Financial postings for Sales returns

This functionality is specific for India.

The excisable goods sold on payment of duty can be returned back to manufacturing premises, for rework or for any other reason. The receipts of these goods must be maintained separately. Certain prerequisites must be set up before using the Financials. For details, refer to Prerequisites for using financial postings.

In the below example, the ledger accounts are defined for each excise tax code in the Posting Data for Tax Codes (tfgld0171s000) session. The Customer control account is defined in the Accounts by Financial BP Group (tfacp0110m100) session.

An item is purchased for 100, with Excise Duty 16 and sold for 120.

Step 1. When the sold goods are returned after the payment of excise duty

Debit/ Credit	Ledger Account	Amount
Debit	CENVAT Credit Receivable	INR 16
Debit	Sales Returns	INR 100
Credit	Customer control	INR 116

Step 2. When the sold goods are returned without the payment of excise duty

Debit/ Credit	Ledger Account	Amount
Debit	Excise duty payable	INR 16
Debit	Sales Returns	INR 100
Credit	Customer control	INR 116