Refund of Inverted Duty Structure

[NILESH PITALE]

Dear Sir

We are manufacture of corrugated boxes and charge 5% GST. We are Purchasing Paper & Paper Sheet @18% and Some of The Work Like Punching, Printing and Laminating we are taking from outsources and They are Charging 18% GST,

Our query is

1) Is there any restriction with respect to refund of ITC on job work? Please Guide

AI Summary

Inverted duty structure refunds raise questions on input tax credit for outsourced punching, printing and laminating job-work services.
Refund of input tax credit under an inverted duty structure is queried where corrugated boxes are taxable at 5%, while paper, paper sheets and outsourced punching, printing and laminating services attract 18% GST. The issue concerns whether restrictions apply to refund of input tax credit attributable to job-work services.