X is manufacturing candies/ toffees in the normal course of business under HSN code 17 which are billed @ 12%. X now wants to manufacture for a marketing co_Y which is providing only the packing material in his name where it is printed as Mfd by X and Mktd by Y.
Pls suggest if X will invoice in the normal course or as job work. If it has to be billed as job work then at what value since the manufacturer is putting all the ingredients himself for production except for packing material. Hence rate charged include the ingredients cost, manufacturing exp and margin. Also what GST rate will be applicable if job work?
CAclubindia
