TMI BlogGST on Retrun of Durable Packing or Empty ContainersX X X X Extracts X X X X X X X X Extracts X X X X ..... GST on Retrun of Durable Packing or Empty Containers X X X X Extracts X X X X X X X X Extracts X X X X ..... such durable packing containers or empty boxes to Supplier- GST will be applicable on such durable packing or empty boxes ? If no, how Delivery challan will be prepared for returning of such packing ? Reply By Alkesh Jani: The Reply: Sir, In this regards, my point of view is that, GST will be applicable only on the value of goods and Recipient will prepare the Delivery Challan and will retur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n back the packing containers. Further, this issue has been clarified by the Board vide Circular No. 53/2018 dated 09.08.2018, the relevant portion is reproduced below:- "Though, the refinery would be liable to pay GST on such returned quantity of petroleum gases, when the same is supplied by it to any other person. It is reiterated that this clarification would be applicable mutatis mutandi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s on other cases involving supply of goods, where feed stock is retained by the recipient and remaining residual material is returned back to the supplier. The net billing is done on the amount retained by the recipient." Hope this will help to the query raised. Thanks, With regards Reply By KASTURI SETHI: The Reply: No transfer of title in respect of durable and returnable packing is in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... volved. Hence it does not fall in the scope of 'Supply'. No GST is applicable on returnable packing.GST will be levied on the value charged for the supply only. Challan for movement of goods (returnable & durable packing) without supply is to be issued in terms of Rule 55 of CGST Rules. I also support the views of Sh.Alkesh Jani Ji. In order to make the concept clearer, also see the case ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... law pertaining to pre-GST era. 1997 (94) E.L.T. 16 (S.C.) = 1997 (7) TMI 128 - SC ORDER COLLECTOR OF CENTRAL EXCISE, BOMBAY-III Versus CENTURY SPG. & MFG. CO. LTD. Reply By Ramesh Kothari: The Reply: It is obvious that if package material sold without charging GST on packing item and specific mentioned in Invoice that packing material is returnable in that case when buyer return it to seller n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o GST applicable and it will be return by way of challan with reference to mentioning against which purchase invoice it was brought in X X X X Extracts X X X X X X X X Extracts X X X X
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