Job work

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pankaj (Querist)
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18 June 2015 dear sir, we are in service of galvanizing job work . Generally we take goods from customers under 4 (5) a challan for job work and return the same to the concerns parties without Charging ST. but some time we buy goods from other parties and doing job work on the same and sell it out to another party. does we need to charge service tax on that

CA.Sourabh Sethia

CA.Sourabh Sethia (Expert)
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18 June 2015 For the Job work carried by you on the goods supplied is exempt from Service Tax if the final goods are subject to Excise Duty i.e Excise Duty is payable on it.

For the work which you do by buying the raw materials from the parties & sell after processing is purely a SALE, so ST is not required on sale, May be their arise EXCISE & VAT which is tax on productions & sale if you are liable