TaxTMI 
TaxTMI 
DEAR SIR,
WE ARE NOW GOING TO LOAN AND LICENCE BASIS JOB WORK FOR MANUFACTURING OF PHARMA PRODUCTS.PLEASE HELP WHAT WE HAVE TO FOLLOW PROCEDURES AND RECORD MAINTAINANCE FOR THAT JOB WORK.
NANDANROY
PROCEDURE AND RECORD MAINTAIN OF LOAN AND LICENCE BASIS JOB WORK
21 Apr 2012 
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Loan licence manufacturing: follow statutory application, excise intimation, separate storage and duty-paid clearances, and maintain production norms and registers.
Loan licence manufacture is permissible and licensees are treated as manufacturers. Apply for the loan licence under the Drugs and Cosmetics rules and give prior intimation to excise; a prior agreement with the loan licensee is required. Raw materials from the loan licensee must be stored separately, clearances effected on payment of excise duty and shown separately in ER 1 returns. Maintain a separate register for receipt and disposal and ensure production conforms to input output norms. (AI Summary)
Loan licence manufacture is permissible and licensees are treated as manufacturers. Apply for the loan licence under the Drugs and Cosmetics rules and give prior intimation to excise; a prior agreement with the loan licensee is required. Raw materials from the loan licensee must be stored separately, clearances effected on payment of excise duty and shown separately in ER 1 returns. Maintain a separate register for receipt and disposal and ensure production conforms to input output norms. (AI Summary)