Cin 2003

WINLEN India Localisation
SAP AG 2005
Copyright
Copyright 2001 SAP AG. All rights reserved.

Neither this training manual nor any part thereof may
be passed on to others, copied or reproduced in any
form or by any means, or translated into another
language, for any purpose without the express prior
consent in writing of SAP AG. The information
contained in this document is subject to change and
supplementation without prior notice.
All rights reserved.
SAP AG 2005
Target Audience
This course is intended for the following audiences:

Members carrying out Central Excise, Sales Tax and TDS tasks
Consultants involved in Project Management for MM, SD and FI

modules
Duration: 5 days
MM CIN : 2 days
SD CIN : 2 days
FI CIN
SAP AG 2005
: 1 day
Course Prerequisites
Required Knowledge:
Any one of the following:
SD
MM
FI..
Recommended Knowledge: Functional Knowlege
Legal
Excise Duty and Sales Tax laws
Export/Import related laws
Income Tax
Common Business Practices related to India specific legal
requirements in Logistics and Finance
SAP AG 2005
Course Overview
Course Overview
Contents:
Course Goals
Course Objectives
Course Content
Main Business Scenario
SAP AG 2005
Course Goals
This course will prepare you to:

Understand how Indian statutory requirements in the
area of Indirect Taxation and Income Tax are met in
SAP
Understand VAT Compliant Tax Configuration
Understand Service Tax configuration for Services
and TDS thereon
The course includes areas related to Financials,

Materials Management and Sales and Distribution
SAP AG 2005
Course Objectives
After completing this course, you will be able to:

Configure the India Localisation requirements for
Logistics and FI
Perform master data updation and transactions for India
specific requirement
Generate legal reports and analyse impact of legal

requirements
SAP AG 2005
Course Content
Preface
Unit 1 Course Overview
Unit 9
Unit 2 India Localisation Brief
Unit 10 Sales with VAT
Unit 3 Excise Set-up
Unit 11 Depot Operations
Unit 4 Tax Procedure for India
Unit 12 Exports
Unit 6 Procurement Process

Unit 7 Procurement with VAT
Unit 13 Statutory Registers and

Form Tracking
Unit 8 Subcontracting
Unit 14 EWT
Appendices
SAP AG 2005
Sales Processes
Main Business Scenario

SCIL manufactures Cycles at its plants in Mumbai and
Chennai. The products are Professional Mountain Bikes
(PMB) and Children Bikes (CB)
SCILs plants at Mumbai and Chennai procure raw
materials from vendors in Mumbai, Chennai, Ludhiana
and New Jersey(USA)
The Mumbai plant receives cycle frames manufactured at
the Chennai Plant
Cycle Frames undergo job work at a Subcontractor in
Coimbatore and are supplied back to Chennai Plant.
The finished products are directly sent to the customers

from the Mumbai Plant. They can also be sent to dealers
from the depot at Panvel Warehouse and/or Pondicherry
Warehouse
SAP AG 2005
India Localisation Brief

Contents:
Logistics Overview
Legal View Procurement of Raw Materials
Subcontracting
Stock Transfers
Imports Purchase
Goods Imports
Sale from Factory
Sale from Depot
Export Sale
TDS Overview
SCIL - Organisational Elements

SAP AG 2005
India Localisation Brief : Unit Objectives
After completing this unit, you will be able to:

Describe the background and product line of Star Cycles
India Ltd(SCIL)
Define India Localization organizational elements
Understand Indian Legal Requirements
SAP AG 2005
India Localisation Brief : Business Scenario
SCIL manufactures Cycles at its plants in Mumbai and

Chennai. The products are Professional Mountain Bikes
(PMB) and Children Bikes (CB)
SCILs plants at Mumbai and Chennai procure raw
materials from vendors in Mumbai, Chennai, Ludhiana
and New Jersey(USA)
The Mumbai plant receives cycle frames manufactured at
the Chennai Plant
Cycle Frames undergo job work at a Subcontractor in
Coimbatore and are supplied back to Chennai Plant.
The finished products are directly sent to the customers

from the Mumbai Plant. They can also be sent to dealers
from the depot at Panvel Warehouse and/or Pondicherry
Warehouse
SAP AG 2005
India Localisation Brief : Logistics Overview
Domestic Vendor
Import Vendor
Domestic Vendor
Subcontractor
Mumbai Plant
Chennai Plant
6854654654
Overseas
Customer
Panvel Depot
Pondicherry Depot
Domestic Customer
SAP AG 2005
Procurement of Raw Materials (Domestic)

Excise Invoice
Domestic Vendor
Price: 1000
Qty : 10 PC
Duty 16%
- 160
Excise Stock/
Part I Register
Deposit Rs. 160
as Duty to the
Govt.
Receipt
Qty : 10 PC
GR at Factory Gate
CENVAT / Part II
Register
Excise Invoice
Capture and Post

SAP AG 2005
ED Credit
: Rs 160
Imports Purchase
Commercial Invoice
Import Vendor
Price: 1000
Qty : 10 PC
C Duty 16%
- 160
Excise Stock/
Part I Register
Pay CVD of Rs.
160 to the
Customs House
Receipt
Qty : 10 PC
GR at Factory Gate
Capture & Post
CENVAT / Part II
Register
CVD Credit
: Rs 160
SAP AG 2005
Commercial Invoice
Subcontracting
Input
Challan
Sub contractor
FACTORY
Annexure IV
Annexure V
Output
SAP AG 2005
Stock Transports
Supplying Plant
Excise Invoice
Price: 1000
Qty : 10 PC
Duty 16%
- 160
Excise Stock/
Part I Register
Receipt
Qty : 10 PC
Deposit Rs. 160
as Duty to the
Govt.
GR at Recv. Plant
CENVAT / Part II
Register
Excise Invoice
Capture and Post

SAP AG 2005
ED Credit
: Rs 160
Sale from Factory

Supplying Plant
Excise Invoice
Price: 1000
Qty : 10 PC
Duty 16%
+ 160
Dispatch
Debit:
Rs. 160
Excise Duty
Payable A/C
Fortnightly utilization
CENVAT/Part II Register
SAP AG 2005
PLA Register
Sale from Depot

Depot
Price: 1000
Qty : 10 PC
Duty 16%
+ 160
Invoice
Dispatch
Debit: Rs. 160

Reduce qty by 10
RG23D Register
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Export Sale
Supplying Plant
Under Bond
Price: 1000
Qty : 10 PC
Duty 16%
+ 160
Update Excise
database
No Bond
Invoice
Debit:
Rs. 160
Dispatch
Excise Duty
Payable A/C
Fortnightly utilization
CENVAT/Part II Register
SAP AG 2005
PLA Register
TDS Overview
Vendor
Vendor
Income tax office
File Returns
Deduct Tax
from Vendor
Issue
Certificates
Pay Tax to
Government
Bank
SAP AG 2005
SCIL- Organizational Elements

Company
Registration ID
Plants/Depot
Excise Group
Series Group
E1
S1
E3
S4
E2
S3
E4
S5
S2
Mumbai Plant
R1
Panvel Depot
SCIL
R2
R3
SAP AG 2005
Chennai Plant
Pondicherry Depot
S91
India Localisation Brief : Unit Summary
You should now be able to:

Describe the background and product line of Star Cycles
India Ltd(SCIL)
Define India Localization organizational elements
Understand Indian Legal Requirements
SAP AG 2005
Excise Setup
Contents:
Preparatory Activities
Customizing Activities
Setup of the Organizational Elements
Maintenance of Excise Master Data
Plant Master
Customer Master
Vendor Master
Material Master
Excise Rate Determination

SAP AG 2005
Excise Setup : Unit Objectives

Understand activities involved in setting India
Localization for Excise
Setup Organizational Elements of India Localization
Prepare Excise Master Data for India localization in

standard master transactions or through Excise Rate
Maintenance transactions (J1ID)
SAP AG 2005
India Localization : An Overview

India Localization (Country India Version-CIN) is no longer an addon component to SAP R/3
From release SAP R/3 Enterprise, India Localization is part of
standard R/3 itself.
India Localization complements the following functionality for
India specific statutory requirements:
Excise and Customs Duty
Sales Tax and Value Added Tax (VAT)
Service Tax
Withholding Tax/ Tax Deducted at Source (TDS)
Maintenance and Printing of Statutory Registers
SAP AG 2005
Preparatory Activities
Menu Path: SPRO Enterprise Structure

Localize Sample Organizational Units
Menu Path: SPRO Financial Accounting Financial Accounting Global

Settings Tax on sales & Purchase Basic Settings India
Activate Country Version India for Specific Fiscal Years
Activate Business Transaction Events
SAP AG 2005
Setup of Organizational Elements
Menu Path: SPRO Logistics General Tax on Goods

Movement India
Basic Settings
Master Data
Account Determinations
Business Transactions
Tools
SAP AG 2005

Menu Path: SPRO Logistics General Tax on Goods Movement India
Basic Settings
Maintain Excise Registrations IDs

Maintain Company Code Settings
Maintain Plant Settings
Maintain Excise Groups
Maintain Series Groups
Maintain Excise Duty Indicators
Determination of Excise Duty
Select Tax Procedure
Formula Based Excise Rate & Sales Tax rate determination (TAXINJ)
OR
SAP AG 2005
Condition Based Excise Rate & Sales Tax rate determination (TAXINN)
Maintain Excise Defaults

Menu Path: SPRO Logistics General Tax on Goods Movement
India Basic Settings Excise Registration IDs
Relevance of AED, SED or

CESS at Excise ID level
Permits deductible /
non-deductible ED at
GR
SAP AG 2005
Max no. of line

items in
outgoing EI

India Basic Settings Company Code Settings
Separate Doc Types for
Cenvat credit
Utilization
User can
edit Dr A/c
during JV
Trans
Excise Inv.
Selection
SAP AG 2005
Utilizes from PLA

in JV
First month for

Excise Year

India Basic Settings Plant Settings
Plant
defined as
Depot or
not
Multiple Plants
TO
One Excise Registration ID
SAP AG 2005
GRs per EI can be set as:

Mult. GR, Mult. Credit
Mult. GR, Single Credit
Single GR

India Basic Settings Excise Group
Org. Unit
in India
Localistn
Depot
defn at
Excise
Grp +
Plant
SAP AG 2005
Excise Regn ID linked to

Excise Grp & Plant
SetupScenario
of Organizational
Special
Elements
Company
Registration 1
Depot
Registration
Registration 2
Plant
Excise Group 2
SAP AG 2005
Manufacturing
Plant
Registration
Excise Group1

India Basic Settings Series Group
Series Group is an Entity used only in India Localization transactions.
CENVAT Utilization can be set at Series Group level as:

No utilization
Immediate utilization
Determines number range for outgoing excise invoice
Multiple Series Groups can be defined for a Excise registration
SAP AG 2005

India
Master Data
Maintain Chapter IDs

Assign Users to Material Master Screen Sequence for Excise Duty
Account Determination
Define Excise Accounts per Excise Transactions

Define GL Accounts for Excise Transactions
SAP AG 2005

Movement India
Business Transactions
SAP AG 2005
Incoming Excise Invoices

Outgoing Excise Invoices
Subcontracting
Exports Under Excise Regulations
Utilizations
Excise Registers

Movement India
Tools
SAP AG 2005
Long Texts
Number Ranges
Message Control

Movement India Tools Number Range Maintenance
Maintain Number series group as 01 for all objects
SAP AG 2005
Maintenance of Excise Master Data: Plant Settings
Plant
Excise
Indicator
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Maintenance of Excise Master Data: Customer

Master
Customer
Pricing Grp
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Customer
Excise
Details
Customer
Excise
Indicator
Maintenance of Excise Master Data: Customer

Master
Excise Indicator Determination for Customer
Plant Excise
Indicator
Customer Excise
Indicator
Final Excise
Indicator
SAP AG 2005
Maintenance of Excise Master Data: Plant Settings
Plant
Excise
Indicator
SAP AG 2005
Maintenance of Excise Master Data: Vendor Master

Vendor
Excise
Details
Vendor Type
Excise Indicator
SSI Status
SAP AG 2005
Maintenance of Excise Master Data: Vendor

Master
Plant Excise
Indicator
Vendor Excise
Indicator
Final Excise
Indicator
SAP AG 2005
Excise Master Data : Maintain Material Master
Chapter ID
Material Chapter ID
Combination &
Material Type
Assessable Value for the material
CENVAT Determination for the material
SAP AG 2005
Excise Master Data : Maintain Material Master
SAP AG 2005
Excise Master Data Material Excise Rates

EXCISE INDICATOR
CHAPTER ID
EXCISE DUTY (BED,AED,SED,CESS),

VALIDITY PERIOD
CHAPTER ID
QTY BASED RATES
FOR AED & SED
EXCEPTIONAL
RATES
SAP AG 2005
PLANT
CHAPTER ID
PLANT
MATERIAL
VENDOR
Excise Master Data Excise Rate Determination

Rate Determination begins here
YES
Get the
Chapter ID
Of the material
Get the
SSI Duty rates
SAP AG 2005
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
Excise Setup: Unit Summary

Understand activities involved in setting India
Localization for Excise
Setup Organizational Elements of India Localization
Prepare Excise Master Data for India localization in

standard master transactions or through Excise Rate
Maintenance transactions (J1ID)
SAP AG 2005
Tax Procedure for India

Contents:
Tax Procedures Concept
TAXINN Set-Up
Service Tax Set-Up
SAP AG 2005
Tax Procedure for India : Unit Objectives

Understand the functionality of Tax Procedures relevant for
India Localisation
Understand how to set up your system for TAXINN
procedure
SAP AG 2005
Tax Procedure: Availability

Following standard Tax Procedures are available for country
India:
Formula based Tax Procedure TAXINJ
Condition based Tax Procedure TAXINN
Use of TAXINN Tax procedure provides for smooth implementation of

CRM
Assignment of Tax Procedure to Country
Selected tax procedure should be assigned to the country
The procedure once selected can not been changed
The Other Tax procedure can also be used for country India, if
required
SAP AG 2005
Tax Code Maintenance

Tax Codes to be maintained based on:
Material Types RM or Capital Goods
Tax Rates 4%, 8% etc
Input / Output Tax
Local or Interstate Sales Tax
Deductible or Non Deductible Tax
One Tax code for combination of Tax Rates (ED & ST)
SAP AG 2005
Tax Code Creation : An Example

Tax Code Creation : An Example
Tax %
0%
1%
4%
10%
20%
SAP AG 2005
RM
RM VAT RM Nonable VAT able
(ZIP2)
(ZIP3)
D0
R1
R2
R4
R5
D0
I1
I2
I4
I5
CST
CG
CG VAT CG Non- (ZIP1)
able VAT able
(ZIP4)
(ZIP5)
D0
C1
C2
C4
C5
D0
L1
L2
L3
L4
D0
N2
-
Tax Code determination (Domestic)

Access Sequence
L.S.T Vs C.S.T
Country Key
Region of
Delivery Plant
Region of
Customer
Domestic
Tax Code
SAP AG 2005
Tax Rate
Customer Tax
Classification
Material Tax
Classification
Tax Code determination (Export) Access

Sequence
Export
Country Key
Tax Rate
Country of
Delivery Plant
Customer Tax
Classification
Tax Code
SAP AG 2005
Material Tax
Classification
TAXINN Set-Up
Set the tax procedure as TAXINN for Country IN.

Ensure that excise defaults are maintained for the Tax procedure.
Check if all the tax condition types in the tax procedure are classified.
Create TAX codes.
Assign Tax codes to respective Company code.
Create condition records for those conditions which are relevant.
Create Purchase / Sales Documents
SAP AG 2005
TAXINN - Assign tax procedure to

Country
SAP AG 2005
TAXINN - Maintain Excise

Defaults
SAP AG 2005
TAXINN - Classify Condition

Types
SAP AG 2005
TAXINN Properties of Condition types

For excise
conditions, the
access sequence is
JTAX
For VAT & ST conditions

the access sequence is
JST1
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TAXINN Properties of Access sequences
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TAXINN - Create Tax code
SAP AG 2005
TAXINN - Assign Tax Code to Company Code
Company Code
Tax code
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TAXINN - Maintain condition record
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TAXINN - Maintain Condition

Record - SD
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TAXINN - Create PO
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TAXINN - Create Sales Order
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Service Tax An Introduction

The Budget passed by the Minister of Finance for the Fiscal 2004-05 has
introduced the utilization of credit of Service Tax against CENVAT and viceversa.
Education Cess, a new levy will be applicable on Service Tax and this is
levied on the value of Service Tax computed.
Service Tax Rate
10 %
Education Cess : 2 % of Service Tax
Service Tax Incidence
Service Tax Liability is on payments received or part thereof
Payment monthly / quarterly depending on type of organization
PLA not to be maintained for pure service providers
Service Tax Credit
Applicable only on full payment of invoice to vendor

SAP AG 2005
Service Tax Set-Up
Create two new Tax conditions For eg: JSRT, JEC3. One for services tax
(JSRT & another for Education cess on service tax). JSE4 and JES4 for
the SD Condition type.
Create a new tax posting key VS7 and VS8. VS9 and VS0 is the SD account
key.
Assign the conditions with account keys in the tax procedure.
Create tax code
Activate service level tax calculation in MM External services management
customising.
Create PO
During LIV service tax interim account is affected with the service tax
amount for which credit can be taken.
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Service Tax - Create Service tax condition types

Condition type for TAXINJ with Access
sequence MWST
Condition type for TAXINN with Access

sequence also as MWST
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Service Tax - Create Account Keys
Account Key
Maintain G/L accounts for

every tax code at an account
key level.
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Service Tax - Assign to Tax procedure
SAP AG 2005
Service Tax - Activate tax calculation at

service level
SPRO > MM >External services Management > Taxes at individual service level
SAP AG 2005
Service Tax - Create Services PO
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Service Tax - Display Tax at Service

level
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Tax Procedure for India: Unit Summary

Understand the functionality of Tax Code procedures
relevant for India Localisation
Understand how to set up your system for TAXINN
procedure
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Sales Process
Contents:
Overview of the sales process
Sales processes
Sales from Factory - Configuration
Cancellation of Excise Invoice
Excise Invoice Printing
Monthly Utilization
Other features
SAP AG 2005
Sales Process : Unit Objectives

Understand Excise related sales processes
Understand Sales Tax related sales processes
Run the sales processes
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Sales Process : Business Scenario
SAP AG 2005
Removal of goods
Free Supplies
Excise Invoice Cancellation
Monthly Utilization
Removal of Goods - Overview
Removal of Goods
From Factory
From Depot
Sale
Transfer to Factory
Sale
Transfer to Factory
Return to Vendor
Transfer to Depot
Return to Vendor
Transfer to Depot
Return from Customer
Transfer to Subcontractor
Full Compliance across the

Distribution Process
SAP AG 2005
CENVAT Availment & Utilization

ON-LINE TRANSACTIONS
SALES EXCISE
INVOICE PROCESS
GOODS
RECEIPT
Credit CENVAT
on-hold A/c
CENVAT on hold
for Cap Goods
DESPATCH
Debit ED Payable A/c
VENDOR EXCISE
INVOICEPROCESS
Credit CENVAT A/c
Excise Duty
Payable A/C
CENVAT Account
Debit CENVAT A/c
Credit ED Payable A/c
MONTHLY TRANSACTIONS
DEPOSIT
FUNDS
IN PLA
ACCOUNT
SELECT
REGISTER
PLA A/C
Credit
PLA Account
SAP AG 2005
(Consolidated Entry)
Debit PLA A/c
Excise duty
Utilization
Transaction
Sales - Processes
Sales from Factory

Single Excise Invoice and Commercial Invoice
Separate Excise Invoice and Commercial Invoice
Free Supplies
SAP AG 2005
Sales from Factory - Process

DELIVERY
Batch Utilization
Streamlined Excise
Tax Processing
GOODS ISSUE
COMMERCIAL INVOICE
PROFORMA INVOICE
EXCISE INVOICE GENERATION
EXCISE INVOICE GENERATION
AND PRINTING
AND PRINTING
Excise Invoice Creation in Background

Automatic Determination of Excise and Series
Group
Provision for immediate utilization of CENVAT
SAP AG2005
Posting to Profitability segment
COMMERCIAL INVOICE
Separate Commercial and Excise Invoice

Sales Order
Delivery
Proforma Invoice
Posting to Excise duty payable
account
Posting to CENVAT accounts for
immediate Utilization
Excise Duty posting

Excise Invoice
Printing
Commercial Invoice
SAP AG 2005
Single Commercial and Excise Invoice
Sales Order
Delivery
Invoice
Excise Duty posting
Invoice Printing
SAP AG 2005
Posting to Excise duty payable

account
Posting to CENVAT accounts for
immediate Utilization
Free Supplies
Can be combined with a normal order
100% discount condition added to the item pricing
Item category changed to free-of-charge
Excise posting done
SAP AG 2005
Document Flow
OR
LF
F2
OR
JF
JEX
F2
Define Allowed Delivery types to Billing types
Define Invoice split through data transfer formula in copy

control
SAP AG 2005

Copy control formula for validation
Two possible requirements are
When excise and commercial invoice are the same
When excise and commercial invoice are difference. (ie) Multiple

excise invoice for one commercial invoice
Copy Control Formula : OR LF F2
SAP AG 2005
Copy Control Formula : OR JF JEX F2
Sales pricing (Formula based Condition Types)

Pricing procedure - JFACT
Tax procedure TAXINJ
Excise based on material and customer data
Manual over-ride for excise value
Sales tax rate from the tax code
VAT , CST - LST determination based on tax classification
SAP AG 2005
Sales pricing (Conditions record based Excise Condition Types)

Pricing procedure - JINFAC
Tax procedure TAXINN
Excise based on condition technique only
Excise based on material and customer data
Chapter Id needs to be maintained in IMG
SAP AG 2005
Sales pricing (Conditions record based Excise Conditions)

Manual over-ride for excise value
No excise indicator required for customer
SAP AG 2005
Sales pricing (Conditions record based Excise Conditions)

Sales tax rate from the tax code
CST - LST determination based on tax classification
SAP AG 2005

Sales pricing
Concessional Taxes
Tax Procedure TAXINJ with Pricing Procedure JINFAC
Tax Procedure TAXINN with Pricing Procedure JFACT
SAP AG 2005
Sales from Factory Configuration

Movement India
Master Data
Maintain Form Types
SAP AG 2005
Cancellation of outgoing excise invoice
Sales Order
Delivery
Invoice
Excise Invoice Creation
Invoice Cancellation
SAP AG 2005
Excise Invoice Printing
Outbound excise invoice printing facility provided
Selection based on
Excise invoice numbers

Excise year
Excise Invoice Date
Billing document
Series Group
Plant
Tracking of Printed Excise Invoice facilitating reprint of Excise

Invoice
SAP AG 2005
Monthly Utilization
Facilitates payment of duty accumulated.
Includes
Display of pending invoices

Option for Posting date
Posting to a Business area
Selection based on a range of dates
Optionally, Selection based on a range of invoices
Option of Utilizing the Service tax Credit.
Option for Payment of Service tax from Cenvat
Facilitates Utilization strategy based on customization settings
Posting of TR6 Challan entry to PLA account
SAP AG 2005
Monthly Utilization
Option for Cenvat

Payment from Service
Tax
Option for Service tax
Payment from Cenvat
Service
tax / ECS
Payment
account
SAP AG 2005
Service Tax / ECS

Credit Account
Monthly Utilization
SAP AG 2005
Other Features
Excise Invoice in Background
Invoice Split
Excise Document Flow
Utilization due list
Batch Utilization
SAP AG 2005
Excise Invoice In Background
Excise invoice created automatically in background during creation of

billing document
Feature made optional and triggered based on customization settings
Excise group and Series group automatically determined based on

customization
Provision to print excise invoice immediately after automatic creation of

excise invoice
SAP AG 2005
Invoice Split
Sales Order
Delivery
Commercial Invoice
Proforma Invoice
Proforma Invoice
Proforma Invoice
Excise Duty posting
Excise Duty posting
Excise Duty posting
Excise Invoice Print
SAP AG 2005
Excise Document Flow

Order
Delivery
Excise Invoice
Sold-to-party : 2300
Ship-to-party : 2300
Bill-to-party : 2300
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Document flow of Excise Invoice

Order
. Delivery
. . Billing
. . .Excise Invoice
Billing
SAP AG 1999
SAP AG 2005
Utilization Due List
Listing of all billing documents due for utilization

provided
Also includes ability to view ,
Account balances
Deficit, if any
SAP AG 2005
Total duty amount needed to utilize the displayed billing

documents
Batch utilization
Excise Invoices can be created in batches
Provision of additional fields in selection screen like
Billing date
SD document category
Billing document category
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Sales Process : Unit Summary

Understand Excise related sales processes
Understand Sales Tax related sales processes
Run the sales processes
SAP AG 2005
Sales with VAT
Contents:
VAT Implication on Sales Process
Business Place
SD Configuration
Master Data
Sales Scenarios
SAP AG 2005
Sales VAT : Unit Objectives

Understand VAT implications on the Sales Processes
Understand the Business Place and Alternate G/L
account concepts in relation to VAT.
Perform SD transactions with VAT in the system
SAP AG 2005
VAT Implication in Sales Processes

Purchasing
Utilization &
Tax Payment
VAT
Accounting
Billing
VAT
impact
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Inventory
Valuation
SAP R/3
Delivery
Invoice
Verification
Sales Order
Business Place in R/3

BUSINESS PLACE A New
Organizational Unit in Logistics
Defined at Company Code

Level
Tax Reporting entity

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Business Place Assignment
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Business Place Applicability
Business Place used for VAT related Tax reporting in
Sales and Distribution
Materials Management
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Business Place
Entity Business Place will primarily be used for Defining
Vat Registration Number
Determining
Official Number Range for :
All Billing Transactions in SD

All Credit Memo Transactions in MM
Consolidating
Determining
SAP AG 2005
data for Period End Processing requirements
"Alternate G/L Accounts" for Taxes
Business Place Scenario 1

PLANT 2
PLANT 1
# Single VAT Registration
# Consolidation for all Plants
before utilization
# Single period end process
reports for all plants
STATE : KARNATAKA
COMPANY ABC
PLANT 3
Define Single Business Place for all the Plants in a state.

SAP AG 2005

STATE : KARNATAKA
PLANT 2
PLANT 1
VAT Registration : XXX
VAT Registration : YYY

Output is under deferral/
exemption scheme
COMPANY ABC
Define Separate Business Place for both Plants in the state.

SAP AG 2005

State specific number range requirements may be specified
Solution: Business Place is

used to determine number
range objects.
SAP AG 2005
Need for maintaining separate VAT Credit and Debit accounts for different
states
Solution: Separate G/L

Accounts are maintained at
state level. Business Place is
used to determine correct G/L
account at the time of posting.
SAP AG 2005
Intra State Finished goods VAT applicable

Sales pricing and Tax procedure
Pricing procedure JFACT
Condition type
UTXJ
Access sequence JIND

Access Country/ Plant Region / Region/ TaxCl1Cust/ Tax Cl.Mat
Tax Code S1
Sales Order Pricing

Basic Rate Rs85X 10 pcs= Rs 850
Plant details
Customer master
Material master
Excise Duty @20 = Rs 170

Tax Base Amount Rs 1020
VAT Rs. 102
Total Rs.1122
SAP AG 2005
10%
VAT
JIN 6
SD Configuration
Define Condition Types
SAP AG 2005
SD
Configuration
Change SD Pricing Procedure
SAP AG 2005
SD
Configuration
Create New Condition Table
SAP AG 2005
SD
Configuration
Change in Access Sequence
SAP AG 2005
SD Configuration
Define Condition Types (TAXINN)
SAP AG 2005
SD Configuration
Settings for Tax Processing (TAXINN)
SAP AG 2005
SD Configuration
Define Account Keys

(TAXINN)
SAP AG 2005
SD
Configuration
Change SD Pricing Procedure (TAXINN)
SAP AG 2005
SD
Configuration
Define Business Place
SM31 Table name: J_1BBRANCV
SAP AG 2005
SD
Configuration
Assign Business Place to Plant
SM31 Table name: J_1BT001WV
SAP AG 2005
Alternate G/L Accounts: Introduction

To determine alternate G/L accounts for Taxes
It is used for Sales Taxes and not meant for excise posting
Helpful in reporting
Useful in maintenance of Tax Codes (input & output)
SAP AG 2005
Alternate G/L Accounts: Usage
Alternate G/L account can be used in the following business

processes
Determination of Separate G/L Account for VAT and Non VAT States
Determination of Separate G/L Account for Deferral & Non-Deferral Plants by

using Business Place
Determination of Separate G/L Account for Standard and Sub-contracting

Purchases
Any other Business requirements
SAP AG 2005
Alternate G/L Accounts: Maintenance

Alternate G/L account can be maintained based on:
Chart of accounts
Business Place
Transaction Key
Tax Code
SAP AG 2005
Alternate G/L Accounts: Configuration
SAP AG 2005
Master Data
Plant Region
SAP AG 2005
Master Data
Tax classification
Customer
SAP AG 2005
Master Data
Tax classification Material
SAP AG 2005
Master Data
Tax code determination
SAP AG 2005
Master Data
VAT rate 12.5%
SAP AG 2005
Official Document number Configuration
Define Document Class
Assign the Document Class to the Sales Area and Region
Define Document Numbering
Assign the Document numbering for the Business Place
SAP AG 2005
Official document Number Process flow

Identify the country of
the customer.
No
IN
Export -BOS
Yes
Check the Tax
code in table
J_1iexcdef
Same Tax
Code
Deemed
Export - BOS
Different
Tax Code
Check the Tax
code in table
J_1iexmptcode
Exempted
Tax Code
Exempted
Sales - BOS
Normal
Tax Code
Registered
customers
Sales - VAT
SAP AG 2005
Yes
Check the VAT

Unregistered
Registration No in the Customer
Customer Master Tax
code Field
Un Registered
customers
Sales - BOS
Organization Structure
Company Code (EWT)
Chart of A/c INT
Sales Area (0001/ 01/ 01)
VAT Reg ID 1
Ex gp E1, Series gp S1 Domestic, S2 Exports
Plant 1 Mumbai IN10

Maharashtra
Shipping point 0001
SAP AG 2005
VAT Reg ID 2
Ex gp E2, Series gp S3
Plant 3 Chennai IN20

Shipping point 0002
Master Data
Material Master
MBG01 - Professional Mountain Bike with Gears
MB01 - Professional Mountain Bike without Gears
Customer Master
INC01 Mumbai Dealer
INC02 Chennai Dealer
INC08 Depot Customer for VAT
INC09 - Depot Customer for CST
G/L Accounts
VAT Payable A/c - Used for paying VAT on all sales
VAT Alternate GL A/c - Used for paying VAT on all sales
SAP AG 2005
Sales Scenarios with VAT

Followings are the scenarios with VAT
Intra State
Finished goods (VAT applicable- general VAT rates)
Finished goods (VAT exempt)
Depot sales (VAT applicable)
Inter State
Finished goods
Exports
Finished goods
Deemed Exports Finished Goods
Stock Transfer
Inter State
Intra State
SAP AG 2005
Intra State Finished goods (VAT applicable

general VAT rates)
Condition type
UTXJ

Tax Code S1
Sales Order Pricing

Plant details
Customer master
Material master

VAT Rs. 102
Total Rs.1122
SAP AG 2005
12.5%
VAT
JIN 6
Intra State Finished goods (VAT exempt )

2
3
Bill of Sale
Shipping
Shipping
Sales Order
Billing
Accounting documents
Excise invoice
Period end processing
NVAT-MAT1 VAT 0%
Sales revenue account

Customer account
CENVAT suspense
CENVAT suspense
ED payable
Intra-State Customer Cus_intra1
SAP AG 2005
Intra State - Depot Sales (VAT applicable)

Mumbai Plant IN10
(Factory)
Mumbai Plant IN 30
(Depot)
Purchase Order
VAT Register
Updation
Delivery
Sales Order
Excise Invoice
Goods Issue
VAT Register
Updation
Stock in Transit
Mumbai Plant IN 30
(Depot)
VAT Register
Updation
SAP AG 2005
Goods Receipt
Billing
Inter State -Finished goods

2
Shipping
Shipping
Sales Order
Inter State Customer (KAR) Cus_inter1

VAT- MAT1 (VAT rate 10%)
Billing
Bill of Sale
Dr.Customer a/c
Cr.Sales revenue a/c
Cr.CST payable
Cr. Cenvat Suspense
Dr.CENVAT suspense
Cr. ED payable
SAP AG 2005
4
Excise invoice
Exports1 -Finished goods
Shipping
Shipping
Sales Order
Billing
3
5
Bill of Sale
4
Foreign Customer (UK) Cust_exp1
MAT-EXP
SAP AG 2005
Excise invoice
Deemed1 Exports -Finished goods

2
Shipping
Shipping
Sales Order
Billing
3
5
Bill of Sale
4
Deemed Export Customer CUST_DEXP1
VAT- MAT1 (VAT rate 10%)
SAP AG 2005
Excise invoice
Intra State Finished goods (VAT exempt)

Sales pricing and Tax procedure
Condition type
UTXJ

Tax Code S2
Sales Order Pricing

VAT Rs. 0
Total Rs.996
SAP AG 2005
Tax procedure ZEXVAT
0%
VAT
ZIN 1
Inter-State Stock Transfer via SD

MAHARASHTRA
VAT Reg ID 1
Cr Inventory A/c Plant 1 = Rs100

Dr Inventory A/c Plant 2 = Rs100
Cr ED Payable A/c
Dr ED Clearing A/c
= Rs16
= Rs16
IN10
Mumbai
Goods Issue
Mvt 641
STO from
Plant 2
Qty 1 EA
Rate 100
Period End
Processing
Excise Invoice
Stock in
Transit
IN20
Chennai
No Accounting Entries and
No Invoice verification
No VAT credits
Dr RG23A/C A/c
Cr ED Clearing A/c
= Rs16
= Rs16
Goods Receipt
Mvt 101
Period End
Processing
Capture & Post

Excise Invoice
TAMIL NADU
VAT Reg ID 2
SAP AG 2005
Intra-State Stock Transfer

Mumbai
Plant 1
Cr Inventory A/c Plant 1 = Rs100

Dr Inventory A/c Plant 2 = Rs100
Cr ED Payable A/c
Dr ED Clearing A/c
= Rs16
= Rs16
STO from
Plant 2
Qty 1 EA
Rate 100
Goods Issue
Excise Invoice
VAT Register
Updation
(Qty &Value)
Stock in
Transit
Mumbai
Plant 2
No Accounting Entries and
No Invoice verification
No VAT credits
Dr RG23A/C A/c
Cr ED Clearing A/c
SAP AG 2005
= Rs16
= Rs16
Goods Receipt
Capture & Post

Excise Invoice
VAT Register
Updation
(Qty &Value)
MAHARASHTRA
VAT Reg ID 1
Sales Process : Unit Summary

Understand VAT implications on the Sales Processes
Understand the Business Place and Alternate G/L
account concepts in relation to VAT.
Perform SD transactions with VAT in the system
SAP AG 2005
Depot Operations
Contents:
Stock Transfer from Factory
Depot Receipts
Depot Sales
SAP AG 2005
Depot Process : Unit Objectives

Understand Excise related Depot processes
Configure Depot specific Master Data for India
Localisation
Run the Depot processes
SAP AG 2005
Sales Process : Business Scenario

Depot Receipts
Depot receives goods from the companys factory through

stock transfer
Depot procures goods directly from external sources
Depot Sales
SAP AG 2005
Removal of Goods - Overview
Removal of Goods
From Factory
From Depot
Sale
Transfer to Factory
Sale
Transfer to Factory
Return to Vendor
Transfer to Depot
Return to Vendor
Transfer to Depot
SAP AG 2005
Depot Requirements
Distribution of Excisable goods at depot involves maintenance of

RG23D registers.
Incoming Excise Invoice reference is required to be mentioned on
depot Sales Invoice
At the Factory gate, Excise is paid on the declared value of the
goods to be sold at depot.
Depot should charge from the customer the same Excise duty from
that was paid at factory/source.
In case of price escalations at depot the difference needs to be paid

at the factory
SAP AG 2005
Transfers to Depot
Stock Transfer Order

Replenishment
Delivery
Proforma Invoice
Posting to Excise
duty payable
account
Excise Invoice
Printing
SAP AG 2005
Stock Transfer Order
Stock transfer order created

Depot is configured as the receiving plant
Replenishment delivery made through delivery due list
Proforma Excise Reference created with respect to delivery
Excise gets calculated at the factory
Excise duty posting into payable account and excise invoice is

printed
SAP AG 2005
Stock Transfer Order - Configuration
Stock transport order customization in MM purchasing

Depot maintained as a plant and marked as depot in CIN plant
settings
Pricing Procedure determination using JSTKTR or JINSTK
Stock transfer item category made relevant for billing and pricing
Delivery type to billing type map, NL - >JEX in CIN customizing

settings in IMG
SAP AG 2005
Depot Receipt and Sales
Goods Receipt
Sales Order
Excise Invoice
Capture (Depot)
Delivery
Excise Invoice
Selection
Invoice
SAP AG 2005
Depot Receipts for Stock transfer

GR made against the delivery note / stock transfer
Excise invoice details directly copied from factory invoice
Loss in transit taken care of
Ship-from can be captured at Excise Invoice for depot.
Multiple P.O.s can be combined in one receipt
Folio number generation can be switched on through customization
Item details are proposed for stock returns
SAP AG 2005
Depot Receipts for Direct Purchases

GR made against the PO
Individual excise invoice details copied from PO item or can be
entered at item level
For imports CVD can be marked
Ship-from can be captured at Excise Invoice for depot.
Multiple P.O.s can be combined in one receipt
Folio number generated based on customization
SAP AG 2005
Supplementary invoice receipts

To cater to A-certificates issued from factory
Folio number generation is mandatory
A-certificate can be entered for an existing receipt so long as there is
still some balance quantity left in RG23D
A-certificate number,date and duty values can be entered
Recorded in RG23D as a new serial number under the folio
The A-certificate details can be changed until used during sales
SAP AG 2005
Depot Sales
Sales order created at depot
Pricing procedure JDEPOT (with TAXINJ) and JINDEP (with
TAXINN) can be used
Delivery created for the sales order
Excise Invoice selection for goods issue made against delivery
Goods issue can be made from a set of excise invoices
Commercial invoice at depot picks total excise value from all

selected excise invoices
SAP AG 2005
Depot Sales
Separate steps for Excise Invoice create and verification.
Option for Single step creation and verification through customization
Option to cancel excise invoice before verification.
Provision to create depot invoice before post goods issue based on
delivery document.
Option to restrict incoming excise invoice selection from the same
source of supply.
User-exits for unit conversion and Excise / Series group determination
SAP AG 2005
Depot Sales - A certificate selection

Pick up the A-certificates relevant for the current removal
A-certificate can be selected along with the corresponding excise
invoice
Multiple A-certificates can be picked up
Splitting of the A-certificate amount across removals not allowed
Separate RG23D entries in the same folio for better tracking
Value gets added up and cumulative excise proposed during Billing
SAP AG 2005
RG23D Register
Matl Receipt
Re
Cr ceip
ed t
Qt
it
y/
Depot
RG23 D Register
Ex Inv
List for
Selection
Qt
Depot
Delivery
Selected
Exc Inv
Scaled excise
value as Exc Amt
Invoice
Commercial
SAP AG 2005
Invoice
ed
u
t
Iss edi
r
C
y/
Stock
Details
Conclusion
Comprehensive solution for Depot functionality

RG23D Maintenance and Printing functionality is available
Provision to receive Internal as well as External Excise Invoice
at Depot.
Close integration with MM and SD processes
SAP AG 2005
Depot Process : Unit Summary
You will now be able to:

Understand Excise related Depot processes
Configure Depot specific Master Data for India
Localisation
Run the Depot processes
SAP AG 2005
Exports
Contents:
Overview of Export Processes
Export Bonding
ARE Document Processing
Screen Shots
SAP AG 2005
Exports: Unit Objectives

Understand the export processes
Configure the export related requirements
Update Master Data relevant for exports in SAP
Perform export transactions and execute relevant

reports
SAP AG 2005
Export: Business Scenario
Export Sales and Deemed Export Sales
Exports under Bond
SAP AG 2005
Manufacturer
Merchant Exporter
Exports under Rebate
Exports under Deemed Export, STP & 100% EOU
Special Procedures

Salient Features
Export of Excisable Materials can be done by:
Manufacturer
Merchant Exporter
Removal of goods from a manufaturer / merchant-exporter without payment of duty to

destination within India
Exports categorized (legally) as:
Under Bond
B-1 Bond
Running Bond Account (Bond Register)
Letter of Undertaking (UT-1)

Under Rebate
SAP AG 2005

Pre-Sales
Process customer inquiries
Activities
Procure License
Sales Order
Prepare Sales order & Proforma Invoice
Processing
Receipt of Customer LC
Inventory
Sourcing
Verify delivery dates and

availability
Pre-Shipment
Delivery order
Customs Endorsement
Shipment
Process Clearing and Forwarding
Billing
Prepare Commercial
Invoice
Payment
SAP AG 2005
Post Payment/ Bank Negotiations
Excise Bonding Document Flow

Order
Delivery
Billing
Excise Invoice
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Does Bond
exist?
Create AR Doc
SAP AG 2005
Capture License
Bond Register
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Item Material Qty

10
400
5
Documents specific to Export Processing

LICENSE APPLICATION
POST-SHIPMENT NEGOTIATIONS
Form-A/GSP certificate of origin
Annexure IV
Inspection Certificate
Annexure II
LC Cover
Annexure III
BRC
Annexure IIIA
Commercial Invoice
Bill of Exchange
Forward Cover
DBK Recovery
PRE-SHIPMENT ACTIVITIES
Proforma Invoice
Export License/Country of Origin
LEGAL REPORTING REQUIREMENTS
Customs Invoice
SDF form/ or GR
Tracking of Bank Guarantee & other EMD
Packing List
GSP
ARE1 & ARE3 Tracking for Running Bonds
Export Register
Shipping Instruction
License Application, Allocation,
Commercial Invoice with actual supply PGI

SAP AG 2005
Utilisation and Endorsement Registers

Proof of Exports
Exports Sales
Sales Order
currency
No
Sales under no-bond?
Sales Under
Bond
Customer Country
Export Sale
Yes
CENVAT / Part II
Register
Bond
Register
Download
ED Credit
Proforma
Excise
Reference
Optional Tax Calculation
Delivery
Excise Value
Excise Calculation
Commercial
Invoice
SAP AG 2005
Formula
Deemed Exports Sales
Sale is marked as Deemed
Excise status of customer gives complete concession
J1IIN transaction creates excise invoice
No Amount utilization
Use of Local excise invoice range based on series group
SAP AG 2005
Process Flow for exports under Bond , for Manufacturer
B1 Bond
III
ARE1
Excise Dept for

manufacturer
ARE1
Manufacturer
(Exporter)
III, IV
I, V
ARE1
I to V
Excise
Invoice
ARE1
I, II, V
ARE1
II (Sealed)
Excise
Invoice
Port (Customs)
SAP AG 2005
Process Flow for exports under Bond , for Merchant Exporter
Manufacturer
Bond
III
CT 1
ARE1
CT 1
Excise Dept for

manufacturer
Excise
Invoice
CT 1
Merchant Exporter
ARE1
III, IV
CT 1
I, V
ARE1
I, II, V
ARE1
II (Sealed)
Excise
Invoice
Port (Customs)
SAP AG 2005
Bond Maintenance in SAP R/3
Bond Type
Bond Numbering
Bond Balance [ Debit / Credit entries ]
Fast Credit
Reservations
Processing Excise Bonds
Create , Change , Display , Cancel & Close Excise Bonds
Assigning Excise Bonds to ARE-1
Proforma for Running Bond Account
Bond Statements
B1 , LUT , BG
Statements regarding export of excisable goods
Bond Summary Report
SAP AG 2005
ARE-1 Form Processing
Creating ARE-1
Changing / Amend ARE-1
ARE-1 Tracking
ARE-1 Update
ARE-1 Shortfall Adjustments
ARE-1 Reversal / Cancellation
Posting ARE-1 to Excise Dept.
Closing ARE-1
SAP AG 2005
Deemed Exports Licensing
License Numbering
License Balances
License Validity
Processing Deemed Export Licenses Master Data
for CT-1 , CT-2 , CT-3
. , Cancel & Close Licenses

Create , Change , Display
Deemed Export License summary
Quantity tracking and reconciliation of goods removed under license level
SAP AG 2005
ARE-3 Form Processing
Creating ARE-3
Changing / Amend ARE-3
Assigning Deemed Export Licenses to ARE-3 Line Items
Posting ARE-3 to Excise Dept
ARE-3 Update
ARE-3 Shortfall Adjustments
ARE-3 Reversal / Cancellation
Closing ARE-3
SAP AG 2005
Creating Transaction Configuration
ARE Document numbering
Automatic Address Determination
ARE Text determination
ARE Output / Printout
Extending Export Periods and Reware housing periods
Interest Calculation
ARE assignment / removal from Excise Invoices
ARE cancellations
SAP AG 2005
Header Data
Item Data
Document Details
Item Material Details
Total Duties
Quantity
Certification Dates
Duty Rates
Bond/UT -1 Detail
Duty Values
Excise Invoice Summary
License
Addresses
Package Details
Additional Data
Reference Documents
Part II
Additional Data
SAP AG 2005
ARE Transaction Configuration
Each type of ARE Document provides for:
One Central Processing Transaction
Allows Users to carry out all functions on ARE document
Suitable to a System Administrator
Three Individual Processing Transactions
Restricts Users to specific processing modes only E.g

Create and Display ARE documents OR
Update and Display ARE documents etc
Assignment to Excise Clerks/Supervisors
Customizing Settings:
IMG Path: Logistics General Tax on Goods Movements India

Business Transactions Exports Under Excise Regulations Transaction
Configuration
SAP AG 2005
ARE Document numbering
Each ARE Document has two numbers
an internal number
an official number
Used by the system to identify the ARE document,
Corresponds to the serial numbers assigned to company by the excise

department for the ARE document forms
Number Range Objects to be maintained
Internal number range object
J_1IINTNUM
Official number range object
ARE-1s J_1IARE1
ARE-3s J_1IARE3
Separate number range for each series group
Customizing
SAP AG 2005
IMG Path : Logistics General Tax on Goods Movements India

Tools Number Ranges.

ARE Automatic Address Determination
Address of Custom Department

(Master Data Config- Postal Addr)
Address in
ARE
Address of Excise Department

SAP AG 2005
(Master Data Config Series Grp)

ARE Automatic Text determination
# Mode of
Transport
# Export Seal
No
Long Text Function

Customizing
ARE -1 / ARE-3 Forms
SAP AG 2005

ARE Output determination / Printout
SAPScript forms for
ARE-3
Common print program and output type
ARE -1
J1IB
Other Output Types : Customizing Settings:
Definition:
IMG Path: LogisticsGeneralTax on Good MovementsIndia Business

Transactions Excise Bonding Exports under Excise Regulations Printouts of ARE
Documents.
Assignment:
SAP AG 2005

Transactions Excise Bonding Exports under Excise Regulations Make Settings
for ARE-1 Procedure &

Transactions Excise Bonding Deemed ExportsMake Settings for ARE-3
Procedure

Extending Export Periods and Rewarehousing periods for ARE
Exemption on basic excise duty dependant on completion of:
Exports under bond within export period

Exports under claim for rebate within export period
Deemed exports within allotted re-warehousing period
On application of extension,
If extension granted
Else
Enter extension date in ARE document
Reverse ARE-1 or ARE-3 to facilitate repayment of excise duty posted to

CENVAT
Ageing Analysis for ARE document used to track AREs nearing end of
export/rewarehousing period
SAP AG 2005
ARE Interest
Reversal of Calculation
ARE -1/ARE 3document
ARE-3s
Interest due computed

by system
OVERWRITE OF EXCISE DUTY

AND INTEREST COMPUTED BY
SYSTEM PERMITTED
SAP AG 2005
Shortfalls in ARE-1s/
ADD/REMOVE/CANCEL EXCISE INVOICE TO AREs (STEPS..)
ADD
On the Excise Invoice Summary tab enter in Additional Excise Invoice field,
Excise Invoice Number
Year
Choose +
REMOVE
On the Excise Invoice Summary tab enter in Additional Excise Invoice field,
Excise Invoice Number
Year
Choose
CANCEL
Indirect Taxes Sales/Outbound Movements Exports Under Excise Regulations Exports or
Deemed Exports Central Processing Cancel ARE1 or Cancel ARE-3.
SAP AG 2005
Select Cancel
Select ARE-1 or ARE-3 Internal Document
Provide internal ARE number and choose SAVE
ARE Aging Analysis Report
List of all ARE documents by their status
ARE Document Status
SAP AG 2005
Activity is overdue
Activity is due today
Activity has been completed
Exports : Unit Summary

Now you will be able to:
Understand the export processes
Configure the export related requirements
Update Master Data relevant for exports in SAP
Perform export transactions and execute relevant

reports
SAP AG 2005
Statutory Reporting
Contents:
Statutory Excise Reporting

Excise Registers
Bond Registers
License Registers
Running Bond Registers
Statutory Sales Tax Reporting
Sales Tax Registers
VAT Register
SAP AG 2005
Statutory Reporting : Unit Objectives

Generate Excise related and Sales tax related reports
Configure the relevant settings for the script layouts
SAP AG 2005
Statutory Reporting : Business Scenarios
Printing of Excise Registers (RG23 A&C Part I, II, RG1, PLA, RG 23D)
Printing of Bond Registers for Exports (Bond Registers, Running

Registers)
Interface to External Reporting Tools
Printing of Sales Tax Register
Printing of VAT Register
Printing of TR6 Challan
SAP AG 2005
Bond
Excise Registers Printing
Customizing Settings
IMG Path: SPRO->Logistics General->Tax on movement of Goods->India->

Business Transactions->Excise Registers
Maintain SAP-Script layouts in CIN Customizing for each company code
Maintain Register Balances/Material Form for the first time through transaction
SE16
RG23A/C Part 2 Register

RG1 Register
SAP AG 2005
Excise Registers Printing

Document Printing Process
Update RG1 /
Subcontracting
order
Extract Data
Excise Stock/
Part I Register
Confirmation
By user
Yes
Print
Registers
SAP AG 2005
No
Re-extract reqd?
End
Sales Tax Registers Printing
Document Printing Process
Extract the data for Sales Tax Register printing based on the following
criteria
Company code and Fiscal year

Posting date / Document date range
Tax code & Tax Condition Type
Ship from & Ship to location
Additional Standard Report RFSUMV000 also available for VAT

Related Tax Reporting
SAP AG 2005
Statutory Reporting : Unit Summary

Generate Excise related and Sales tax related reports
Configure the relevant settings for the script layouts
SAP AG 2005

Cin 2003

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WINLEN India Localisation

Copyright 2001 SAP AG. All rights reserved.

All rights reserved.

This course is intended for the following audiences:

Consultants involved in Project Management for MM, SD and FI

Main Business Scenario

This course will prepare you to:

The course includes areas related to Financials,

After completing this course, you will be able to:

Generate legal reports and analyse impact of legal

Unit 2 India Localisation Brief

Unit 10 Sales with VAT

Unit 3 Excise Set-up

Unit 11 Depot Operations

Unit 4 Tax Procedure for India

Unit 6 Procurement Process

Unit 13 Statutory Registers and

Main Business Scenario

The finished products are directly sent to the customers

India Localisation Brief

SCIL - Organisational Elements

India Localisation Brief : Unit Objectives

After completing this unit, you will be able to:

Understand Indian Legal Requirements

India Localisation Brief : Business Scenario

SCIL manufactures Cycles at its plants in Mumbai and

The finished products are directly sent to the customers

India Localisation Brief : Logistics Overview

Procurement of Raw Materials (Domestic)

Capture and Post

Capture and Post

Sale from Factory

Sale from Depot

Debit: Rs. 160

SCIL- Organizational Elements

India Localisation Brief : Unit Summary

You should now be able to:

Understand Indian Legal Requirements

Excise Rate Determination

Excise Setup : Unit Objectives

After completing this unit, you will be able to:

Prepare Excise Master Data for India localization in

India Localization : An Overview

Excise and Customs Duty

Sales Tax and Value Added Tax (VAT)

Withholding Tax/ Tax Deducted at Source (TDS)

Maintenance and Printing of Statutory Registers

Menu Path: SPRO Enterprise Structure

Menu Path: SPRO Financial Accounting Financial Accounting Global

Activate Country Version India for Specific Fiscal Years

Activate Business Transaction Events

Setup of Organizational Elements

Menu Path: SPRO Logistics General Tax on Goods

Setup of Organizational Elements

Maintain Excise Registrations IDs

Select Tax Procedure

Maintain Excise Defaults

Setup of Organizational Elements

Relevance of AED, SED or

Max no. of line

Setup of Organizational Elements

Utilizes from PLA

First month for