job worker added some consumables (B) from their end and send it back to us (C)

I need clarification;

1. Can we raise GST Invoice for (A) product or sending in DC as Job work

2. Job Worker added only the value of B and their Labour work and charging GST is it correct? (They have not added the value of product A because they are receiving the product A in DC)

Please Explain.

AI Summary

Job work taxation: GST applies to the job worker's charges and value added while principal remains liable for inputs.
The principal remains liable for inputs and tax; goods for processing should be sent under a delivery challan so the initial transfer is not a taxable supply. GST at the job-work stage applies to the job worker's charges and the value added by the job worker (consumables and labour); proper invoices are needed for the principal to claim input tax credit. Valuation follows transactional value principles and compliance filings for job work must be maintained.