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Jobwork doubt

Amit Mohan Pandey (Practising chartered accountant) (371 Points)

05 October 2017

hello everyone,

Principle send goods to jobworker for jobwork.

Both person registered in same state(Haryana) under gst.

Now principle telling jobworker to send goods direct to chennai HQ along with job charges bill. Now question arise, can jobworker does so as goods belong to Haryana principle and invoice making to chennai HQ.

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10 Replies

Amit Mohan Pandey (Practising chartered accountant) (371 Points)
Replied 05 October 2017

@ rashmi @ raja

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Dr. ShamsheerKhan (Director of S S Associates) (968 Points)
Replied 05 October 2017

yes the job worker can do the job provided that the principal in Haryana should not the same thing in the job contract and for this purpose the job worker shell charge shell charge the principal

1 Like

Dr. ShamsheerKhan (Director of S S Associates) (968 Points)
Replied 05 October 2017

yes. the job worker can do the job provided that the principal in Haryana should note the same thing in the job contract and for this purpose the job worker shall charge the principal for this job

1 Like

Dr. ShamsheerKhan (Director of S S Associates) (968 Points)
Replied 05 October 2017

yes. the job worker can do the job provided that the principal in Haryana should note the same thing in the job contract and for this purpose the job worker shall charge the principal for doing this job

1 Like

Amit Mohan Pandey (Practising chartered accountant) (371 Points)
Replied 05 October 2017

but while making invoice..should jobworker charge igst or cgst and sgst.

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Dr. ShamsheerKhan (Director of S S Associates) (968 Points)
Replied 05 October 2017

I GST to the Chennai party and sgst cgst to the Haryana principal actually this is what called the pure agent concept under GST

Amit Mohan Pandey (Practising chartered accountant) (371 Points)
Replied 05 October 2017

dude pls explain...

how many bill will be raised........

please explain what should be transaction between Principle jobworker and chennai party...

Thanx

Dr. ShamsheerKhan (Director of S S Associates) (968 Points)
Replied 05 October 2017

first the principal and the job worker should go under a contract in which the principal allot a job for doing job work to his material along with the service of transporting it to Chennai. this is a transaction between the principal and the job worker.

secondly the job worker sends that material to Chennai on his invoice dully charging IGST to the recipient at Chennai on behalf of the principal.

RAJA P M ("Do the Right Thing...!!!") (128085 Points)
Replied 05 October 2017

The Job worker ll be raise IGST Invoice to Chennai HQ...

Supply of Service to Chennai. So, Job worker can finished his services then can sent to the Goods to Chennai with IGST...

RAJA P M ("Do the Right Thing...!!!") (128085 Points)
Replied 05 October 2017

Here Principal to Job worker no more supply of Goods or Services. Just Principal send goods to Jobe work not sell his goods to Job Worker. Also it ll be sent by DC. Taxes can't arises in this transaction.

Tax Invoicce to Chennai. Also It's based Inter State Supply of Services..