Skip to Content
avatar image
Former Member

pricing procedure

What is the difference between factory pricing procedure and depot pricing procedure

I know depo level we use different pricing procedure and apart from that is there any excise duty and other taxes explain briefly

Add comment
10|10000 characters needed characters exceeded

  • Get RSS Feed

2 Answers

  • Best Answer
    avatar image
    Former Member
    Feb 14, 2007 at 01:22 PM

    Hi,

    It is just one more pricing procedure that which you want to use while sending goods from factory and while selling the same through depot. As the conditions that go in might change with different pricing shcema, we create such pricing procedures to handle these situations. You can different pricing proc. in this sales area by having a differnet document type having a differnet document pricing procedure.

    Hope it helps.

    Thanks & Regards

    Sadhu Kishore

    Add comment
    10|10000 characters needed characters exceeded

  • avatar image
    Former Member
    Feb 14, 2007 at 02:05 PM

    Hi,

    Sales from depots are handled differently from sales from factories because of excise law: Excise duty is payable when you send the goods from the factory to the depot, but it is not levied again when you sell the goods.

    Sometimes when you make a final sale of goods from a depot, price escalations could have happened with retrospective effect. In such scenarios you need to pay the extra excise duty at the factory using an A Certificate. You need to register the A certificate details in the RG 23D register and the excise recovered from the customer.

    The standard pricing procedures for depot sales are J1INDEP (condition-based excise determination) and JDEPOT (formula-based excise determination).

    I hope this information will help you.

    regards

    kiran.

    Add comment
    10|10000 characters needed characters exceeded