25 June 2018
We are working a small manufacturing company having registered under GST. We Manufacture HDPE Pipe and its fitting like Bend, Coupler etc. We Purchase Plastics Ganuals (Main Raw Materials) from Reliance / Gail India and Making only HDPE Pipe not Pipe Fittings (Bend, Coupler etc) . Regarding Bend, Coupler etc (Pipe Fitting) we collect from Job Worker. we send Plastics Ganuals (Main Raw Materials) to Job Worker and Job worker Make the Pipe fitting (Bend, Coupler etc) in their place and return to us. We payment to Job worker for Its Job Work not materials Suppose we send 50 Bag @Rs.2200/- i.e Rs.110000/-+ GST Rs.19800/- = Rs.129800/- to Job worker for making Plastics Fitting. Now Question is 1. when we send Raw Materials to Job worker and Issues E waybill what value we mention to delivery challan (for job work)? Is we mention Value of Purchase bill or Elce. 2. And when Job worker return the Finished product like Pipe fitting (Bend, Coupler etc) which valu they mention in way bill Please clarify we are not get proper answer from our Local Consultant?
26 June 2018
E-Way bill rules refer to "consignment value". The same is defined to include the value as per section 15. Section 15 mentions the value of "supply". Since the transfer of goods for job work is not a supply the value can not be found out as per section 15. I would suggest the purchase price be mentioned when generating the e-way bill for both transport to the job worker and transport from the job worker. Please remember that the amount mentioned in the e-way bill is not very relevant as the same is not a supply and hence not taxable as well.
CAclubindia
