CENTRAL EXCISE AND SALES TAX

MM Consultant
SD Consultant
FI Consultant Job-Creation of Accounts and assignment of
accounts
Central Excise is an Indirect Tax
This will be levied at the time of sales (removal of goods)
Central Excise Registration Plant wise
Central Excise Registration -15 digits code (10 digits PAN+5
digits Central Excise No.)
Central Excise Rates are given in Central Excise TariffIn Central Excise Tariff we have Chapter IDs-8 digits codeUnder Chapter ID material description and rate
Excise duties are classified into 3 categories
a) Basic excise duty (BED) : most of the products
come under this category - now the Maximum
rate is 10% and the Minimum rate is 5%.
b) Special Excise duty: Tobacco related products
8% ON BED
c)
Additional Excise duty: again limited products
like TEXTILES-15% on Base amount-Now no
AED.
d) Education Cess 2% and Higher and Secondary
Education cess 1%-Total 3%
1) CENVAT (Central Excise Value Added Tax): (Earlier
MODVAT)
When we pay Excise Duty at the time of purchase, the Excise
Amount can be adjusted when we pay Excise Duty on Sales
to Excise Department (Though collected from customer)

2) RG23A-Excise Duty on consumables-100% CENVAT CAN

BE
CLAIMED IN THE SAME YEAR
RG23A Part I- Quantity Updation
RG23APart II-Value Updation
3) RG23C-Excise Duty on Capital Goods-50% CENVAT THIS
YEAR AND BALANCE 50% NEXT YEAR
RG23CPart I- Quantity Updation
RG23CPart II-Value Updation
4)PLA-Personal Ledger Account-Bank Excise credits and
debits
5)ER1-Excise Return 1-(Earlier it was RT12)-Monthly Return
To pay Excise before 5th of Next Month
To file Return before 10th of Next Month
6)RG1- Finished Goods Register
PURCHASE SCENARIO:
CONSUMABLES
PURCHASE
BASIC
PRICE
EXCISE
8%
VAT 4%

CAPITAL GOODS
PURCHASE(STOR
100
8
108
4.32

200
10%

112.32
Consumables Purchases:
a)In case of goods receipt- 2 entries will be passed

20
220
8.8
228.
8

i)Inventory Rm Dr
To GR/IR clearing a/c
ii)RG23A a/c Dr
To Cenvat Clearing a/c
b)Invoice verification
GR/IR clearing dr
Cenvat clearing a/c dr
Vat receivable a/c dr
To party

100
100
8
8
100
8
4.32
112.32

Capital Goods Purchases:

a)In case of goods receipt- 2 entries will be passed
i)Inventory Stores Dr
To GR/IR clearing a/c
ii)RG23C a/c Dr
Cenvat on Hold Dr
To Cenvat Clearing a/c

200
200
10
10
20

b)Invoice verification
GR/IR clearing dr
Cenvat clearing a/c dr
Vat receivable a/c dr
To party

200
20
8.80
228.80

SALES SCENARIO:
BASIC PRICE
EXCISE RATE
(10%)

1000.0
0
100.00

1100.0
0
159.50
1259.5
0

VAT (14.5%)

1.In case of sales

Customer a/c dr
To Sales
To Cenvat suspense a/c
To Vat payable a/c

1259.50
1000.00
100.00
159.50

2.In case of excise invoice creation

Cenvat suspense a/c dr
To Excise duty payable a/c

100
100

3.Adjustment of Excise payable against rg23a/rg23c and pla

Excise Duty payable a/c dr
To RG23A
To RG23C
To PLA
4.Sales Tax payment to Department
Vat Payable a/c dr
To Vat Receivable
To Bank

100
8
10
82
159.50
13.12
146.38

The standard system comes with two tax calculation

procedures.
1. TAXINN Condition Based
2. TAXINJ Formula Based
Client 000- We have both proceduresFor New implementations SAP suggests to go for TAXINN-

MATERIAL MANAGEMENT:
1.ACTIVATE COUNTRY VERSION INDIA FOR SPECIFIC YEARS:
SPRO> FINANCIAL ACCOUNTING> FINANCIAL ACCOUNTING
GLOBAL SETTINGS> TAX ON SALES & PURCHASES> BASIC
SETTINGS>INDIA> ACTIVATE COUNTRY VERSION INDIA FOR
SPECIFIC FISCAL YEARS
SELECT POSITION BUTTON
FOR IND, FOR TO YEAR: 2999
SELECT ACTIVATE CHECK BOX
SAVE
2.CHECK AND CHANGE SETTINGS FOR TAX PROCESSING
SPRO> FINANCIAL ACCOUNTING> FINANCIAL ACCOUNTING
GLOBAL SETTINGS> TAX ON SALES & PURCHASES> BASIC
SETTINGS>CHECK AND CHANGE SETTINGS FOR TAX
PROCESSING (OBCN)
SELECT NEW ENTRIES BUTTON
PROCESS: VA
DESCRIPTION: A/P EXCISE BASIC
TAX TYPE: 2 INPUT TAX
POSTING INDI: 2 SEPARATE LINE ITEM
SAVE
PROCESS: VB
DESCRIPTION: A/P CST
TAX TYPE: 2 INPUT TAX

POSTING INDI: 3DISTRIBUTE TO RELEVANT EXPENSE/REV

ITEMS
SAVE
PROCESS: VC
DESCRIPTION: A/P VAT
TAX TYPE: 2 INPUT TAX
POSTING INDI: 2 SEPARATE LINE ITEM
SAVE
PROCESS: VE
DESCRIPTION: A/R CST
TAX TYPE: 1 OUTPUT TAX
POSTING INDI: 2 SEPARATE LINE ITEM
SAVE
PROCESS: VF
DESCRIPTION: A/R VAT
TAX TYPE: 1 OUTPUT TAX
POSTING INDI: 2 SEPARATE LINE ITEM
SAVE
3.DEFINE CONDITION TYPES
SPRO> FINANCIAL ACCOUNTING> FINANCIAL ACCOUNTING
GLOBAL SETTINGS> TAX ON SALES & PURCHASES> BASIC
SETTINGS>CHECK CALCULATION PROCEDURE
DOUBLE CLICK ON DEFINE CONDITION TYPES
i) CONDITION TYPE: VSL1-AP EXCISE BED
ACC SEQ: JTAX
COND CLASS: D -TAXES
CAL TYPE: A-PERCENTAGE
COND CATEGORY: D-TAX
SELECT ITEM CONDITION CHECK BOX
CONDITION TYPE: VSL2-A/P CST
ACC SEQ: JST1
COND CLASS: D -TAXES

CAL TYPE: A-PERCENTAGE

COND CATEGORY: -D TAX
SELECT ITEM CONDITION CHECK BOX
CONDITION TYPE:VSL3-A/P VAT
ACC SEQ: JST1
COND CLASS: D -TAXES
CAL TYPE: A-PERCENTAGE
COND CATEGORY: D TAX
SELECT ITEM CONDITION CHECK BOX
4.CREATION OF TAX PROCEDURE
SPRO> FINANCIAL ACCOUNTING> FINANCIAL ACCOUNTING
GLOBAL SETTINGS> TAX ON SALES & PURCHASES> BASIC
SETTINGS>CHECK CALCULATION PROCEDURE
DOUBLE CLICK ON DEFINE PROCEDURES
SELECT NEW ENTRIES BUTTON-TAX PROCEDURE-TAXINNSALES TAX INDIA
SAVE
SELECT TAXINN
DOUBLE CLICK ON CONTROL DATA FOLDER
SELECT NEW ENTRIES BUTTON
STAT PRINT BASE
TYPE

Step Ctype Description From TO

Base
100BASB Amount
Calculated
110
Call
100
A/P Excise
120VSL1 BED
100
BASIC+EXCI
150
SE
110 140
160VSL2 A/P CST
150
170VSL3 A/P VAT
150

Acct
Key

362
X
X
VA
X
X
X

5.ASSIGN COUNTRY TO CALCULATIONPROCEDURE:

VB
VC

SPRO> FINANCIAL ACCOUNTING> FINANCIAL ACCOUNTING

GLOBAL SETTINGS> TAX ON SALES & PURCHASES> BASIC
SETTINGS>ASSIGN COUNTRY TO CALCULATION PROCEDURE
IN: TAXINN

6.CREATION OF TAX CODES (FTXP)

V0-0% input tax
V1-DUMMY TAX CODE FOR INPUT TAX
A0-0% input tax
A1- Dummy tax code for OUTPUT TAX
7.CREATION OF GL ACCOUNTS-FS00
200156-RG23A-COPY 200155 VAT RECEIVABLE
200157-RG23C
--DO-200158-CENVAT ON HOLD---DO-200159-PLA ACCOUNT -DO-200155-VAT RECEIVABLE ALREADY CREATED
100521-CENVAT CLEARINGCOPY 100505 VAT PAYABLE
100522CENVAT SUSPENSE A/CDO-100523EXCISE DUTY PAYABLE A/CDO-100505-VAT PAYABLECREATED
100524-CST PAYABLEDO-8.ASSIGNMENT OF ACCOUNTS FOR AUTOMATIC POSTINGS
SPRO> FINANCIAL ACCOUNTING> FINANCIAL ACCOUNTING
GLOBAL SETTINGS> TAX ON SALES & PURCHASES>
POSTING> DEFINE TAX ACCOUNTS (OB40)
DOUBLE CLICK ON VA- CHART OF ACCOUNTS-VSL
SAVE BUTTON
SELECT POSTING KEY BUTTON
DEBIT-40
CREDIT -50
SAVE-SAVE IN YOUR REQUEST

SELECT ACCOUNTS BUTTON

100521-CENVAT CLEARING SAVE
DOUBLE CLICK ON VCSELECT POSTING KEY BUTTON
DEBIT-40
CREDIT -50
SAVE-SAVE IN YOUR REQUEST
SELECT ACCOUNTS BUTTON
FOR V3: - 200155-VAT RECEIVABLE
SAVE-SAVE IN YOUR REQUEST
DOUBLE CLICK ON VESELECT POSTING KEY BUTTON
DEBIT-40
CREDIT -50
SAVE-SAVE IN YOUR REQUEST
SELECT ACCOUNTS BUTTON
FOR V5: - 100524-CST PAYABLE
SAVE-SAVE IN YOUR REQUEST
DOUBLE CLICK ON VF
SELECT POSTING KEY BUTTON
DEBIT-40
CREDIT -50
SAVE-SAVE IN YOUR REQUEST
SELECT ACCOUNTS BUTTON
FOR V6: - 100505-VAT PAYABLE
SAVESAVE IN YOUR REQUEST
9.MAINTAIN EXCISE REGISTRATIONS:
SPRO> Logistics General/Tax on Goods
Movement/India/Basic Settings/Maintain Excise Registration
Every factory that manufactures excisable goods is required
to register separately, so that a business with seven
factories requires seven registrations.

Excise REG ID
110
ECC No.
Excise Reg. AAACG8605VXM005
Excise
Range
BALANAGAR
Excise Divis HYDERABAD
commissione
r
HYDERABAD
Duty Applicability
Deselect on Liable for AED
Deselect on Liable to CESS
Options
Partial Credit - Tick
No. of Items in Excise Limit:999
SAVE

10.Maintain Company code settings:

SPRO> Logistics General/Tax on Goods
Movement/India/Basic Settings/Maintain Company Code
Settings
In this IMG activity, you maintain the data relating to your
company codes.
Company code: VSL
Cenvat document type:SA
Utilization Fi document type: SA
Select debit account override
Select autoadjustment indicator
Select immediate credit on capital goods
Excise invoice selection days: 30
No of excise invoice selection: 999

EI selection procedure: fifo

save
11.Maintain Plant settings:
SPRO> Logistics General/Tax on Goods
Movement/India/Basic Settings/Maintain Plant Settings
Plant: VSLP
Excise registration No.110
GRs per Excise Invoice: Multiple goods receipts, multiple
credits
SAVE
12.Maintain Excise groups:
SPRO> Logistics General/Tax on Goods
Movement/India/Basic Settings/Maintain Excise Group
Excise Group: 40
Plant: VSLP
Description: EXCISE GROUP FOR VSL
Excise Regn No. 110
No. GRS per Excise Invoice: Multiple goods receipts, multiple
credits
select EI Capture
select post excise invoice in MIGO
select duty different at GR
save

13.Maintain Series Group:

SPRO>Logistics General/Tax on Goods Movement/India/Basic
Settings/Maintain Series Group
Series
Group
40

Series Dues
SERIES GROUP FOR VIDEOCON

Exc
Reg.
110

STEELS LTD
14.Maintain Excise Indicators
SPRO>Logistics General/Tax on Goods Movement/India/Basic
Settings/Excise Duty Indicators
Exc.
Ind
1
2
3

+
100%
TAX
50%
TAX
NIL
DUTY

15.Maintain Excise Defaults

SPRO>Logistics General/Tax on Goods Movement/India/Basic
Settings/Maintain Excise Defaults
A/P A/P
A/
AE
CVD
A/P
SED AED
R A/R
BED D SED
Tax. Cond Exp
BED
CON CON A/R SE AE A/R PERC PE PER CESS
Proc .
TaxCd COND D
D
BED D D CESS EN RC C
PERC
TAXI
NN
VSL1
VSLA
VSL4
16.Maintain Chapter IDs
SPRO>Logistics General/Tax on Goods
Movement/India/Master Data/Maintain Chapter IDs
72181105INGOTS-UOM EXCISE-KG
72221205STEEL BARS-UOM EXCISE-KG

17.Specify GL Accounts per Excise Transactions:

SPRO> Logistics General/Tax on Goods
Movement/India/Master Data/Special GL Accounts Per Excise
Transactions:

18.Assign Billing Types to Delivery Types

Logistics General/Tax on Goods Movement/India/Business
Transactions/Outgoing Excise Invoice/Assign Billing Types to
Delivery Types
DllTy
LF
NL

Billing
Type
F2
JEX

19 .Specify SAPscript Forms

SPROLogistics GeneralTax on Goods
MovementsIndia Business Transactions Excise
Registers Specify SAP script Forms
SELECT ALL FORMS FOR IN01
COPY TO COMPANY CODE VSL
SAVE
20.Number Ranges
SPROLogistics GeneralTax on Goods
MovementsIndia Business Transactions Tools
Number Ranges
OBJECT

Long Text

J_1IINTNUMInternally document no. to be generated

Select Number ranges button
Select intervals button
Select interval button
No.range-01
Year 2011
From Number 1
To Number 100000

Save-Ignore the warning message and press enter

Select backarrow 2 times
J_1IRG23A1-rg23a part 1 updation
Select Number ranges button
Excise group:40
Select intervals button
Select interval button
No.range-01
Year 2011
From Number 100001
To Number 200000
Save-Ignore the warning message and press enter
Select backarrow 2 times
J_1IRG23A2-rg23a part 2 updation
Select Number ranges button
Excise group:40
Select change intervals button
Select interval button
No.range-01
Year 2011
From Number 200001
To Number 300000
Save-Ignore the warning message and press enter
FOR SALES:
J_1iexcloc-local excise invoice no. range
Select Number ranges button

Series group:40
Select change intervals button
Select interval button
No.range-01
Year 2011
From Number 300001

To Number 400000

Save-Ignore the warning message and press enter

J_1iintpr2despatch serial number
Select Number ranges button
Excise group:40
Select change intervals button
Select interval button
No.range-01
Year 2011
From Number 400001
To Number 500000
Save-Ignore the warning message and press enter
21.Excise Rate Maintenance
Use Transaction code: j1iln
Indirect Taxes> Master Data> Excise Rate Maintenance
Transaction. Code J1ID
Select material and chapter id combination
Select MAINTAIN button
Select new entries button
Material-VSLRM1

PLANT:VSLP
Chapter ID: 72181105
Material type: RAW MATERIALS
GR X Ref:Multiple goods receipts, multiple credits
Declared: x
Declaration date:28.02.2011
Select new entries button
Material-VSLFG
PLANT:VSLP
Chapter ID: 72221205
Material type: Finished goods (RG1)
GR X Ref:Multiple goods receipts, multiple credits
Declared: x
Declaration date:28.02.2011
save
Select back arrow:
Select cenvat determination radio button
Select details button
Plant:VSLP
Input Material: VSLRM1
Output Material:VSLFG
Intimation date:28.02.2011
save
select back arrow
Select vendor excise details radio button

Select maintain button

Vendor No.4600701-VSL MM VENDOR
Excise indicator for vendor :1Liable for Tax
Type of Vendor: manufacturer
Save
Select back arrow
Select customer excise details radio button
Select maintain button
Customer No.7300501 VSL SD CUSTOMER
Excise indicator for customer :1Liable for Tax
Save
Select back arrow
Select excise indicator for plant radio button
Select maintain button
Select new entries button
Company code:VSL
Plant:VSLP
First Month April
Excise indicator for company:1 liable for tax
Save
Select back arrow
Select excise indicator for plant and vendor radio button
Select maintain button
Select new entries button
Excise Indicator for company: 1

Excise Indicator for vendor:1

Excise Indicator: 1
save
Select back arrow
Select excise indicator for plant and customer radio button
Select maintain button
Select new entries button
Excise Indicator for company: 1
Excise Indicator for customer:1
Excise Indicator: 1
Save

22.Condition Record for Excise Duties

Use
The purpose of the activity is to create condition records for
excise duties in the Purchase Order.
Procedure
1. Access the activity using one of the following navigation
options:
FV11
Transaction
Code
2. Condition type: Select VSL1
Select Key combination button
3. Choose the Plant / Vendor / Material combination
and Choose Enter.
Field
Description Default
name
Values

Plant

VSLP
460070
1

Vendor
Materi
al
Amou
nt
Tax
code

VSLRM1
8
V0

23.Creating Condition Record for Sales Tax Condition

Type
1. Access the activity using one of the following navigation
options:
Transaction
Code

FV11

2. Condition type: Select VSL3

Select Key combination button
3. Choose Plant/Vendor/Material radio button.
Choose Enter.
4.
The following key fields were used:
Field
Description Default
name
Values
Plant
VSLP
460070
Vendor
1
Materi
al
VSLRM1
Amou
nt
4
Tax
code
V0
5.

Choose Save.

1.CREATION OF PURCHASE ORDER:

Logistics> Materials Management> Purchasing> purchase
order> create>vendor/supplying plant known (ME21N)
Vendor No.4600701
Purchasing organization: VSLR
Purchasing Group:VSL
Company Code:VSL
Item:10
Material: VSLRM1
PO Quantity-1000 kgs
Net Price: 100 Rs
Currency:inr
Plant:VSLP
Enter
SELECT INVOICE TAB: SELECT TAX CODE: CHANGE TAX
CODE TO V1-DUMMY TAX CODE FOR PURCHASES
ENTER
Select Taxes button
Select back arrow
save
2.GOODS RECEIPT:
Logistics> Materials Management> Inventory Management>
Goods Movement> Goods Movement (MIGO)
Select Goods Receipt
Purchase order No.
Enter
Select where tab:
Storage Location: HYD

Select Quantity Tab

Quantity in Delivery Note:1000 kgs
Select Item OK check box
Enter
SELECT EXCISE ITEM TAB:
TO SEE THE EXCISE VALUES:
ALSO SELECT EXCISE INVOCE TAB:
EXCISE INV NO: 1
EXC INV DATE: todays date
SELECT CHECK BUTTON
POST
SELECT
SELECT
SELECT
SELECT
SELECT
SELECT
SELECT

DISPLAY- ENTER
DOC INFO TAB-SELECT FI DOCUMENTS BUTTON
BACK AROW
EXCISE INVOICE TAB
MORE DATA BUTTON
PART 2 TAB
ACCOUNTING DOC NO.

2 DOCUMENTS WILL BE GENERATED:

ONE FOR GR AND ANOTHER FOR EXCISE: DEBIT RG23A AND
CREDIT TO CENVAT CLEARING A/C
3.INVOICE VERIFICATION:
Logistics> Materials Management> Logistics Invoice
verification> Document Entry (MIRO)
Invoice Date: Todays date
Reference:1234

SELECT CALCULATE TAX CHECK BOX

SELECT THE TAX CODE-V1
Give Purchase Order No.
Enter
AmountSAVE
4.EXTRACT EXCISE REGISTERS:
USE TRANSACTION CODE : J1ILN
INDIRECT TAXES> REGISTERS> EXCISE TAX> EXTRACT (J2I5)
SELECT RG23A PART I (QUANTITY)
SELECT RG23A PART II (VALUE)
EXCISE GROUP:40
START DATE:01.10.2011
END DATE:31.10.2011
EXECUTE:
SELECT BACK ARROW:
EXCISE TAX> PRINT UTILITY PROGRAM (J2I6)
PRINT REGISTER:
SELECT RG23A PART 1 (QUANTITY INFORMATION)
EXECUTE
EXCISE GROUP:40
START DATE-01.10.2011
END DATE-31.10.2011

EXECUTE
OUTPUT DEVICE: LP01
SELECT PRINT PREVIEW BUTTON
SELECT BACK
SELECT RG23A PART II (VALUE INFORMATION)
EXECUTE
EXCISE GROUP-40
START DATE:01.10.2011
END DATE:31:10.2011
OUTPUT DEVICE : LP01
SELECT PRINT PREVIEW BUTTON
SELECT BACK
5.TO VIEW SALES TAX REGISTER:
Upto Registers the path is same
Select sales tax folder<sales tax register (j1i2)
Company code: VSL
LST condition type:VSL3
Select execute button
SALES AND DISTRIBUTION:
1.CREATION OF CONDITION TYPE:
SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>
PRICING> PRICING CONTROL> DEFINE CONDITION TYPES
DOUBLE CLICK ON MAINTAIN CONDITION TYPES
SELECT NEW ENTRIES BUTTON
CONDITION TYPE: VSL4 (A/R BED %)

ACCESS SEQ: JEXC (INDIA EXCISE)

COND CLASS: A
PLUS/MINU-A POSITIVE
CALCUALATION TYPE: A
SELECT AMOUNT/PERCENT CHECK BOX
SELECT ITEM CON CHECK BOX
SAVE
CONDITION TYPE: VSLA(A/R BED-100%COPY)
ACCESS SEQ: JDUM (INDIA EXCISE)
COND CLASS: A
PLUS/MINU-A POSITIVE
CALCUALATION TYPE: A PERCENTAGE
SELECT AMOUNT/PERCENT CHECK BOX
SELECT ITEM CON CHECK BOX
SAVE
CONDITION TYPE: VSL5(A/R CST)
ACCESS SEQ: JCST (CENTRAL SALES TAX)
COND CLASS: D TAXES
PLUS/MINU-BLANK
CALCUALATION TYPE: A PERCENTAGE
CONDITION CATEGORY: D TAXES
SELECT AMOUNT/PERCENT CHECK BOX
SELECT ITEM CON CHECK BOX
SAVE
CONDITION TYPE: VSL6 (A/R LST)
ACCESS SEQ: JLST (LOCAL SALES TAX)
COND CLASS: D TAXES
PLUS/MINU-BLANK
CALCUALATION TYPE: A PERCENTAGE
CONDITION CATEGORY: D TAXES
SELECT AMOUNT/PERCENT CHECK BOX

SELECT ITEM CON CHECK BOX

SAVE
2)DEFINE ACCOUNT KEYS:
SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>
ACCOUNT ASSIGNMENT/COSTING> REVENUE ACCOUNT
DETERMINATION>DEFINE AND ASSIGN ACCOUNT KEYS
DOUBLE CLICK ON DEFINE ACCOUNT KEY
V4-EXCISE DUTY
V5-A/R CST
V6-AR VAT
SAVE
3.CREATION PRICING PROCEDURE: (V/08)
SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>
PRICING>PRICING CONTROL>DEFINE AND ASSIGN PRICING
PROCEDURES
DOUBLE CLICK ON MAINTAIN PRICING PROCEDURES
Select New Entries Button
PROCEDURE-VSL-DOMESTIC BILLING-Save
Select VSL-Double click on control data folderSelect new entries button
Step
num
ber
100

Fro
m
ste
p

To
ste
p

10
0
10
A/R BED % 0
A/R BED
11
-100%copy 0

10
0
10
0
11
0

105

Conditi
on
Descriptio
Type
n
PR00
Price
Calculated
cell

110

VSL4

120

VSLA

Requi
red
X

Statis
tics

Print
X

Accoun
t key
ERL

X
X

VD
X

Calculated
Value
Basic+exci
se

150
160
170

VSL5

180

VSL6

200

A/R CST
A/R LST
Base + ED
+ ST

10
5
12
0
16
0
16
0
16
0

10
5
15
0
16
0
16
0
18
0

X
X
VE
VF
X

4.DEFINE PRICING PROCEDURE DETERMINATION

SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>
PRICING>PRICING CONTROL>DEFINE AND ASSIGN PRICING
PROCEDURES
DOUBLE CLICK ON DEFINE PRICING PROCEDURE
DETERMINATION
SELECT POSITION BUTTON
GIVE SALES ORGANIZATION-VSLS
PRESS ENTER
PRICING PROCEDURE-VSL
SAVE
5.DEFINE TAX DETERMINATION RULES:
Tax Determination in Master Records
Defining Tax Determination Rules
IMG menu

Sales and Distribution Basic

Functions Taxes Define Tax
Determination Rules

IN

India 1

VSL5 A/R CST

IN

India 2

VSL6 A/R VAT

6.Defining Tax Relevancy of Master Records

SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>

TAXES>DEFINE TAX RELEVANCY OF MASTER RECORDS
DOUBLE CLICK ON CUSTOMER TAXES(OVK3)
SELECT NEW ENTRIES
TAX CATEGORY
TAX CLASSIFICATION DESCRIPTION
VSL5
0
NIL
TAX
VSL5
1
TAXABLE
VSL6
0
NIL
TAX
VSL6
1
TAXABLE
SELECT BACK ARROW
DOUBLE CLICK ON MATERIAL TAXES (OVK4)
SELECT NEW ENTRIES BUTTON
TAX CATEGORY
TAX CLASSIFICATION DESCRIPTION
VSL5
0
NIL
TAX
VSL5
1
TAXABLE
VSL6
0
NIL
TAX
VSL6
1
TAXABLE
7.ASSIGN DELIVERING PLANTS FOR TAX DETERMINATION
SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>
TAXES> ASSIGN DELIVERING PLANTS FOR TAX
DETERMINATION (OX10)
Select Plant VSLP
SELECT DETAILS BUTTON
SELECT ADDRESS BUTTON

FOR REGIONASSIGN AP(MANDATORY)

8.ASSIGNMENT OF ACCOUNTS FOR AUTOMATIC POSTINGS
(VKOA)
SPRO> SALES AND DISTRIBUTION> BASIC FUNCTIONS>
ACCOUNT ASSIGNMENT/COSTING>REVENUE ACCOUNT
DETERMINATION>ASSIGN GL ACCOUNTS
V

KOFI VSL VSLS01

03

VD

100522
(CENVAT

SUSPENSE A/C)
9.Assign Tax classification in customer master (xd02)SELECT CUSTOMER NO.7300501
COMPANY CODE:VSL
SALES ORGANIZATION:VSLS
DISTRIBUTION CHANNEL VD
DIVISION VS
ENTER
Select sales area data button
Select billing documents tab
Tax category
VSL5
VSL6
SAVE

Tax classification
BLANK
1-TAXABLE

10.IN MATERIAL MASTER ENTER TAX CLASSIFICATION-MM02

MATERIAL NO.VSLFG
ENTER
SELECT SALES:SALES ORG DATA 1
ENTER
PLANT:VSLP
SALES ORG:VSLS
DIS CHANNEL:VD
ENTER
Tax category

Tax classification

VSL5
VSL6

1-TAXABLE
1-TAXABLE

SAVE

11.CREATION OF CONDITION RECORDS(VK11)

A)SELECT VSL4- A/R EXCISE
SELECT KEY COMBINATION BUTTON
SELECT 004 MATERIAL
Sales Organization VSLS
Distribution Channel VD
MATERIAL VSLFG

HYD Sales Org

DIRECT SALE

10% 01.04.2011

31.12.9999

SAVE
SELECT BACK ARROW
FOR VSLA-A/R EXCISE 100% COPY
SELECT KEY COMBINATION BUTTON
SELECT SALES ORGANIZATION-ENTER
VSLS

Sales Org HYD

100 %
01.04.2011
31.12.9999
SAVE
SELECT BACK ARROW
FOR VSL6A/R VAT
SELECT KEY COMBINATION BUTTON
SELECT COUNTRY/PLANT/REGION/MATERIAL
Country
Plant
Region

IN
VSLP
AP

India
ANDHRA PRADESH

MATERIAL VSLFG
31.12.9999

14.50
%
01.04.2011
A1
(DUMMY CODE FOR SALES)

12.CREATION OF SALES ORDER (VA01)

13.DELIVERY WITH PGI (VL01N)
14.BILLING (VF01)

15. LOCAL EXCISE INVOICE CREATION

GOTO J1ILN
INDIRECT TAXES/SALES/OUTBOUND MOVEMENTS/ EXCISE
INVOICE/ FOR SALES ORDER/ OUTGOING EXCISE INVOICE
(J1IIN)
Select from billing
Billing documententer
excise group: 40
series group:40
select utilization(calculator) button
by default excise invoice type local will come
save
USE TC VF03-SALES BILLING DISPLAY

16.EXCISE UTILIZATION

Use the transaction code: j1iln

Indirect Taxes/sales/outbound movements/ fortnightly
payment(j2iun)
Company code: VSL
Plant: VSLP
Excise group:40
Period: 01.10.2011 to 31.10.2011
Select execute button
*