PROVISIONS

( 1) A registered person {lter?after in this section referred to as the "principal") may, under intimation and subject to such conditions as may be prescribed, send any inputs or capital goods,withoutpayment of tax,to a job worker for job work andfrom there subsequently send to another job worker and likewise, and shall,- ( a) bring back inputs, after completion of job work or otherwise, or capital goods, other than moulds and dies, jigs and fixtures, or tools, within one year and three years, respectively, oftheir being sent out, to any of his place of business, without payment of tax; (b) supply such inputs, after completion of job · work or otherwise, or capital goods, other than moulds and dies, jigs and fixtures, or tools, within one year and three years, respectively, of their being sent out fromthe place of business of a job worker on payment of tax within India, or with or without payment of tax for export, as the case may be: Provided thatthe principal shall not supply the goods from the place of business of a job worker in terms of clause (b) unless the said principal declares tne place of business ofthe job-worker as his additional place of business except in a case- (i) where the job worker is registered under section 25; or (ii) where the principal is engaged in the supply of such goods as may be notified by the Commissioner. (2) The responsibility for keeping proper accounts for the inputs or capital goods shall lie with the principal. (3} Wherethe inputs sent for job work are not received back by the principal after completion of job work or otherwise in accordancewith clause (a) of sub-section ( 1) or are not supplied from the place of businessofthe job worker in accordance with clause (b) of sub-section (1) within a period of one year of their being sent out, it shall be deemed that such inputs had been,suppliedby the principal to the job-worker on the day whenthesaid inputs were sent out. Job work procedure. 147 ( 4) Where the capital goods, other than moulds and dies, jigs and fixtures, or tools, sent for job work are not received back by the principal in accordance with clause (a) of sub-section (I) or are not snpplied from the place of business of the job worker in accordance with clause (b) of sub-section ( 1) within a period of three years of their being sent out, it shall be deemed that such capital goods had been supplied by the principal to the job-worker on . the_ day when the said capital goods were sent out. (5) Notwithstanding anything contained in sub-sections (1) and (2), any waste and scrap generated during the job work may be supplied by the job worker directly from his place· of business on payment of tax, if such job worker is registered, or by the principal, if the job worker - is not registered. · Explanation :'- For . the purpose of job work, input includes intermediate goods arising from any treatment or process carried . out on the inputs by the principal or the job worker.