Job work in GST

[KARAN VERMA]

Sir, i m engaged in activity of bottling, packaging and labelling of beer/wine on the material provided by supplier, then after bottling, i will return material to supplier.

Whether this is considered as Job work activity and i will take benefit of 12% GST rate on job work.

Or department will said that this is not job work, you have to pay 18% GST being you are doing only packaging of goods.

Please provide your valuable opinion.

AI Summary

Job work classification in GST determines applicable tax rate depending on owner registration and manufacturing character.
Classification of bottling, packaging and labelling as job work or manufacture determines the applicable GST rate: if treated as manufacture the rate applied varies with whether the goods belong to a registered or unregistered person. Conflicting guidance exists between SAC explanatory notes (excluding packaging for others from manufacturing services) and rate notifications/HSN entries; therefore the precise service entry and owner's registration status must be checked to determine taxability.