Conditions and restrictions in respect of inputs and capital goods sent to the job worker under GST

Rule-45 of CGST Rules 2017

45. Con­di­tions and restric­tions in respect of inputs and cap­i­tal goods sent to the job worker.- 

(1) The inputs, semi-fin­ished goods or cap­i­tal goods shall be sent to the job work­er under the cov­er of a chal­lan issued by the prin­ci­pal, includ­ing where such goods are sent direct­ly to a job-worker.

• The chal­lan issued by the prin­ci­pal to the job work­er shall con­tain the details spec­i­fied in rule
• The details of chal­lans in respect of goods dis­patched to a job work­er or received from a job work­er or sent from one job work­er to anoth­er dur­ing a quar­ter shall be includ­ed in FORM GST ITC-04 fur­nished for that peri­od on or before the twen­ty-fifth day of the month suc­ceed­ing the said
• Where the inputs or cap­i­tal goods are not returned to the prin­ci­pal with­in the time stip­u­lat­ed in sec­tion 143, it shall be deemed that such inputs or cap­i­tal goods had been sup­plied by the prin­ci­pal to the job work­er on the day when the said inputs or cap­i­tal goods were sent out and the said sup­ply shall be declared in FORM GSTR‑1 and the prin­ci­pal shall be liable to pay the tax along with applicable

Expla­na­tion.- For the pur­pos­es of this Chapter,-

• the expres­sions “cap­i­tal goods” shall include “plant and machin­ery” as defined in the Expla­na­tion to sec­tion 17;
• for deter­min­ing the val­ue of an exempt sup­ply as referred to in sub-sec­tion (3) of sec­tion 17- 
  • the val­ue of land and build­ing shall be tak­en as the same as adopt­ed for the pur­pose of pay­ing stamp duty; and
  • the val­ue of secu­ri­ty shall be tak­en as one per cent. of the sale val­ue of such security.