QUESTION
I am a textile manufacturer. I send thread to job worker who returns back cloth. My challan to job worker mentions thread whereas the return challan from job worker mentions cloth. How do I keep job work record and how do I file ITC-04?

ANSWER
In FORM ITC-04 you are required to provide details of inputs/capital goods (HSN along with Description of goods i.e thread) sent for job work in Table 4 as well as of inputs/capital goods (HSN along with Description of goods i.e cloth) received back from job worker in Table 5.

In your case you are sending thread to job worker, therefore mention HSN of thread on challan and you are receiving back cloth, so HSN of cloth should be mentioned on challan.