Principal with reference to job work :
Person sending goods for job work is termed as ‘Principal’. He should be a registered person.
The term ‘principal’ used with reference to job work is different from the term ‘principal’ as defined in section 2(88) of IGST Act.
‘Principal’ for purpose of job work provisions means a registered person who sends any inputs and/or capital goods, without payment of tax, to a job worker for job-work and from there subsequently send to another job worker and likewise – section 143(1) of CGST Act and explanation to section 19(7) of CGST Act.