Q.290 Assessee received ITC reversal notice as per section 16(4) of gst act for the ITC claimed in GSTR3B for the period December 2017 to March 2018. The returns were filed late after September 2018.
Kindly Provide the remedy for the same.

Ans. As per order No. 2/2018 , the time limit to avail of ITC has been extended till March 2019. In case ITC has been availed after March 2019, then it is suggested to reverse the ITC.

Q.289 GST RATE APPLICABLE ON BUS SERVICES TAKEN ON RENT BY KEI INDUSTRIES LTD ( FOR PRE-DEFINED PLACE)

Ans. 1. Renting of any motor vehicle designed to carry passengers where the cost of fuel is included in the consideration charged from the service recipient (with operators)- 5% without ITC except ITC on the same line of business.

2. Rental services of transport vehicles other than 1 above (with operators)- 18% with ITC.

3. Leasing or rental services without operators – 18% with ITC.

Q. 288 We are principal manufacturer we intend to send taxable materials for job work purchase after job work they will return materials please inform procedure for the same job workers are both registered and unregistered.

Ans. Job work sending procedure:

1) A registered person (Principal) can send inputs/ capital goods under intimation and subject to certain conditions without payment of tax to a job worker and from there to another job worker and after completion of job work bring back such goods without payment of tax. The principal is not required to reverse the ITC availed on inputs or capital goods dispatched to job workers.

2) Principal can send inputs or capital goods directly to the job worker without bringing them to his premises, still the principal can avail the credit of tax paid on such inputs or capital goods.

3) As per section 19 of CGST Act, 2017, inputs and/or capital goods after processing shall be returned back to the principal within 1 year and 3 years, respectively, from the date of sending such goods to the job worker.

4) If goods sent to the job worker is not received back within the stipulated time limit, then it is deemed as supply from the effective date and the principal manufacturer will have to pay the tax on such deemed supply.

5) Principal may supply the processed goods to the third party directly from the premises of the job worker on payment of tax in India likewise with or without payment of tax for export may be availed by the principal on declaring premise of the job worker as his additional place of business in registration.

6) In case the job worker is a registered person under GST, even declaring the premises of the job worker as an additional place of business is not required.

7) Before supplying goods to the job worker, the principal would be required to intimate the Jurisdictional Officer containing the details of description of inputs intended to be sent by the principal and the nature of processing to be carried out by the job worker. The said intimation shall also contain the details of another job worker, if any.

8) The inputs or capital goods shall be sent to the job worker under the cover of a challan issued by the principal. The challan shall be issued even for the inputs or capital goods sent directly to the job worker. The challan shall contain the details specified in rule 10 of the Invoice Rules.

9) The responsibility for keeping proper accounts for the inputs or capital goods shall lie with the principal.

10) Pursuant to section 143 (5) of the CGST Act, 2017, waste generated at the premises of the job worker may be supplied directly by the registered job worker from his place of business on payment of tax or such waste may be cleared by the principal, in case the job worker is not registered.

11) The principal is also required to file Form ITC-04 including the following details:

· Goods dispatched to a job worker or

· Received from a job worker or

· Sent from one job worker to another