Unit 2: Excise Setup

Contents:

Preparatory Activities

Setup of the Organizational Elements

Excise Master Data

Excise Setup: Unit Objectives

At the conclusion of this unit, you will be able to:

Understand activities involved in setting CIN

Setup Organizational Elements of CIN

Prepare Excise Master Data

Preparatory Activities

R/3 Customizing steps to be carried out

Definition of Jurisdiction codes for the tax procedure
Defining Tax Codes to cover all possible combinations
Definition of G/L accounts for Account Key

Preparatory Activities

Execute Country Installation Program

Activate Country Version India for Accounting Interface

Activate Country Version India for Specific Fiscal Years

Activate Processes

Activate Business Transaction Events

Make Sure That Posting Keys Are Deductible

Specify G/L Accounts for Taxes

Setup of Organizational Elements

Company Settings

Excise Registration Ids

Plant Settings

Excise Groups

Series Groups

Excise Defaults

Tax Indicator Maintenance

Setup of Organizational Elements: Company Settings

Debit Account Overwriting allows user to edit debit account during JV

transactions
Automatic adjustment indicator - utilizes from PLA in JV
Separate document types for the CENVAT credit , utilization and TDS

Excise Invoice Selection Method

Excise month indicates the first month for the Excise year.

Setup of Organizational Elements: Registration IDs

Registration details like ECC No, Registration, Range can be maintained

here
Relevance of AED, SED or CESS can be determined at Excise registration ID
level.

Setup of Organizational Elements : Plant settings

Plant can be set as depot or manufacturing facility

Multiple plants can be attached to a Excise Registration ID

Setup of Organizational Elements : Excise Groups

Organizational unit in CIN

A Registration ID can be linked to an Excise group Plant

combination
Determines Excise Register number range
Depot can be marked at Plant - Excise Group Level.

Setup of Organizational Elements : Special Scenario

Company

Registration 1

Depot
Registration

Registration 2

Plant

Excise Group 2

Manufacturing
Plant
Registration

Excise Group1

Setup of Organizational Elements : Series Groups

Series Group is an Entity used only in CIN transactions.

Determines number range for outgoing excise invoice

Multiple Series Groups can be defined for a Excise registration

Setup of Organizational Elements : Number Range Maintenance

Internal Document - J_1IINTNUM
RG23A Part1 and Part2 for all excise groups - J_1IRG23A1 & A2
RG23C Part1 and Part2 for all excise groups - J_1IRG23C1 & C2
PLA Part2 for all excise groups J_1IPLA2
RG1 for all excise groups J_1IRG1
RG23D Folio Number Generation J_1IRG23D

Outgoing Excise Invoices against all series groups - J_1IEXCLOC &

J_1IEXCEXP
Depot Excise invoice number J_1IDEPINV
Dispatch Register Serial number J_1IINTPR2

Subcontracting Challan against all series group J_1I57FC

TDS Certificate Printing - J_1ICERT
Internal number range for challan J_1ICHLNNO

Excise Master Data : Material Master

Chapter ID

Material Chapter ID
Combination &
Material Type
Assessable Value for the material
CENVAT Determination for the material

Excise Master Data: Vendor Master

Vendor Excise details such as the ECC Number, Range, Collectorate etc..
Vendor Excise Indicator

SSI Status
Vendor Type
Vendor Excise
Indicator

Plant Excise
Indicator

Final Excise
Indicator

Excise Master Data

For an Excise Indicator and Chapter ID combination, Validity Period,
Excise Rates Advalorem and Specific Duties are maintained

Quantity based rates for Additional Excise Duty and Special Excise Duty
are maintained for a plant and chapter ID
Exceptional Rates can also be maintained for a plant, material, chapter
ID and vendor.

What is the rate that is picked up after the master data is maintained??? .

Excise Master Data

Rate Determination begins here

YES

Get the
Chapter ID
Of the material

Get the
SSI Duty rates

Get the
Vendor
Excise Indicator

NO

YES

Get the
Exceptional
Duty rates

Is the
Vendor an SSI?

Has
Exceptional
Rate been
maintained?

NO

Get the
Plant
Excise Indicator

Get the
Excise Indicator

Get the
Rates based on
Excise Indicator
The Chapter ID