Section 19 — Transitional provisions relating to job work.

19. Transitional provisions relating to job work.—(1) Where any inputs received at a place of 

business had been dispatched as such or dispatched after being partially processed to a job worker for 

further processing, testing, repair, reconditioning or any other purpose in accordance with the provisions of 

existing law prior to the appointed day and such inputs are returned to the said place on or after the 

appointed day, no tax shall be payable if such inputs, after completion of the job work or otherwise, are 

returned to the said place within six months from the appointed day: 

Provided that the period of six months may, on sufficient cause being shown, be extended by the 

Commissioner for a further period not exceeding two months: 

Provided further that if such inputs are not returned within a period of six months or the extended 

period from the appointed day, the input tax credit shall be liable to be recovered in accordance with the 

provisions of clause (a) of sub-section (8) of section 142 of the Central Goods and Services Tax Act. 

(2) Where any semi-finished goods had been despatched from any place of business to any other premises 

for carrying out certain manufacturing processes in accordance with the provisions of existing law prior to the 

appointed day and such goods (hereinafter in this section referred to as “the said goods”) are returned to the 

said place on or after the appointed day, no tax shall be payable if the said goods, after undergoing 

manufacturing processes or otherwise, are returned to the said place within six months from the appointed day: 

Provided that the period of six months may, on sufficient cause being shown, be extended by the 

Commissioner for a further period not exceeding two months: 

Provided further that if the said goods are not returned within a period specified in this sub-section, 

the input tax credit shall be liable to be recovered in accordance with the provisions of clause (a) of sub-

section (8) of section 142 of the Central Goods and Services Tax Act: 

Provided also that the person despatching the goods may, in accordance with the provisions of the 

existing law, transfer the said goods to the premises of any registered person for the purpose of supplying 

therefrom on payment of tax in India or without payment of tax for exports within six months or the 

extended period, as the case may be, from the appointed day. 

(3) Where any goods had been despatched from the place of business without payment of tax for 

carrying out tests or any other process to any other premises, whether registered or not, in accordance 

with the provisions of existing law prior to the appointed day and such goods are returned to the said 

place of business on or after the appointed day, no tax shall be payable if the said goods, after undergoing 

tests or any other process, are returned to such place within six months from the appointed day: 

Provided that the period of six months may, on sufficient cause being shown, be extended by the 

Commissioner for a further period not exceeding two months: 



11  

Provided further that if the said goods are not returned within the period specified in this sub-section, 

the input tax credit shall be liable to be recovered in accordance with the provisions of clause (a) of sub-

section (8) of section 142 of the Central Goods and Services Tax Act: 

Provided also that the person despatching the goods may, in accordance with the provisions of the 

existing law, transfer the said goods from the said other premises on payment of tax in India or without 

payment of tax for exports within six months or the extended period, as the case may be, from the 

appointed day. 

(4) The tax under sub-sections (1), (2) and (3) shall not be payable only if the person despatching the 

goods and the job worker declare the details of the inputs or goods held in stock by the job worker on 

behalf of the said person on the appointed day in such form and manner and within such time as may be 

prescribed.