ITC 04 for Job work

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Filing Form ITC-04 is a legal requirement under GST for goods sent for job work exceeding £50,000 annually. Failure to comply can result in penalties, potentially up to £10,000 or the tax amount involved. While there's no explicit penalty for late filing, it's best to submit past returns voluntarily to prevent future scrutiny and potential interest charges.

Nishant Gandhi

Nishant Gandhi (Querist)
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28 June 2025 Respected Experts

Kindly let me know the implication for not filling of ITC 04 as we do not know for the same.

If now I start to file the same for last 3 to 4 year than any panelty is there ?

Kindly advise

Nishant Gandhi

Nishant Gandhi (Querist)
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15 July 2025 Respected Experts,
Please advise. Now it will be urgent. Please

Aashok Kumar Sharma online

Aashok Kumar Sharma

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12 August 2025 Implications of Not Filing ITC-04:
Legal Requirement:
Filing ITC-04 is mandatory for reporting goods sent to job workers when the value exceeds Rs. 50,000 in a financial year (per CGST Rule 45).
Consequences of Non-filing:
Non-compliance can attract penalty under GST law.
Penalty may be up to Rs. 10,000 or an amount equal to tax involved, whichever is less (Section 122 of CGST Act).
Potential adverse scrutiny during GST audit or assessments.
Filing ITC-04 for Past Periods:
GST law does not explicitly prescribe penalty for delayed filing of ITC-04, but it is considered a compliance requirement.
You should ideally file the ITC-04 for past years as a voluntary compliance to avoid future notices.
Late filing may attract penalty or interest if it leads to tax discrepancies or detection by authorities.
Best Practice:
File the missing ITC-04 statements immediately for the last 3-4 years.
Maintain proper records and reconciliation with the job worker's inward supplies.

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