Issue of material by a job worker

[pardeep bisht]

can a job worker issue the material to party for whom job work is being done. Also confirm if cenvat duty can be passed.

[Mukesh Kumar]

Your query seems to be incomplete. Do you mean first sale and subsequent job work activity, or supply of material which is consumed during job work activity. I think there is nothing in cenvat credit rules which prevent any situation among these two. However, proper documentation and care must be taken to ensure that the benefit of cenvat credit should not be lost on the material supplied.

AI Summary

Cenvat credit: job worker may issue material to principal, subject to proper documentation to preserve credit.
There is no provision in the Cenvat Credit Rules that expressly prevents a job worker from issuing material either following an initial sale or where material is supplied and consumed during job work; however, proper documentation and care must be maintained to ensure the benefit of Cenvat Credit is not lost when the material is transferred or used in the course of job work.