CST difference calculated in dealer MIRO

[Former Member]

I have one dealer scenario,

The PO qty is 1 and price is 1000, the tax code in po is dealer tax code with cst 2 %. The excise values in po are zero,

so the po value including taxes is 1020 (2 % cst)

now at the time of grn, excise values are entered manually as BED =100, ECS =20, SECESS=10, total excise is 130,

now the cst is again calculated by system on po price (1000) plus excise value (130) = total is 1000+130 = 1130, the cst on 1130 is 22.6 and the entries in grn are material stck a/c = 1022.60 and gr/ir = 1022.60 - .

the mrp iindicator in migo is not selected because the excise is excluding to po value

now when posting miro, system is taking the difference between cst value from po (20) and cst value from grn (22.6)

22.6 - 20 = 2.6 and posting it on material as credit, i.e., 2.6 -,

so the final value to vendor is gr/ir = 1022.60 - 2.6 = 1020.60 which is wrong

the actual and correct value of cst is calculated in migo because the excise values are entered in migo and not in po

so system should take the cst value from grn and not from po

the difference of cst values should not get credit in miro

[ajitkumar · Accepted solution]

i think the issue will be resolved if you choose the MRP indicator and enter 870 as basic and the rest in appropriate taxes. This way your material will be valuated properly as 870 + 20 since you are getting cenvat benefit of 130.

The vendor miro will come properly as 1020

[former_member187989]

Whether your problem is solved ?

[kailas_ugale]

Hi

Check following point along with given sap note in this

1) GR bas indicator in PO

2) have change base value in MIRO as per your calculation

3) in SPRO-GENERAL-LOGISTIC-TAX ON GOODS MOVEMENT-INDIA-BASIC SETTING-DETERMINATION OF EXCISE DUTY-CONDITION BASE EXCISE DETERMINATION-CLASSIFY CONDITION TYPE

here check your CSt condition type is there or not,it should be there

Regards

Kailas ugale

[former_member187989]

You need to raise p.o with price Rs.1130,in gr excise posting tick mark MRP indicator to split p.o price(base price + excise duties),on invoice posting,change base amount(exclude excise duties),select required tax code,now

simulate(check for accounting entries).

Refer note SAP Note 1104456 - Use of MRP indicator for capturing excise duties from dealer.

[BijayKumarBarik]

Hi,

You should cretae PO for Dealer Vendor with Base Price as 1130/- by selecting tax code which is having CST as 2% (Total PO value will be 1152.60)

Do MIGO, select MRP indicator in miscellaneous tab, Enter Assessable value 1000/- as in Excise tab Item level and enter the excise values BED, ECess , SECess manually, check all values(excise values BED =100, ECS =20, SECESS=10)& save the document.

Now do MIRO wrt dealer PO ,user proper tax code ( combination of taxes BED =10%, ECS =2%, SECESS=1% and CST=2%),checking all properly calculate tax, edit base value as 1000/-enter the amount in header as proposed by the system (1152.60), simulate & post the document.

Regards,

Biju K