Excise invoice for semifinished goods

[Former Member]

Hii all,

m doing a MIGO for a Excisable SemiFinished material , i have maintained J1iD for this material with Material and Chapter-ID combination correctly, during MIGO getting a error, Excise Invoice cannot be captured for RG1(Finished Goods) material. In migo time also i checked in Excise tab, material is FINISHED GOODS only with description SemiFinished material. plz reply.

[former_member824495 · Accepted solution]

Hi,

Are you sure you want to receipt goods as a finished goods directly? Because you can take it as a input (Raw) material, process it & convert it into FG i.e. RG1. Check it once.

IF you want to allow RG1 entry at the time of GR, then check excise group settings in SPRO-Logistic General-Tax on goods movement-India-Basic settings

Here tick RG1 for MIGO.

[Former Member · Accepted solution]

thanks to respond.

yes, right. i am not able to do MIGO as a finished goods.

so , plz let me know the procedure, if i have Finished goods, how i can do complete process. and where i can change this material as a raw material. In MIGO, its not allowed, and i have captured Excise invoice.

[murugan_mgl · Accepted solution]

HI,

In J1ID,against this material make it as raw material & do MIGO

[Former Member · Accepted solution]

means u want to say, i cant procure SemiFinished material. but , in Company, it happens.

[former_member824495 · Accepted solution]

Hi,

Procure it as a RM (RG23A) then process it with production order, here the material form & it's code will be changed which will be your finished goods. Now you can update this in RG1.

As per my view,It is not advisable to take the material directly into RG1 at the time of MIGO.

[Former Member · Accepted solution]

Hii mr. Piyush,

plz let me know, when we use CIN, then can't we purchase any SemiFinished material.?

i am new to cin. i dont know more.

[former_member824495 · Accepted solution]

Hi Nisha,

You can procure any material by maintaining Purchasing view in material master & Procurement type 'X' of 'F'.

But as far as excise is concerned, you can't show that material directly into RG1.For that procure SFG material, show it in RG23A by maintaining as Raw material in J1ID.

After that do some production activity on this material, convert it into FG. Now this FG can be updated as RG1.

Revert back if you have nay doubts.

Regards,

Piyush

[kailas_ugale · Accepted solution]

yes we can procure semifinish material

in cin setting check your stetting for that material

cin use when we procured any material from outside and its excise material then we have to take credit of bed,cess and hecss or manage it in inventory depend on organization ,for that we can maintain register

i.e. rg23a part1 and part2 like that

Regards

kailas

[Former Member · Accepted solution]

thanks a lot.

but, if i want to procure with SFG, for that i changed my settings, i ticked UPDATE RG1 AT MIGO in MIGO settings for that excise group. Even i am getting same error.

can i get some more input.

[former_member824495 · Accepted solution]

After this update, it should work. But still I will suggest to treat it as a RG23A material instead of RG1 at the time of MIGO to avoid Legal complications. Your material type should be anything (ROH,HALB etc) but excise material type should be Raw Material (RG23A).As a manufacturer is supposed to produce FG inhouse & then only he can show it in RG1. What will be your justification on showing it directly into RG1 after procurement.

[Former Member · Accepted solution]

Hi Nisha,

Are you facing this problem only for one material or for all materials, first check teh CIN settin gin SPRO wthere capture excise invoice at MIGO is tick or not, if capture excise invoice at MIGO is tick, then check material and chapter ID combination, then material in cenvat determination in J1ID also check whethere Excise details for vendor is maintain or not in J1ID.

regards,

zafar

[BijayKumarBarik · Accepted solution]

Hi,

Under the Central Excise law ,Central Excise duty is levied and collected on the goods/commodities manufactured in India. As you are manufacturing goods, you must be knowing Conditions for Liabilities of Excise Duty on goods.

As your business permits and procure raw material or semi finished goods to produced finished goods and all excise duties are used for Set off or may be inventoried, You can declared that material as RAW MATERIAL in J1ID instead of finished goods and carry out process all procurement process.

Select EI capture& Post EI in MIGO in MIGO settings for the excise group.

Regards,

Biju K

[kailas_ugale]

Hi,

If your doing migo for semifinish material,then check material type whcih your going to use and check for which view you have mantain for semifinish material

if migo against PO then there should be purchasing view for that material type

Regards

kailas

[Former Member]

yes, i maintained purchasing view.