Ans:
The GST regime provisions state that no tax is payable on semi-finished goods or inputs used in job works, certain processes using these input goods, and the return of such goods on or after July 1, 2017, subject to the below conditions.
The goods are declared in the format GST TRAN-1 as held by a job worker.
The input goods are returned to the factory in a period not exceeding 6 months from GST implementation. Such a period is extended by another 60 days if sufficient cause exists.
The semi-finished goods are supplied on tax payment within India or such goods are exported within a period of 6 months from GST implementation and can be extended by a maximum of 60 days with sufficient cause.
The ITC documents for GST migration and amounts claimed under it are recovered if the goods are not returned within the 6 months provided.