ITC-04 Filing Services

ITC-04 is the statutory statement under Section 143 of the CGST Act, 2017 read with Rule 45 of the CGST Rules, in which a principal manufacturer / registered taxpayer reports details of goods sent to a job worker, goods received back from a job worker, and goods sent directly from one job worker to another. It is neither a tax-paying return nor a summary return — it is a pure tracking and reconciliation statement that enables the principal to enjoy the special job-work provisions: sending inputs and capital goods to a job worker without payment of GST, and retaining ITC on such inputs in the principal's own books.

The rules are strict on timelines. Inputs must be received back from the job worker within one year, and capital goods (other than moulds, dies, jigs, fixtures, and tools) within three years, from the date the goods were sent out or from the date the job worker received them. If these timelines are breached, the goods are deemed to have been supplied by the principal on the date they were originally sent out — triggering tax, interest, and potentially penalty. ITC-04 is the single statement where all this movement is consolidated and defended — making it a critical document during audits, assessments, and litigation on job-work claims.

We offer end-to-end ITC-04 Filing Services — from building and reconciling the job-work register, preparing the half-yearly or yearly ITC-04 challan-wise data, reconciling with delivery challans, e-way bills, and job-work invoices, filing the statement on the GST portal within due dates, managing overdue stock through deemed supply treatment, and handling audit / assessment queries on job-work transactions — so your job-work framework stays fully GST-compliant, ITC is preserved, and deemed-supply exposure is kept to zero.

Sec 143

Job-work special provisions

Rule 45

ITC-04 governing rule

1 Year / 3 Years

Return timeline for inputs / CGs

Half-Yearly

Filing frequency for larger units

Laws & Frameworks We Work Under

CGST Act – Sec 143

CGST Act – Sec 19 (ITC)

CGST Rules – Rule 45

CGST Rules – Rule 55 (Challan)

Form GST ITC-04

E-Way Bill Rules

Deemed Supply – Sec 143(3)/(4)

ITC Rules – Sec 16 / 17

Two Filing Frequencies for ITC-04

Half-Yearly

Half-Yearly ITC-04 (Large Units)

Principal with aggregate turnover above ₹5 crore files ITC-04 twice a year on a half-year basis.

Applicable for turnover > ₹5 crore
Period 1: April – September
Period 2: October – March
Due date: 25th of next month
Captures all job-work movement
Critical for audit defence

Annual

Annual ITC-04 (Small Units)

Principal with aggregate turnover up to ₹5 crore files ITC-04 once a year for the full financial year.

Applicable for turnover ≤ ₹5 crore
One consolidated statement
Due date: 25 April of next FY
Same data fields as half-yearly
Still subject to 1 / 3-year limits
Preferred by MSME principals

What ITC-04 Actually Reports

Out

Goods Sent to Job Worker

Challan-wise details of inputs and capital goods dispatched from principal to each job worker.

Delivery challan details
Job-worker GSTIN / address
Item description & HSN
Quantity & taxable value
Date of dispatch
E-way bill reference

Goods Received Back

Details of processed or unprocessed goods received back from the job worker to the principal.

Linked to original challan
Processed / unprocessed split
Waste & scrap handling
Loss / normal wastage
Date of receipt back
Return e-way bill data

Direct

Job Worker to Job Worker

Direct movement of goods from one job worker to another, and direct supply from job worker's premises.

Inter-job-worker transfers
Direct supply under Sec 143
Premises declaration option
GSTIN mapping
Original challan linkage
Sale from job worker's site

Our ITC-04 Filing Services

Applicability Assessment

Determining whether your business is required to file ITC-04 and the correct filing frequency.

Job-Work Register Design

Designing or reviewing the job-work register to capture challan, GSTIN, and timeline data cleanly.

Data Reconciliation

Reconciling delivery challans, e-way bills, job-work invoices, and inventory records into one dataset.

Half-Yearly / Annual Filing

Preparation and filing of ITC-04 on the GST portal with proper categorisation of inputs and capital goods.

Timeline & Deemed Supply

Tracking 1-year / 3-year limits, identifying overdue stock, and managing deemed supply exposure.

E-Way Bill Integration

Aligning job-work challans with e-way bills for outward and inward movement across states.

Audit & Assessment Support

Handling departmental queries, audit points, and notices relating to job-work ITC and timelines.

Clean-Up of Legacy Stock

Regularising long-pending job-work stock through payment, return, or deemed supply treatment.

Common Job-Work Scenarios Covered

Inputs

Raw Material Processing

Raw materials sent for cutting, grinding, polishing, dyeing, plating, or other job-work processing.

1 Year Inputs

Capital Goods

Machinery & Tooling

Capital goods sent to job worker for manufacturing activity or processing of principal's goods.

3 Years Capital

Textile

Textile Job-Work

Yarn, fabric, and garment manufacturers sending fabric for dyeing, printing, stitching, and finishing.

Textile Multi-stage

Auto

Auto Component Job-Work

OEMs and Tier-1 suppliers sending components for machining, coating, assembly, and sub-assembly.

OEM Tier-1

Pharma

Pharma & Chemicals

API and formulation movement for contract manufacturing, blending, granulation, and packing.

API Loan Licence

FMCG

Contract Manufacturing

FMCG / food brands using third-party factories for manufacturing under the principal's brand.

CMO Packing

Jewellery

Jewellery & Metals

Gold, silver, and other precious metal sent to karigars and refiners for various stages of job-work.

Karigar Refining

Moulds

Moulds, Dies & Tools

Moulds, dies, jigs, fixtures, and tools — no time limit under Section 143 for these specified items.

No Limit Tools

When You Need Strong ITC-04 Compliance

Manufacturer With Job Workers

You are a manufacturer regularly sending inputs or capital goods to external job workers.

High Job-Work Stock Volume

Significant value / quantity of inputs or capital goods is lying with job workers at any given time.

Multi-Stage Processing

Goods move through 2-3 job workers before returning to the principal — complex challan chains.

Approaching 1 / 3-Year Limit

Long-pending challans near the statutory limit exposing the business to deemed supply risk.

Audit / Assessment Notice

Department has initiated a job-work scrutiny or flagged ITC-04 non-filing / mismatch issues.

Direct Supply from Job Worker

You supply goods directly from job worker's premises to end customers under Sec 143.

Legacy Non-Filing

Multiple half-years / years of ITC-04 pending, requiring a clean-up project before audit.

ERP / SAP Setup

Designing job-work flows in ERP such that challan, e-way bill, and ITC-04 data all sync correctly.

Information & Documents Needed for ITC-04

Outward Movement Data

Delivery challans (Rule 55)
Job-worker GSTIN / address
Item description & HSN codes
Quantity & taxable value
Date of dispatch
E-way bill numbers
Transporter / vehicle details

Inward Movement & Return

Return delivery challans
Job-worker invoice / bill
Processed goods details
Waste / scrap return data
Normal loss workings
Date of receipt back
Inter-job-worker transfers

Registers & Reconciliations

Job-work stock register
Reconciliation with books
Capital goods / WDV records
Stock with each job worker
Ageing of outward challans
Prior ITC-04 filed, if any
Portal login & DSC

Our End-to-End ITC-04 Filing Approach

Scope & Register

Mapping all job-work flows and designing / reviewing the job-work register and ledgers.

Data Extraction

Pulling delivery challans, e-way bills, and inward records from ERP / accounting systems.

Reconciliation

Tying outward vs inward movement, identifying open stock and flagging overdue challans.

ITC-04 Filing

Preparing and filing ITC-04 on the GST portal for half-yearly or annual period as applicable.

Ongoing Control

Setting up monthly ageing dashboards, SOPs, and alerts to prevent future timeline breaches.

Why Choose Us for ITC-04 Filing

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Strong manufacturing sector experience

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Robust job-work register design

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Timeline & deemed supply protection

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Challan, e-way bill & ITC-04 sync

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Multi-stage processing expertise

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Sector-wise templates (textile, auto, pharma)

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Audit-ready working papers

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Legacy clean-up capability

FAQs on ITC-04 Filing

What exactly is ITC-04 and who is required to file it?

ITC-04 is a statement of job-work transactions required to be filed by a principal (manufacturer / taxpayer) under Section 143 of the CGST Act read with Rule 45 of the CGST Rules. It reports goods sent to a job worker, goods received back from a job worker, and goods sent from one job worker directly to another. Every registered principal who dispatches inputs or capital goods for job-work under delivery challans is required to file ITC-04. It is not required from the job worker — only from the principal. Composition dealers, NRTPs, and certain other categories are outside this framework.

What is the filing frequency and due date for ITC-04?

The filing frequency depends on the aggregate turnover of the principal. Taxpayers with aggregate turnover above ₹5 crore in the preceding financial year are required to file ITC-04 half-yearly — for April–September by 25 October and for October–March by 25 April. Taxpayers with aggregate turnover up to ₹5 crore are required to file ITC-04 on an annual basis, with the due date generally being 25 April of the next financial year. These dates may be extended through CBIC notifications — we track the applicable due date for each client and file well within time.

What are the 1-year and 3-year rules under Section 143?

Section 143 allows a principal to send inputs and capital goods to a job worker without payment of GST, subject to strict return timelines. Inputs must be received back (or cleared on direct supply) within one year, and capital goods within three years, from the date of dispatch or the date the job worker received the goods. If these timelines are breached, the goods are deemed to have been supplied by the principal to the job worker on the original date of dispatch — triggering tax, interest, and penalty exposure. Moulds, dies, jigs, fixtures, and tools are specifically excluded from these timelines.

What happens if goods are not received back within the time limit?

If inputs are not received back within one year or capital goods (other than moulds, dies, jigs, fixtures, and tools) within three years, the transaction is treated as a deemed supply under Section 143(3) / (4). The principal is required to discharge output tax on the value of such goods along with interest from the original date of dispatch. At the same time, the principal can avail ITC on such deemed supply, effectively making it a tax-neutral adjustment in most cases — but only if the deemed supply is properly reported. ITC-04 is the key document used to track and defend these cases during audit.

Is ITC-04 required if we only send moulds, dies, and tools?

The treatment for moulds, dies, jigs, fixtures, and tools is special. While these items are not subject to the three-year return rule under Section 143, their movement from principal to job worker still needs to be executed under a delivery challan, accompanied by an e-way bill where applicable, and typically tracked in the job-work register. Most principals therefore continue to include such items in their internal records and in ITC-04 reporting for audit-trail purposes, even though the time-limit trigger does not apply. We design the register so these items are visible but clearly flagged as excluded from the 3-year rule.

Can goods be supplied directly from the job worker's premises?

Yes. Section 143(1)(a) permits the principal to supply the processed goods directly from the job worker's premises — either to domestic customers on payment of tax, or on export. However, to enable this, the principal must have declared the job worker's premises as an additional place of business in the principal's own GST registration, unless the job worker himself is registered. Such direct supplies are also captured in ITC-04, under the relevant table for "goods sent from one job worker to another or sold from job worker's premises". We help clients set up this declaration and manage the related documentation.

What are common errors in ITC-04 that lead to litigation?

Recurring errors include — mismatches between delivery challans and e-way bills, missing challan numbers in ITC-04, wrong classification between inputs and capital goods, incorrect GSTIN of the job worker, failure to track overdue challans, unexplained differences between job-work stock register and the balance sheet, and non-disclosure of direct supplies from job worker's premises. During audits, these issues can snowball into large deemed-supply demands. Our review approach is designed to catch these mismatches at the data-preparation stage itself, well before the portal filing.

How do we clean up ITC-04 for past non-filing years?

Legacy ITC-04 clean-up requires a structured approach — reconstructing the job-work register from delivery challans, e-way bills, job-worker invoices, and inventory records for each period; ageing the outward challans and identifying any goods beyond the 1 / 3-year window; quantifying the deemed supply exposure with tax and interest; and then filing the pending ITC-04s period by period on the GST portal. In parallel, we document the full reconciliation so that it stands up to audit scrutiny. For large legacy issues, this is typically run as a time-boxed project with clear milestones and a final MIS for management.

Protect Your Job-Work ITC — Zero Surprises, Zero Deemed Supply

Partner with our specialists for end-to-end ITC-04 Filing Services — job-work register design, reconciliations, half-yearly / annual filings, and legacy clean-up — all under one roof.

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