The coming of e-way bills has standardised compliance documents while transporting goods across states. However, issuing e-way bills during transport is not just limited to a transporter or end consumers but also job workers.
Read this article to learn more about job work and how it relates to the e-way billing system.
What Do You Mean by Job Work?
Job work is the undertaking of any treatment or process by a person on goods belonging to another registered taxable person. The process of job work applies during the initial process and completion process.
Further, it applies to intermediate processes, assembly, packing or other complete manufacturing. Any person who treats or processes the goods belonging to another person is called a ‘“job worker,” and any person to whom the goods belong is called ‘principal’.
Compliance Requirements for E-way Bills by Manufacturers
There are occasions when you must generate job work e-way bills even when the value of goods exceeds ₹50,000, thus creating no job work e-way bill limit. The scenarios are
| Scenario | Person Responsible for E-way Bill Generation and Other Compliance Processes |
| The interstate transfer of goods from a principal to a job worker in another state | The principal or the registered job worker |
| The interstate transfer of handicraft goods by an unregistered dealer under the GST | The consignee of the shipped goods(the one who receives the shipment) |
E-way Bill and Job Work
As job work involves the movement of goods, it would require e-way bills too.
The common scenarios where you need an e-way bill for job work are
- The principal sends inputs to the job worker.
- The vendor sends inputs directly to a job worker.
- The principal receives inputs after the job worker completes the work.
- The job worker supplies finished goods directly to the end customer.
The Principal Sends Inputs to the Job Worker
Suppose the principal is located in a different state and transfers his goods to a job worker in another state. In that case, the principal must generate the e-way bill.
The threshold limit is not applied here. So, even if the value of products provided to the job worker does not exceed INR 50,000, the principal must generate the e-way bill.
