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Former Member
Dec 06, 2011 at 07:56 AM

Job Work with Excise

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Hi

Request you to please guide me in the following scenario:

We send 50 Kg of Blue Ink to our Vendor. The Vendor mix one u201CPaste Materialu201D with the blue Ink and produces Red Ink and send back to us.

Here the Vendor is charging 100/ Kg for the processing the Ink along with 10.3% Service Charge.

On the u201CPaste Materialu201D, he charges us 10.3% Excise, Cenvatable, and Vat 5% .

How to handle the u201CPaste Materialu201D in this process? Will it be a part of subcontracting PO?

Also request you to please send the steps in subcontracting process related with Excise Material. I am aware of the generic subcontracting process. Excise I am doing for the first time.

Regards,

PK