RG 23D dealer

This functionality is specific for India.

RG 23D dealer is a dealer or a consignment agent who is not a manufacturer but deals with the excisable goods. Manufacturer and RG 23D dealer can issue an excise invoice and dealer invoice respectively for an excisable item, if they are registered with the Central Excise authorities. However, dealer invoice issued by the RG 23D dealer must contain only the actual excise duty paid by the manufacturer. The duty is not re-calculated. RG 23D dealer forwards the duty to the buyer and cannot claim the Cenvat credit. Only First stage dealer and Second stage dealer can issue CENVAT invoice. A unique folio number is generated for each receipt in a RG 23D warehouse, against which the item is issued.

In the Warehouses (tcmcs0103s000) session, you must select the RG23D Warehouse checkbox.

RG 23D receipts

When an invoice is received in a RG 23D warehouse, the claimable excise duty is maintained in the CENVAT distribution account and cannot be used for CENVAT credit.

RG 23D receipts are maintained for the following transactions:

  • Purchase receipts
  • Sales return

When an excisable item is received in a RG 23D warehouse, the additional details of the buy-from business partner are maintained as follows:

  1. In the Warehouse Receipt (whinh3512m000) session, on the Specific menu, select Capture/View GPD. The Capture Goods Pass Out Document (whinh9540s10l) session starts.
  2. In case the Dealer Status field is set to First Stage Dealer or Second Stage Dealer, following fields are enabled and the normal excise procedure is followed.
    • Supplier Folio Number
    • Manufacturer Name
    • Manufacturer Invoice Number
    • Manufacturer Invoice Date
    • Quantity Manufacturer Supplied
    • Manufacturer Assessable Value
    • Duty Paid by Manufacturer
    Note: The Dealer Status field is enabled only for RG 23D warehouse.
  3. For more information on the normal excise procedure, refer to Excise duty process in Normal Purchases.

In the Capture Goods Pass Out Document (whinh9540s10l) session, if the Dealer Status field is set to First Stage Dealer or Second Stage Dealer, the procedure of RG 23D receipts is as follows:

  1. In the Warehouse Receipt (whinh3512m000) session, on the Specific menu, click RG 23 D Receipts. This option is enabled for the RG 23D warehouse if the item is excisable. The RG 23 D Receipts (whinh9541m00l) session starts.
  2. The order details are defaulted from the Display Goods Pass Out Document (whinh9540m000) session. LN generates the Folio Number based on the number series defined in the RG23D Folio Number Group of the Tax Details By ECC/GSTIN (tccom9139m00l) session.
    • The Put Away Quantity and the Balance Quantity are defaulted from the Received Quantity in Inventory Unit field in the Warehouse Receipt (whinh3512m000) session.
    • LN updates the Balance Quantity when an issue is made against a folio in the RG 23D Folio Wise Issues (whinh9142m00l) session.
  3. In the RG 23 D Receipts (whinh9541m00l) session, click RG23D Receipts Against Folio Lines; the RG 23D Receipts Against Folio Lines (whinh9137m00l) session starts.
  4. LN defaults the tax details of the folio from the Goods Pass Out Document Lines (whinh9136m00l) session.
  5. The claimable excise duty is maintained in CENVAT distribution account and all the non-claimable taxes are added to the inventory cost.
Note

When the receipt is from a third stage dealer, you must use tax codes for which the Expense Purchase Tax check box is selected in the Tax Codes by Country (tcmcs0136s000) session. The duties are added to the inventory value.

RG 23D issues

The goods are issued from a RG 23D warehouse against the folio number of the receipt item. CENVAT credit can be availed only by the 1st stage and 2nd stage dealers. Therefore, when a third stage dealer sells an excisable item, the buyer cannot avail the CENVAT credit and the excise duty is added to the cost of the item. RG 23 D issues are maintained for the transactions of type Sales order.

The following is the issue procedure in a RG 23D warehouse if the supplier is a manufacturer or a first stage dealer:

  1. Select RG 23D Folio Wise Issues from the Specific menu in the Shipment Lines (whinh4131m000) session. This option is enabled only for a RG 23D warehouse and excisable item. The RG 23D Folio Wise Issues (whinh9142m00l) session starts.
  2. In the Folio Number field, use the browse arrow to select a folio from the RG 23 D Receipts (whinh9541m00l) session. You cannot select a closed folio. Balance Quantity Before Issue, Balance Excise, Balance Cess fields are defaulted with the corresponding values.
  3. In the Quantity Issued field, you must enter the value greater than zero and less than the Balance Quantity Before Issue and Shipped Quantity.
  4. LN compares the quantities specified in the Balance Quantity Before Issue field and the Shipped Quantity field. The lesser of the two values is defaulted in the Quantity Issued field. LN adds the Quantity Issued to the Total Issue Quantity field.
  5. In the RG 23D Folio Wise Issues (whinh9142m00l) session, click RG23D Folio Wise Issue Lines; the RG23D Folio Wise Issue Lines (whinh9138m00l) session starts.
  6. LN defaults the tax details when the folio is updated in the RG 23D Folio Wise Issues (whinh9142m00l) session.
  7. Excise and cess are calculated for the Quantity Issued.
  8. Print the dealer invoice with original excise details in the Compose/Print/Post Invoices (cisli2200m000) session.
  9. Confirm the shipment when the Total Issue Quantity is equal to Shipped Quantity.
  10. Use the Close Folio (whinh9241m00l) session to close the folio when the balance quantity against the folio is zero.
  11. The claimable excise duty is maintained in the Cenvat distribution account and all the non-claimable taxes are added to the inventory cost.
  12. For details of the issues made against a folio entry, use the Print RG23D Foliowise Register (whinh9448m00l) session.

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