CIN:- (Country India Version)
CREATION OF MATERIAL AND VENDOR MASTER RECORDS:-
Create the
Material which are liable for
Excise Duty in normal MM01 transaction
MAINTAINING OF MASTER DATA:-
BUSINESS SCENARIOS:-
6. STOCK TRANSPORT ORDER
Step 7 – Posting the Excise Invoice
1. Material Management
2. Sales and Distribution
3. Finance Module.
These are the 3 module will be affecting while procuring or selling the excisable material!
1. Enterprise Structure:-
1.1 Excise Registration:-
1.2 Company Code Settings
1.3 Plant Settings
1.4 Excise Group Settings
1.5 Series Group Settings
2. CIN Master Data:-
2.1 Chapter ID
2.2 Material and Chapter ID
2.3 Cenvat Determonation
2.4 Assessable Value
2.5 Vendor Excise Details
CIN Enterprise Structure Configuration:-
IMG
SETTINGS :
1.FINANCIAL ACCOUNTING:
Path - F.Accounting
> FI Global Settings > Tax on Sales & Purchase >
a)
Basic Settings :
Please have a look on following nodes ( Please do not change any
settings here as these are general FI Settings)
1.
Check Calculation Procedure.
Have a close
look in Define procedures. On TAXINJ Control data, which is the pivotal
point for all Indian Tax Calculations
2.
Assign Country to Calculation Procedure – Please
cross-check that the TAXINJ is assigned to India
3.
Specify Structure of Tax Juridiction Code –
(Have a look)
4.
Define Tax Jurdictions : If you want to add any separate Tax
Juridiction code, create it in TAXINJ.
5.
At node India >
a)
Activate Country version for fiscal years –
Check the account interface components are in valid fiscal year period
b)& c) – Settings are
done at Logistics General
2. LOGISTICS - GENERAL
Path - Log.General
> Tax on Goods Movements > India >
1. BASIC
SETTINGS
1. Maintain
Excise Registrations :
Create Excise Registration details here. (eg. X) Please indicate the duty
applicability, Options and number of excise line items in excise invoice
2. Maintain
Company Code settings :
Create the
settings relevant for your company code.
3. Plant
settings:
Create your Plant Setting
with excise registration (X) you have created, If your Plant is operating as a
Depot, Please give the tick.
4. Maintain
Excise Groups :
Create your own excise
group for your Plant with the excise registration (X) already created. Please
have a thorough look on the requirement and set accordingly like creation of
EI, settings at MIGO, Automatic posting etc for your Plant
5. Maintain Series
Groups : (Relevant for Outbound
deliveries, but applicable in MM for Subcontracting)
Create Series group for
the excise registration (X) created already
6. Maintain Excise
Duty Indicators
All possible
Indicators are to be maintained like 100% Duty, 50%, etc
7. Maintain
Postal address : Excise related address Management (Not maintained)
8.
Determination of Excise Duty :
a. Define Tax Calculation Procedure
Please see that TAXINJ is assigned to
India
b. Maintain Excise Defaults : Check
the defaults created in the system.
9. Condition
based Excise Determination :
a. Define
Tax Code for Purchasing Document -
It is basically creation of Tax Code – FTXP – Create as many Tax codes with the
combination of A/P BED, AED & SED as 100% (It means that we are declaring
that the material is 100% excisable) and respective Tax % for CST/ LST for your
working scenarios. This Tax code we will be attaching in PO for populating EDs
& Taxes.
b. Assign
Tax Code to Company code
c. Classify
Condition types : No input here.
2.
MASTER DATA
a.
Maintain Chapter Ids : Maintain the Chapter ID with Excise UOM
b.
Assign Users to M master screen sequence for ED – Not used
c.
Define Form Types - No Input
3.
ACCOUNT DETERMINATION
a. Define
G/L Account for Taxes – It is OB 40 We are not using this because the
accounts are assigned during the creation of Tax code in FTXP
b. Maintain
Excise Account per excise transactions – No data entry
c. Specify
G/L account per Excise transaction All 256 accounts are to be entered by FI.
4.
BUSINESS TRANSACTIONS
a.
Incoming Invoices
1.
Select Fields – No Input
2.
Define processing modes per transaction – Check
the transaction role and activate accordingly. For Transaction code J1IEX,
activate all.
3.
Define Reference document per transaction – No
Input here
4.
Maintain Rejection Codes – Maintain some
rejection codes, which is used while reversing the transactions
5.
Specify Movement types involve Excise Invoices –
Enter the movement types and select the Registers for each combination
b. Outgoing
Invoices - (Its mainly for SD)
1.
Assign Billing Type to Delivery Types –
2.
Maintain default Excise Groups and Series Groups
–
c. Subcontracting
1. Subcontracting
Attributes – Enter all relevant subcontracting attributes here. Please
check the Challan type (57FC), Subcontracting period (Presently it is 180
days), Number of Excise Invoice line items and Number range
2.
Maintain movement type groups – Please check/
enter for the combination of Movement type group and Movement types involved in
Subcontracting
d. Exports
under Excise Regulations - SD
Functionality
e.
Utilization -
1. Utilization
Determination – It is basically fixing the % of CENVAT accounts are to be
debited by the fortnightly Utilization of CENVAT Report. Please note that the
total of distribution should be 100.
2.
Maintain minimum balances for excise accounts –
It is not applicable now.
f. Excise
Registers
1. Specify
SAP Script Forms – You can specify the Form Layout/ Forms here with the
help of ABAP/ Basis.
5. TOOLS
a. Long Texts – Management of
Texts on Excise transactions/ screens
b. Number Ranges - All relevant number ranges for each Excise
group is assigned here.
c. Message Control –
All messages related to CIN are configured here.
Making Transfer posting for subcontracting
- IMG setting
MM > Inventory Management & Physical Inventory >
Goods Issue & Transfer Posting > Define Screen Lay out
In Change view field selection
overview, Select Movement type –541 nad mark the Purchase Order field as an
“optional” entry
Create the
Material which are liable for
Excise Duty in normal MM01 transaction
Create Vendors in XK01 and
don’t forget to enter the CIN Details of the Vendor by clicking on the icon
‘CIN Details’ on the Header. You are entering the CST & LST Numbers, Excise
Registration details and Pan Number. But don’t forget to enter Excise Indicator
of the Vendor and click on CENVAT Scheme participant on Excise duty Tab.
Transaction Code – J1ID
Basically Excise Mater Data
for a Material, Plant & Vendor/ Customer
- MASTER DATA
- Chapter ID – Just check the Chapter ID created in IMG setting under Master Data is appearing here or not.
- Material and Chapter ID combination - Make the entry for Material and Chapter ID for your Plant. If you are using this Material for Subcontracting, give the tick in Subcontracting box. Don’t forget to give ‘X’ mark if the material is declared to Excise at appropriate column. Please select the proper material type.
- Material assessable Value – You can fix up the Net Dealer Value and assessable Value of the Material at a particular Plant
- CENVAT Determination – Here you are declaring the input and Output material for a particular Plant. Tick on default Modvat Indicator
2. EXCISE STATUS
1.
Vendor Excise Details – Enter your Vendor
details created in XK01. Please don’t forget to put the Excise Indicator and
CENVAT determination tick.
2.
Customer Excise Details - SD Functionality
3.
SSI Rate – If the Vendor is SSI, enter the SSI
status, Excise duty and SSI rating.
4.
Excise Indicator for Plant – Enter the Excise
detail of your Plant with Excise Indicator and Number range group.
5.
Excise Indicator for Plant & Vendor – Enter
the combination
6.
Excise Indicator for Plant and Customer – SD
functionality
3. EXCISE RATES
1.
Excise Tax Rate – Specify the excise rates for
BED, AED & SED along with Chapter ID and Excise Indicator.
2.
Cess Rate – Enter the Cess rate, if existing.
3.
Exceptional Material Excise Rate – If the
material is having any exceptional rates, enter here. Please note that this
rate will be picked up on priority, even if you are maintaining another rate in
Excise Tax rate.
4.
Sales Tax set off percentages – Can enter the
data, if applicable.
5.
Quantity based AED & SED – If the quantity
base AED & SED is applicable for a material at a Plant in Chapter ID can
enter here.
- INTERNAL PROCUREMENT OF RAW MATERIAL
It’s a normal
Procurement cycle but with Excise transactions:
Pre-requisite
Customization
and creation of Vendor, Material and
Maintaining Excise Master Records in J1ID.
Step 1. Creation
of Purchase Order
It’s a normal ME21N activity, but make sure that
you have selected GR based Invoice Verification and a proper Tax Code (Created
in FTXP with BED, AED, SED, CST, etc) in Invoice tab of Item detail. Check and
Save the PO and note the PO Number
Step 2 – Capturing Excise Invoice
Transaction code is – J1IEX. Select the tab of
Capture excise invoice. Enter the Po number. Enter your Excise Invoice Number
ad date in respective tabs and check the BED, AED & SED values and rates in
Item Detail, Item and Header data. Check and Save the Data. Note the Internal
Excise Invoice Number. Note the Excise Invoice number system-generated
messages.
Step 3 – Goods Receipt
Do the normal MIGO transaction for that Purchase
Order. On allocating the Storage Location and Flagging the Item OK, Excise Tab
is coming in Header and Item. On Excise tab in Header select Only capture
excise Invoice tab and drill down on Excise Invoice Number and select the
Excise Invoice number created in step 2. Enter the date, check and save the
document. Note the material document Number.
Step 4 – Posting Excise Invoice
It is the same transaction – J1IEX – Select the tab
“POST” tab and enter the internal excise number. No data entry is required.
Check the document. Click on Simulate CENVAT icon and see the posting. If
satisfactory, click on “Post CENVAT” to saving. Note the Accounting document
Number and serial Number. Excise Invoice is posted now. Register RG23A Part I
& II are updated
Step 5 – Vendor Invoice Verification
It’s a normal MIRO transaction. Enter the tax
amount separately. Simulate and then Post the Invoice. Check the postings of
BED, AED & SED, CENVAT clearing account and GR/IR clearing account.
Step 6 – Data and Reporting
1.
For Checking CENVAT Register – Transaction code – J2I9
2.
For Printing Excise Registers – Transaction Code – J2I6
(Any Excise Register can be printed)
2. PROCUREMENT OF
CAPITAL GOODS
The procedure is same, but
use an asset material in Purchase Order. The difference is the duties are
posted in RG23C Part I&II. Also note that the credits will be 50% for the
current year and the balance is credited in CENVAT on Hold account.
3. PROCUREMENT -
IMPORTS
Pre-Requisite –
1. Create
a Vendor as “Customs “ – Normal schema group
2. Create
a (Import) Vendor with a separate Vendor Schema(Y) – in customizing
3. Attach
the Pur Orgn and Vendor Schema(Y) and assign the IMPORT Pricing procedure – in
Customizing
Step 1 – Creation of
Purchase Order
Select the Vendor (Import)
for the PO. Enter the data. In Invoice tab, Don’t select GR based Invoice
verification and select a Tax Code – V0. In Conditions tab, In condition “JCV1”
(In CVD) enter the percentage of CVD to be remitted to Customs. Select the
condition go to details and attach the Vendor as Customs. Check and save.
Step 2 – Invoice
verification for the CVD
Practically when material
is arrived at Customs, they will issue Bill of Lading. This BOL invoice value
in MIRO. Select the PO and select Planned Delivery cost tab. In header enter
the CVD amount and in details tab, check the Invoicing party as Vendor – Customs.
Check and Save the
document. See that the amount is posted in CVD/ customs clearing account
Step 3 – Capturing of
excise Invoice for Bill of Entry
Its an ordinary J1IEX
transaction. But while entering the PO system will ask for a commercial invoice
number, enter the document number which is created during step2. Enter the PO
number and capture excise Invoice. Please see that the CVD is treated as
ordinary BED. Note the Excise Invoice number.
Step 4 – Posting of
Goods Receipt
MIGO transaction w.r.to PO.
Enter the Excise Invoice and commercial invoice number . Check and save the
document.
Step 5 – Posting of
Excise Invoice
Ordinary J1IEX transaction.
Check the data and save the document. Note the Serial number and Accounting
document number.
Step 6 - Invoice Verification
Standard MIRO transaction
for Vendor Invoice.
Check the Reports.
4. SUBCONTRACTING WITH ED
Step 1 Create a
Subcontracting Order
It is an ordinary ME21N
functionality for creating SC Order. See that Components are attached in CS01
or in PO Materials data itself. Also see that the material is declared as a
subcontracting material in Master Data (Material and Chapter ID combination)
Select Tax code as “V0” and
select GR based IV.
In Item conditions, In
condition type –JEXC – IN Manual excise %- Enter the excise percentage and Save
the order.
Step 2 – Transfer
posting of components
It is also an ordinary MB1B
transaction. You can refer the PO and post.
Step 3 – Creation of
Excise Invoice
Go to CIN easy access
select Sales/ Outbound movements > Excise Invoice > For other movements
> Excise Invoice for other movements ( Transaction code – J1IS)
Select the Reference
Document type as “MATD” and enter other data. Also see that It is refereeing
the transfer posting document number. Save the excise Invoice. Note the Excise
Invoice number and FI document number created by system.
You can take the print of
this Invoice by transaction code – J1IV
Step 4 – Capture of
Excise Invoice
On receipt of material from
the Vendor, Capture the Invoice using Transaction code – J1IEX. Enter the
required data and Save the document. Note the document number.
Step 5 – Goods Receipt
It’s the same procedure
what we have done in normal domestic procurement. Enter the required data and
Save the document. Note the document number.
Step 6 – Posting the
excise invoice
Normal J1IEX function same
as that of domestic procurement. Post the Invoice.
Step 7 – Vendor Invoice
verification
Ordinary “MIRO” function.
Post the Invoice and check all repots.
5. SUBCONTRACTING WITHOUT ED
Step 1 Create a
Subcontracting Order
It is an ordinary ME21N
functionality for creating SC Order. See that Components are attached in CS01
or in PO Materials data itself. Also see that the material is declared as a
subcontracting material in Master Data (Material and Chapter ID combination)
Select Tax code as “V0” and
select GR based IV.
Step 2 – Transfer
posting of components
It is also an ordinary MB1B
transaction. You can refer the PO and post.
Step 3 – Creation of
Subcontracting Challan -
In CIN role go to creation
of subcontracting challan (Transaction Code – J1IF01). The screen will display
the material document number created in transfer posting. Input other required
detail, if nay and save the document. Material will go to subcontractor along
with this challan.
Now the processing is
completed and he is supplying the finished product
Step 4 – Goods Receipt
It’s the same procedure
what we have done in normal domestic procurement. But after entering the
details, excise tab will appear in header and item details. In header tab
select the option of “Refer Subcontracting challan”. Go to the details icon and
enter the subcontracting challan number created in step 3. Save the GR and note
the document number.
Step 5 – Reconciling the
Subcontracting challan Quantity
Transaction code is –
J1IFQ. Screen will display the material document of Goods receipt. Click on
reconcile icon, a new screen appears. Enter the assigned quantity at item
detail and save the document.
Step 6 – Completing the
Subcontracting Challan
Transaction code – J1IF13.
Screen will show the detail of challan with a status “In process”, check the
data and save the document. System will give a message that the challan is
completed
Pre-Requisites :
- Creation of Customer Master data – Create both the Plants are Customers in XD01
- Creation of Vendor Mater data – Create both the Plants are Vendors. For each Vendor select the other Plant as the Customer (already created in Serial No.1).
- IMG Settings : In MM > Purchasing > Purchasing
Order > Set up Stock Transport Order > Define Shipping data for
Plants.
Select each Plant and enter Customer number of the
other plant created in Step1 along with the data of Sales Org, etc.
- Excise Master Data - In J1ID, see that the material data is entered for both the Plants.
Process Flow
Step 1 - Creation of Stock Transport Order.
In ME21N, mention the Issuing
Plant. Please check the item tab Invoice and see the Tax juridiction code as
IN00. Check and Save the PO.
Step 2 – Transfer Posting
Do the transfer posting in MB1B
with proper Plant selection and movement type 351. Refer the PO and adopt the
details. Note the Material document number.
Step 3 – Creation of Excise
Invoice
Create Excise Invoice for other
movements in J1IS. Select the document type as MATD. See that the system is
automatically creating the Invoice. Note the Excise Invoice Number and FI
document number created by the system.
Step 4 – Posting of Excise
Invoice
The Transaction code is J1IV.
Save the document and take the print.
Now the Material is reached at 2nd
Plant. The activities at that Plants are :
Step 5 – Capturing of Excise
Invoice
Its an ordinary J1IEX
transaction. Capture the Invoice against the stock Transport Order. See that
Plant 2 is automatically appeared. Enter the required detail and save the
document and note the internal number.
Step 6 – Goods Receipt
It is also an ordinary MIGO transaction. Enter
the excise invoice details, save the document and note the material document
number.
J1IED transaction. Select the tab as posting against Vendor
Excise Invoice. Input the required detail. Click on SIMULATE CENVAT and see the
postings. If it is OK, Post the Invoice. Note the serial number and Accounting
document number.
ETT Types:-
| 57CM | 57F CHALLAN COMPLETION |
| 57FC | 57F CHALLAN CAPTURE/CHANGE |
| 57NR | 57F NON RECEIPT |
| ARE1 | EXPORT PROCESSING UNDER ARE1 |
| ARE3 | DEEMED EXPORTS UNDER ARE3 |
| CAGI | CAPITAL GOODS ISSUES |
| CAPE | CAPITAL GOODS |
| CEIV | CANCELLATION OF EXCISE INVOICE |
| DIEX | DIFFERENTIAL EXCISE THROUGH JV |
| DLFC | GOODS REMOVAL THROUGH SALES |
| EWPO | EXCISE INVOICE WITHOUT PO |
| GRPO | EXCISE INVOICE FOR GOODS RECEIPT/PO |
| MRDY | REVERSAL WITHOUT REFERENCE |
| MRRD | REVERSAL INCASE OF COMSUMPTION OTHER THAN PRODUCTI |
| MRWO | CENVAT REVERSALS FOR WRITE OFF |
| OTHR | EXCISE INVOICE FOR OTHER MOVEMENTS |
| TR6C | PLA ACCOUNT ADJUSTMENT THROUGH |
| UTLZ | FORTNIGHTLY PAYMENTS |
