Capital Goods sent for job work purposes.

[vinay wakde]

We shal be importing Capital Goods namely Briquetting Segments under zero duty EPCG scheme. After receipt of the segments, we have to sent the Capital Goods  for job work at Culcutta. In the matter kindly calrify the following points:-

(1) Whether the Imported Briquetting Segments shall sent directly to the job worker at Culcutta ?

(2) Since the material received under Zero duty EPCG scheme, how much  Excise duty /  Sales Tax shall be charged by the job worker in their Invoice ?

Regards,

VINAY

AI Summary

EPCG imports: prior permission required for direct job work dispatch and possible ANF 5A filing, check duty implications.
Whether imported capital goods under the EPCG zero duty scheme may be sent directly to a job worker for preparatory job work and what excise or sales tax the job worker must charge are the issues. If the job work involves technological upgradation, an application in ANF 5A for sourcing/upgradation may be required and prior permission from DGFT, Customs and Central Excise should be obtained; duty or tax liability will depend on compliance with EPCG conditions and permissions.