Issues On Job Work Mainly In Engineering Automobile Sectors
Issues on Job Work under GST Issues on Job Work provisions under GST from perspective of manufacturers – mainly the Engineering and Automobile sectors Job –work sector constitutes a significant industry in Indian economy. Its outsourced activity of working on the goods belonging to manufacturer. The parties undertaking operations on job work are by and large small parties, who would find it difficult to comply the detailed provisions of taxation. Job Work is now a well settled procedure under the Central Excise whereby a manufacturer can send out inputs – either raw material or semi-finished material or the capital goods to another party – job worker – for further processing, testing, repair, reconditioning or for the manufacture of intermediate goods necessary for manufacture of final products or for any other purpose and receive back after processing the inputs or the products produced therefrom or the capital goods for use in further manufacture, without the manufacturer or the job worker having to pay any duty on the inputs or capital goods so sent out....