Additional duty of custom in domestic purchase

[Former Member]

Hi Friends,

My Client purchases import material in domestic market also. So at the time of purchasing this material client pays ADC to the vendor.

So in domestic pricing i want to maintain this condition of ADC.

I want to clear following points in this regard:-

*1. To create this ADC condition type which condition should i refer.

2. This ADC amount is claimable and its value is debited into BED register how can i do this*

Waiting for your response !!

Regards

Vivek

[former_member335885]

HI

Create condition type JADC: Additional Duty as a copy of JCV1

Please refer Note Note 910681 - Legal changes on Additional Duty of Custom

In the correction you have 2 files download them - Very useful iinformation

1. Configurations_ADC.zip

2. DDIC_ADC.zip

Check Configurations_ADC.zip it is given here what are the configurations to be done.

Create condition type JADC: Additional Duty as a copy of JCV1

Thanks & Regards,

Kiran

[pankaj_singh9]

Hi,

Refer SAPNote 964190 - ADC on domestic purchase of imported goods

This occurs in case if a trader will pass on Additional duty of Customs paid while importing the goods. In case of capital goods, the credit for ADC can be fully availed.The credit for this ADC can be availed.

Configurations:

Create a new condition for ADC(JADC) by referring to the attachement in SPRO -> Materials management -> Purchasing -> Conditions -> Define Price Determination Process -> Define Condition Types. Give the short text as "ADC in Pricing".

Add this condition type (JADC) to the pricing procedure at SPRO -> Materials management -> Purchasing -> Conditions -> Define Price Determination Process -> Define Calculation Schema. Set the SubTotal as 2 for this condition type(JADC). No ActKy is required.

JEXC shall be used for countervailing duty and ECS amount need not be entered in the pricing procedure.Only ADC amount will be entered against

this new condition type(JADC).

1. The Excise Registration Is Liable to AED.i.e. In the transaction SM30, for Table / View:J_1IREGSET, AED must be checked.

2. AED% is NOT required to be maintained J1ID for that material.

3. The AED(Additional excise duty)condition in the tax code has to be active if sub-routine based tax procedure(TAXINJ) is being used.

4. For ADC, either the setoff or inventory exists.Both conditions cannot exist simultaneously.

5. The condition record for AED has to exist (in transaction FV12) if condition based tax procedure(TAXINN) is being used.

Refer to the attached document 'J_1I4_GET_MANUAL_EXCISE.zip' for changing the import and export parameters.

Add the parameters listed in the document to respective function modules.

Procedure to add new parameters:

Run transaction SE37, enter the function module name as J_1I4_GET_MANUAL_EXCISE and click on 'Change' button. To add import parameters, click on 'Import' tab, else to add export parameter click on18.03.2008 Page 2 of 3 Note 964190 - ADC on domestic purchase of imported goods

'Export' tab. Add new parameters according to the details given in the attached document. Save and activate the changes.

Apply the code corrections once the parameters have been added.

[Former Member]

Hi Pankaj,

Thanks for your reply, well i am taking reference of same OSS note.Problem here is if you see zip file attahced to create condition type ZADC its statistical.and how can we take credit of this statistical condition type in domestic pricing.As you know all the Modvat conditions are flew from tax procedure and where should i maintain this ADC condition type in MM Pricing or in Tax procedure.I am confused

Regards

Vivek

[Former Member]

The condition ZADC works the same way as the manual BED condition JEXC works. It is imperative that this condition is statistical and this value is passed on to the tax condition for AED which has to also be active in the tax code.

[pankaj_singh9]

Hi,

You have to create a Tax Code with % maintained against AED Condition Type of Tax Procedure

And ZADC will work in similar way as JEXC (Manual Excise) works, As JEXC overwrites the value of BED in Taxes, same way ZADC will overwrite the value of AED Condition.

[deiva]

Hai,

You have to maintain this condition type in tax procedure.

[Former Member]

Dear Friends,

Thanking you all for your valuable suggestions.

Well,I have few more doubts regarding creation of ADC in TAXINN.

According to your given solutions

First of all i will create a condition type as per SAP OSS note for MM pricing procedure.This condition will work as JEXC condition type and update ADC condition maintained in TAXINN.

Now regarding creation of ADC condition for TAXINN i have following doubts

--> What condition type should be of this ADC condition type should it be %age based or absolute based.If it should be fixed amount.If its %age based then on top of what condition should it be calculated

-->Under what field,should i assign Direct GL account for ADC in

Logistic General --> Tax on Goods Movement --> India > Account determination> Assign Excise GL account for excise transaction type.

Please suggest

Regards

Vivek

Edited by: Supergene on Aug 6, 2008 2:20 PM

[pankaj_singh9]

Hi,

- ADC Condition type should be exactly the copy of JEXC means it should be value based

- Assign GL A/c under "RG23AED" column

[Former Member]

Hi Friends

I created condition type for ADC in MM pricing which is statistical one and its function is to update te value to ADC condition mentioned in the tax code of TAXINN. In TAXINN i am using stardard condition JADC of import but problem is where and how would i link this JADC condition type of TAXINN to JAD1 of MM pricing.

Regards

[Former Member]

Hi Friends,

I am also facing the same problem and I am having the following doubts please clarify:

As JAD1 is value base condition, where do we enter the Tax amount, is it in PO (but we do not know exact amount of tax at the time PO creation) or at the time of J1IEX if it is so how it relates with Tax Condition.

The same we will get 100% credit in the current year for all the materials (Input and Capital Goods) how system will calculate this.

Regards

Ratnakar

[Former Member]

Hello Sir,

What i am understanding is that i will pass value for ADC in tax code under condition type AED.Could you please explain where to maintain condition type AED should it be under TAXINN if its in TAXINN then under what step should it be maintained

Regards

Vivek