JOB Work ITC

We have Sent 5 material for Job Work through Our DC.

If We have received 2 Materials by Invoice. (So Balance 3 Materials Under Process), Can I take ITC for the above 2 materials or I have to wait invoice for  balance 3 Material.  (Is it write or Wrong) Pls Suggest Valid Proof.

Regards,

C.Vinothkumar

Replies (6)
Quick Summary
This discussion clarifies when businesses can claim Input Tax Credit (ITC) for materials sent for job work. The general consensus is that ITC can be claimed as soon as an invoice is received for returned goods, even if other materials sent under the same Delivery Challan (DC) are still pending at the job worker's premises. It's advised to claim ITC based on received invoices rather than waiting for the entire DC quantity to be returned.

You can take ITC based on invoice. currently you rec'd invoice of 2 material of this ITC can be claimed. further if you are directly sending goods to job worker then you can claim ITC when it reaches job worker directly.

You can take ITC based on invoice. currently you rec'd invoice of 2 material of this ITC can be claimed - OK

further if you are directly sending goods to job worker then you can claim ITC when it reaches job worker directly -  pls explain with example.

 

As you mentioned you have sent 5 material already to job worker ...suppose those goods directly reach job worker rather than coming to your place and then to job worker...in that case when good reach job worker place you can claim ITC.

Thanks for your valuable suggestion Roshni. (I Think  It is for  3 parties involved )

 Our doubt is only for two parties involved

We (A) have sent 5 Nos for job work to a party (B) by our DC

Party B sent only 2 Nos after completing the job work vide their Invoice.(3 Nos pending)

In this case:-

  1. Shall we  take ITC for  2 Nos  or  I have to wait for  balance 3 Nos which is pending as per our DC.
  1. Shall we take  ITC  for above 2 Nos even  DC quantity is pending at B  (i.e  3 Nos under process for 3 months  at job worker place ) or I have to wait all the quantities of that Particular DC quantity received  to take ITC ?
  1. Is there any rule or notification to claim ITC  after all the DC quantities received ?

Regards,

C.Vinothkumar

I answered your query based on you sending goods to job worker. ie A to B

but you are asking it for getting back goods after completion of job work(in this case B to A).well if this is the situation then you should have claimed all of ITC when you purchased material and not when you receive it back from job work .

Thanks for your suggestion Roshni.

Regards,

C Vinothkumar

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