job work under GST when both the principal and the job worker are registered:
Here’s a clear explanation of job work under GST when both the principal and the job worker are registered : 🔹 Key Concept: Job Work under GST Job work means: The principal sends goods to a job worker for processing, manufacturing, or other operations. After the job work, the goods are returned to the principal or sent directly to a buyer on behalf of the principal. GST Provisions: Covered under Section 143 of the CGST Act, 2017 and Rule 45 of CGST Rules . Job work transactions do not attract GST at the time of sending goods to the job worker , provided conditions are met. 🔹 Scenario: Both Parties Registered under GST Let’s assume: Principal: Registered taxpayer (GSTIN exists) Job Worker: Also GST registered (GSTIN exists) 1️⃣ Sending Goods to Job Worker Rule: No GST is levied when the principal sends goods to the job worker for job work. Conditions: The goods are sent without consideration (not sold). The principal remains ...