Moving goods for job work across state borders triggers specific compliance requirements. The principal must ensure that the movement is covered by a valid delivery challan and e-way bill.
This article explains the interstate job work compliance requirements.
Delivery Challan Requirements
Under Rule 55, the principal must issue a delivery challan for the movement of goods to a job worker. The challan must contain:
- Name, address, and GSTIN of the principal.
- Name, address, and GSTIN of the job worker (if registered).
- Description, quantity, and value of goods.
- Place of supply and tax rate.
E-Way Bill Requirements
An e-way bill must be generated for the movement of goods exceeding the threshold value (₹50,000). The e-way bill must reference the delivery challan.
Job Worker Registration
A job worker making inter-state supplies to a registered principal is exempt from registration under Section 23. However, the job worker must be registered if they make other supplies.
Compliance Checklist
- Issue a delivery challan for every movement.
- Generate an e-way bill where required.
- Ensure that the job worker’s GSTIN is correctly mentioned.
- Track the time limit for return of goods.
- Maintain records of all interstate movements.
Conclusion
Interstate job work requires strict compliance with delivery challan and e-way bill requirements. Failure can result in detention of goods and penalties.
At Anuj Desai & Associates, we provide expert advisory services on GST compliance for interstate job work. Our team can help you meet your obligations.
For a confidential consultation, contact us at office@anujdesaiassociates.com or call 9619456656. Visit our website at https://anujdesaiassociates.com or connect with our founder on LinkedIn at linkedin.com/in/ca-anuj-desai-122547230.