Skip to Content
avatar image
Former Member

Excise duty pass on

Dear SAP guru's

I have a scenario, my customer purchases raw material with excise. and he sells the raw material at higher rate but the duty passing must be equal to the excise duty paid to the vendor. Kindly let me know if any one faced such problem

regards,

Sudhir

Add comment
10|10000 characters needed characters exceeded

  • Get RSS Feed

2 Answers

  • Oct 17, 2008 at 10:17 AM

    Dear Sudhir

    I have a different opinion on your comments "the duty passing must be equal to the excise duty paid to the vendor".

    To the best of my knowledge, duty should always be calculated on the selling price only. Please ask your client to check with Excise people. This is my personal experience.

    Nevertheless, for that purpose, if you maintain the value at which your client bought the component in J1ID under "Material Assessable Value", for that value only, duty will be calculated.

    For example, your client bought the component @ INR 100.00 and the selling price is INR 200.00. As per your requirement duty should be calculated only on INR 100.00 which is possible if you follow as explained above.

    thanks

    G. Lakshmipathi

    Add comment
    10|10000 characters needed characters exceeded

    • Former Member Former Member

      In the case of DEPOT, BED, ECS, SHcess, ADC would be passed on to the customer, the value that need to passed on is same as values which are captured during goods receipt.

      Please refer to the jdepot pricing procedure, where in alternative contidion type 356 would be maintained for ECS, SHCess . Here whatever values calculated in j1ij will be passed on to the billing.

      Make sure that in the plant setiings in tax on good movement, depot indicator is activated.

      In case of domestic purchase based on the tax code values will be passed. But the issue will raised in the case import, where zero value tax code will be maintained where manual entry of excise values need to be updated.

      All the depot transaction and stock update will go to rg23d register.

  • avatar image
    Former Member
    Oct 17, 2008 at 09:03 AM

    Dear Sudhir,

    that happens in case they maintain a RG23D register. where raw materials are purchsed ans sold at a higher value but, Excise is calculated only on what was paid.

    Kindly check and let know,

    Regard;s

    Priyanka

    Add comment
    10|10000 characters needed characters exceeded