Recent notification dated 30.09.19 says that the rate on Job work would be 12%, however for manufacturing services rate is 18%.
Ours is a heat treatment activity for auto parts which is purely job work. What rate would be applicable to our services.
Please clarify
Heat Treatment of Auto Parts: GST Rate Clarified-12% for Job Work, 18% for Non-Manufacturing Services Under Code 9988. A discussion on the Goods and Services Tax (GST) rates for job work and manufacturing services highlights a query regarding the applicable rate for heat treatment activities on auto parts. A recent notification specifies a 12% GST rate for job work, while manufacturing services are taxed at 18%. The response suggests that if the activity is considered manufacturing under code 9988, it qualifies for the 12% rate. Otherwise, if it does not fall under manufacturing, the applicable rate is 18%. (AI Summary)