Excise duty process (outgoing) for normal sales

This functionality is specific for India.

The Goods pass out document or excise invoice is a legal document printed in the Warehousing or in the Invoicing. If the Sales Cum Excise Invoice check box is selected in the India Localization Parameters (tccom9136m00l) session, the sales and excise invoice are printed. Otherwise, only the excise invoice document is printed. The document must be sent to the customer with shipped goods. The excise invoice states the amount of the excise duty. The customer can use the excise invoice to claim back the excise amount paid as CENVAT credit.

The business scenarios for the excise duty for outgoing goods are as follows:

  • Normal sales
  • AS SUCH Capital goods
  • AS SUCH non capital goods
  • Inventory transfers
  • Purchase returns

The excise duty process for the normal sales is as follows:

  • Create Sales order
    In the Sales Orders (tdsls4100m000) session, create sales order header.
  • Create Sales Order lines

    In the Sales Order Lines (tdsls4101m000) session, you can create the sales order line for the item. LN defaults the assessable value of excise in the following order of preference.

    • If the MRP for Excise check box is selected in the Item Data for Indian Localization (tcibd9137m00l) session, you can change the amount of the item in the order lines. LN defaults the MRP value from the MRP of Item (tcibd9139m00l) session and the ASV Origin for Excise field is set to Maximum Retail Price.
    • If MRP is not applicable for the order line, LN defaults the tariff price from the Assessable Value (tcibd9138m00l) session and the ASV Origin for Excise field is set to Tariff.
    • If the tariff price is not defined, LN defaults the order line price as assessable value and the ASV Origin for Excise field is set to Order Line.
  • Select aggregate tax code
    In the Sales Order Lines (tdsls4101m000) session, select the aggregate tax code from the Tax Codes by Country (tcmcs0536m000) session.
  • Approve the sales order
    In the Sales Order Lines (tdsls4101m000) session, on the appropriate menu, click Approve. Click Tax Breakdown Structure to view the calculations of the estimated tax details. LN calculates the estimated excise duties using aggregate tax code.
  • Release the order to warehouse
    In the Sales Order - Lines (tdsls4100m900) session, on the appropriate menu, click Release to Warehousing; the sales order is released to Warehousing. Sales order lines are copied to Outbound order lines in the Outbound Order Lines (whinh2120m000) session. Generate and release the outbound advice.
  • Capture excise shipment information
    In the Capture GPD Shipment Header LR Information (whinh9145m00l) session, enter the following information of the goods shipped:
    • Dispatch Destination
    • Reason for Removal
    • Remark I
    • Remark II
    • In the Capture GPD Shipment Header LR Information (whinh9145m00l) session, on the appropriate menu, click GPD Shipment Line LR Information; the Reason for Removal (whinh9146m00l) session opens. Select the shipment line and on the appropriate menu, click Capture GPD Shipment Line LR Information; the Capture GPD Shipment Line LR Information (whinh9148m00l) session opens. Enter the lorry details as follows:
      • LR Number
      • LR Date
      • Lorry Number
      • Number of Packages
    The excise invoice must be printed if the Sales Cum Excise Invoice check box is not selected in India Localization Parameters (tccom9136m00l) session.
  • Confirm Shipments
    In the Capture GPD Shipment Header LR information (whinh9145m00l) session, on the appropriate menu, click Approve to approve shipment lines. LN does not allow you to confirm the shipment without approving the information. Postings are made to Financials only when the Goods pass out document is printed in Invoicing.
  • Release the order to Invoicing
    After the goods are delivered, the sales order can be released to invoicing. In the Sales Order - Lines (tdsls4100m900) session, on the appropriate menu, click Release Sales Orders/Schedules to Invoicing; the Release Sales Orders/Schedules to Invoicing (tdsls4247m000) session opens. Release the order to Invoicing.
  • Print sales cum excise invoice
    In the Compose/Print/Post Invoices (cisli2200m000) session, to compose, print and post the Sales Cum Excise Invoice select the following options:
    • Compose
    • Print
    • Post
  • Post the ledger accounts
    LN posts the ledger accounts in Financials.
  • Update RG1 register
    LN updates the daily stock register RG1 if the outgoing item is excisable. You can use the Print Daily Stock Account (RG1) (whinr9440m00l) session, to print the details of the daily stock account items.
  • Update RG 23 A /C registers
    LN updates the Part 1 of RG 23 A/C register when the Item Category field is set to Non-Capital or Capital and when the Item Type is Purchased.