Transitional Provision for Job Work: Section 141 of the Central GST Act, 2017 specifies arrangements for cases where the job worker holds products coming from the principal on the selected day. Referring to the Goods and Services Tax (GST), which is set to be implemented from July 1, 2017, the President said that It will be the greatest ever tax reforms in the country. While confessing that there is most likely to be some teething troubles when the GST system enters into result, he expressed hope of ironing them out within the shortest possible time. No tax is needed to be paid under following circumstances:
The maker and the job worker have stated the details of the inputs or items held in stock by the job employee on behalf of the producer on the appointed day in kind GST Tran-1, specifying therein, the stock of inputs, semi-finished items or completed goods, as appropriate, within 90 days of the appointed day
| Inputs (1 ) | Semi completed products (2) | Finished products (3 ) |
| Removed from workplace as such or gotten rid of after being partially processed to a job worker for further processing, testing, repair, reconditioning | removed from the place of business to any other properties for carrying out specific production procedures | produced at a workplace had actually been eliminated without payment of responsibility for carrying out tests or any other process not amounting to make, to any other facilities |
| Returned to the workplace within 6 months from designated date (extendable by 2 months) | ||
| The manufacturer and the job worker have actually declared the information of the inputs or products held in stock by the job worker on behalf of the manufacturer on the appointed day in form GST Tran-1, defining therein, the stock of inputs, semi-finished items or ended up items, as relevant, within 90 days of the selected day | ||
If above conditions are not satisfied input tax credit claimed by the principal shall be responsible to be recovered under section 142( 8 )( a) of the CGST Act, 2017.
Proviso to area 141( 2) & (3) offers that the manufacturer may, in accordance with the arrangements of the existing law, move the stated products from the stated other premises on payment of tax in India or without payment of tax for export
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