Whether goods sent by a taxable person to a job worker will be treated as supply and liable to GST? Why?

No, goods sent by a taxable person to a job worker will not be treated as supply and liable to GST. This is because, under Section 43A of the Goods and Services Tax (GST) Act, 2017, "supply of goods by a registered person to a job worker for job work shall not be treated as supply of goods."

The reason for this is that the job worker is merely performing a service on the goods, and does not acquire any ownership interest in them. The goods remain the property of the principal throughout the job work process.

As a result, no GST is payable on the supply of goods to a job worker. However, the job worker may be liable to pay GST on the services that they provide.

Here are some additional things to keep in mind about GST and job work:

• The principal must issue a challan to the job worker when sending goods for job work.
• The job worker must maintain proper records of the goods that they receive for job work.
• The job worker must return the goods to the principal within a reasonable time period.
• If the job worker does not return the goods within the specified time period, the goods will be deemed to have been supplied by the job worker to the principal, and GST may be payable on the supply.