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production work on piece rate

Central Excise - Started By: - Narendra Soni - Dated:- 5-11-2015 Last Replied Date:- 15-11-2015 - Dear Expert, Can a manufacturer give with in his own factory to contractors on job work under notification 214/86-ce-dtd.25.03.15 ( contractor will bring his labour only , all other are of manufacturer) Suppose X is a manufacturer of fabric. X' desired to give production to contractors based on per kg. RM/Machines/place all are within factory of X and belongs to X .Contractor will employe labour .....

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25.3.1986 which is as under :- (2) The exemption contained in this notification shall be applicable only to the said goods in respect of which, - (i) the supplier of the raw materials or semi-finished goods gives an undertaking to the Assistant Commissioner of Central Excise or Deputy Commissioner of Central Excise having jurisdiction over the factory of the job worker that the said goods shall be- ..... In view of above, it therefore appears that the goods have to be supplied to the factory of .....

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