Question

What value should Job Worker issue delivery challan after carrying out job work. Should it be on value as received or value plus his charges over it As in case below 100 rs good received from principal to jobworker by way of derlivery challan 5 rs job work is carried out by jobworker Now jobworker wants to send the goods back to principal. How should he do it Option 1 Make Rs 105 delivery challan alongwith Rs 5 tax invoice Option 2 Make Rs 100 delivery challan alongwith Rs 5 tax invoice This is important because e-way bill also will have to be made in those terms and parties have different opinions on both sides - principal`s & job worker`s Regards..

Answer

The delivery challan is required if invoice is not raised. Job worker can send material on the delivery challan of Rs 105/- and can raise invoice within 30 days as per section 31 of CGST Act.

He can send material under cover of invoice mentioning therein value of goods in description column and value of Rs 5/- in amount column. The tax will be charged on Rs 5/-. The value of Rs 100/- corresponding to goods supply which is mentioned in description is for the purpose of control only.

E Way Bill should be issued as per Rules. (Reply dt. 23/08/2018)