Special provisions for job work :
GST Law makes elaborate provisions relating to job work.
The provisions have been made as material sent for job work is ‘supply’. Hence, GST would have been payable on material sent for job work. This was not practical.
“Job work” means undertaking any treatment or process by a person on goods belonging to another registered person and the expression “job worker” shall be construed accordingly – section 2(68) of CGST Act.
Section 19 of CGST Act make provisions relating to taking input tax credit in respect of inputs sent for job work.
Section 143 of CGST Act makes provisions for special procedure for removal of goods for job work without payment of tax.
Transitory provisions – Sections 141 of CGST Act make provisions in respect of inputs, semi-finished goods and finished goods which were removed for job work before 1-7-2017 (i.e. introduction of GST) and returned after 1-7-2017.