Valuation for Delivery Challan for Goods returned after doing Jobwork

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Valuation for Delivery Challan for Goods returned after doing Jobwork
Query (Issue) Started By: - Ashish Gupta Dated:- 5-9-2018 Last Reply Date:- 7-9-2018 Goods and Services Tax - GST
Got 2 Replies
GST
Material is received from a Principal Manufacturer by delivery challan in kg where the rate is say ₹ 50/kg. Jobwork is done on the same and is returned by delivery challan by the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... jobworker to the Principal Manufacturer. The value addition is say 7.5/kg by the jobworker. What should be the rate mentioned on the delivery challan Rs. 50 or ₹ 57.5 ? The ewaybill requires value of goods. Raw material rate and processed goods rate are going to be different. Kindly enlighten on this issue with reasoning. Reply By DR.MARIAPPAN GOVINDARAJAN: The Reply: While the raw mater .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ials are forwarded the delivery challan should contain the value of raw material. On completion of the job work the products will be returned. The cost of job work will have to be added to the cost of raw material. Therefore the delivery challan forwarded by the job worker will contain the value of the goods done by the job worker. Therefore differences will be there. Reply By Manoj Agarwal: The .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Reply: The value of goods sent TO Job Worker is the value of raw material @ ₹ 50 and value of goods (processed) sent back BY Job Worker to Manufacturer is the value of processed goods @ ₹ 57.50. Obviously, the processed goods returned shall have higher value to the extent of value addition by job worker.
Discussion Forum - Knowledge Sharing .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X