Goods received for repair from customer

[SURYAKANT MITHBAVKAR]

We have manufacture pharma machine registered under GST

Our customer has sent some part for repairing under delivery Challon

NOW the repairing work will take place at our vendor place where goods to be delivered by us.

We have sent the same goods on our letter while declaring value for transit purpose along with the customer delivery Challon to that vendor who is doing repairing job.

After repairing job is done that vendor deliver goods on challon with their service invoice which is raise in our name.

After receiving the repaired goods from vendor we will raise our service invoice to customer as agreed and send goods to customer along with their challon copy.

Please advice whether the above procedure under GST is correct or we have to any other precaution under the above procedure.

Please note that we have not issue any challon when the goods send to our vendor for repairing. In short we have not enter any where in our stock.

Secondly sometimes we receive goods for repairing which is done without any charge to customer. In this case we have not raise any invoice to our customer. Is it allow under GST Law if yes under which notification pl advise.

AI Summary

Pharma machinery firm's GST query: Proper use of delivery challans for vendor repairs and invoicing for customer returns. A company in the pharmaceutical machinery sector, registered under GST, receives parts from customers for repair via delivery challans. The parts are sent to a vendor for repair, who returns them with a service invoice. The company then invoices the customer and returns the repaired parts. They seek advice on the correctness of this procedure under GST, noting they do not issue challans when sending goods to the vendor, nor do they invoice customers when repairs are free. Responses clarify GST obligations, emphasizing the need for delivery challans and addressing tax liabilities for warranty repairs.