Material sent directly at Job Worker Premise while Purchase

[NISHANT SHAH]

Dear Experts,

One of my client purchased material (Input/RM) from its supplier and delivered this material directly at job workers premises.

Can he do so in like this. In Tax Invoice, he added Bill to in his name and ship to in name of job worker? Is this possible from GST perspective? What compliances need to follow if he can do so??

[Alfred avinash]

Hi,

The inputs can be directly sent to the job worker premises.

The Principal has to issue a delivery challan as per the format prescribed under Rule 55 of CGST Rules. The same has to be reported in ITC-04 to be filed quarterly.

[KASTURI SETHI]

See replies against Issue ID 116686 dated 1.9.20

[NISHANT SHAH]

Thank you Avinashji & Kasturi sir

AI Summary

Direct supply to job worker: requires delivery challan and quarterly ITC reporting under GST compliance obligations. Inputs may be sent directly to a job worker with the purchaser as 'bill to' and the job worker as 'ship to'. The principal must issue a delivery challan in the prescribed format and disclose the movement in the quarterly ITC reporting for GST compliance, maintaining requisite records to track input utilization.