CIN Complete SD MM

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    Chapter-1

    Materials Management (MM)Purpose

    The Materials Management (MM) component covers the most important laws and business practicesspecific to India. The following documentation describes these aspects of the component.

    FeaturesCountry-Specific FunctionsCountry Version India comes with functions for calculating, posting, remitting, and reporting e cise duty,and for handling incoming and outgoing e cise invoices.!or these purposes, e tra fields are available in the vendor master data and material master data forinformation re"uired in India only.Country Version India offers two ways of calculating e cise duty, a condition#based method and aformula#based method.$ou can enter incoming e cise invoices in the %&' system for goods receipts arising from e ternal

    procurement, subcontracting, and stoc transfer. cise cler s can capture incoming e cise invoicesusing a dedicated transaction, or, alternatively, warehousemen can capture them in the standard GoodsMovement transaction, MI*+, when they enter a goods receipt.!inally, you can prepare copies of all e cise registers for submission to the e cise authorities.

    Country TemplateThe country template for India comes with settings for calculating and posting all forms of ta es from MM,and with the necessary document copying control settings.

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    Chapter-2

    Excise Invoice (Incoming)Definition

    & business document, in India, that your vendor sends you when it delivers e cisable goods. It lists thegoods and states how much e cise duty applies on them. $our use the e cise invoice to claim bac thee cise that you have paid from the e cise authorities.

    sehen you procure goods e ternally, each delivery that your vendors ma e is accompanied by an e cise

    invoice. $ou have to post these in the system. This document is re"uired as proof of the e cise duty thatyou have paid, so that you can then offset the duty against the e cise duty that you levy on outputs.$ou can capture and post e cise invoices in one or two steps, depending on your business re"uirements.

    In the two#step procedure, the e cise cler captures the incoming e cise invoice. This means thatthe cler enters the data, but the system does not yet create an entry in 'art II of the appropriatee cise register. &nother user (the e cise supervisor) chec s the e cise invoice and posts it. Thesystem then creates a 'art II entry.

    In the one#step procedure, the e cise cler captures and posts the incoming e cise invoicesimultaneously. The system creates the 'art II entry automatically.

    *enerally spea ing, you have one e cise invoice for each goods receipt, but see also Multiple *oods-eceipts for a %ingle cise Invoice .

    %ee elow

    !!!!!!((( ( Multiple "oo#s $eceipts for a Single Excise Invoicese

    Under normal circumstances, your vendors send you one excise invoice per delivery.Sometimes one excise invoice covers more than one delivery, for example, if youorder a large quantity of oil and the vendor requires several trips to complete thedelivery.

    Prere%uisites You have speci ed the maximum num er of goods receipts per excise invoice perexcise group, and !hether you !ant multiple goods receipts !ith single or multipleC"#$%& credits. You do so in Customi'ing for Logistics General, y choosing Taxes onGoods Movements India Basic Settings Maintain Excise Groups .

    You have also speci ed !hich materials multiple goods receipts are allo!ed for. (fyou do not, the system !ill display a !arning for each material !hen you come topost the excise invoice )see *aterial *aster )"xcise +ata .

    Features &he system allo!s you to control

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    hich of your e cise groups allow multiple goods receipts (see above) hich materials you allow multiple goods receipts for (see above) hen to credit the e cise duty on the goods to your C /V&T account, either0

    %s soon as the accounts supervisor has veri ed and posted the exciseinvoice, irrespective of !hether the delivery has een made in full

    hether to !ait until the full quantity has een delivered

    $ou have ordered a consignment of I/- 122,222 worth of fuel from a vendor with e ciseduty at I/- 12,222. The vendor sends the fuel in two batches. hen the first batch arrives,the warehouseman posts the goods receipt for I/- 322,222 (plus I/- 32,222 of duty)4 thee cise supervisor does not post the e cise invoice for the "uantity delivered. hen thesecond batch arrives, you can credit I/- 12,222 to your C /V&T account.

    &ctivitiesor/ing !ith multiple goods receipts entails the follo!ing activities

    'osting goods receipts

    hen you post a second (or third, or fourth) goods receipt for an e cise invoice, the systemprompts you to confirm that this is correct.

    'osting e cise invoices

    hen you come to post an e cise invoice, the system displays all the receipts created for theinvoice. If at material level multiple credit is disallowed, the system prompts you to confirm that youwant to accept the credit. +therwise, you can credit the C /V&T account for each receiptseparately.

    Structure

    In the %&' system, the e cise invoice consists of header data and line items. The 'ea#er #ata comprises0 &n internal number The e cise invoice number The date of the e cise invoice The details of the original vendor who generated the e cise invoice, if your vendor purchased the

    goods from another vendor and was merely selling them on to you &t line item level the e cise invoice lists the materials on the e cise invoice, showing the followinginformation0

    Chapter I5 6uantity of materials cise duty base amount -ates of e cise duty &mount of duty paid

    ))))}}}}}}}}}}}

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    Chapter 0.

    Material Master (Excise Data)

    Definition

    The part of the material master record where you record e cise information.

    To access the material master, from the SAP Easy Access menu, choose Logistics MaterialsManagement Material Master Material 7

    The e cise data is displayed in a separate group bo on the oreign Trade! Import "ata and oreignTrade! Export "ata tabs.

    se

    Customi ing

    In order for the users to be able to see the e cise data group bo , carry out the IM* activity inCustomi8ing for Logistics General, by choosing Taxes on Goods Movements India Master "ata

    Assign #sers to Material Master Screen Se$uence %or Excise "uty .

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    Chapter

    *en#or Master (Country *ersion In#ia Data)

    Definition

    The part of the vendor master record where you record information about a vendor relating to sales ta ,e cise duty, and withholding ta .

    To access the vendor master, from the SAP Easy Access screen, choose Logistics MaterialsManagement Purc&asing Master "ata 'endor (entral 7.

    se

    hen you have entered the vendor that you want to process, you can access the e cise data from everyscreen, by choosing (I) "etails .

    There are three separate tabs, one for each sort of ta .

    If you prefer, you can also maintain this data in the Excise *ate Maintenance transaction (see VendorMaster ( cise 5ata) ).

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    Chapter 2

    Con#ition-+ase# Excise Determination

    sehen you enter a purchasing document, for e ample, a purchase order, the system automatically

    calculates the applicable e cise duties using the condition techni"ue.

    FeaturesThe standard system comes with two ta calculation procedures. T&9I// is only supports condition#based e cise determination, whereas T&9I/: supports condition#based e cise determination andformula#based e cise determination.

    oth ta procedures contain condition types that cover all of the e cise duties and sales ta es applicable.%ince the e act rates of e cise duty can vary on a large number of factors, such as which vendor youpurchase a material from, or which chapter I5 the vendor stoc s the material under, you create conditionrecords for every sort of e cise duty.

    hen you come to enter a purchasing document, the system applies the e cise duty at the rates youhave entered in the condition records.

    &ctivitiesCustomi ingMa e the settings in Customi8ing for Logistics General, by choosing Taxes on Goods Movements India Basic Settings Excise "uties #sing (ondition Tec&ni$ue an# 7 Account "etermination .

    These activities include one activity where you define a ta code for condition#based e cisedetermination.

    Master Data

    Create condition records for all e cise duties that apply, and enter the ta code for condition#based e cisedetermination in each.

    Day-to-Day &ctivitieshen you enter a purchase order or other purchasing document, enter the ta code for condition#based

    e cise determination in each line item. The system then calculates the e cise duties using the conditionrecords you have created.

    hen the ordered materials arrive, you post the goods receipt and the e cise invoice. The system poststhe e cise duty to the appropriate accounts for deductible input ta es when you enter the e cise invoice.

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    Chapter 6

    Creating Con#ition $ecor#s for Excise Duty

    ;. In the command field, enter FV11 and choose .ects that you want to create the condition record for.

    +n the dialog bo , (ontrol (ode means ?chapter I5.?

    %o, for e ample, to create a condition record for a ta that applies to a combination of country,plant, and chapter I5, select (ountry-Plant-(ontrol (ode .

    3. Choose .@. nter data as re"uired.

    In the Tax (ode field, enter the dummy ta code that you have defined.

    A. %ave the condition record.

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    Chapter 8.

    Creating Con#ition $ecor#s for Excise Duty

    ;. In the command field, enter FV11 and choose .ects that you want to create the condition record for.

    +n the dialog bo , (ontrol (ode means ?chapter I5.?

    %o, for e ample, to create a condition record for a ta that applies to a combination of country,plant, and chapter I5, select (ountry-Plant-(ontrol (ode .

    3. Choose .@. nter data as re"uired.

    In the Tax (ode field, enter the dummy ta code that you have defined.

    A. %ave the condition record.

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    Chapter 9.

    Configuration of Tax Calculation Proce#ure T&,IPurpose

    &%3(## is a tax calculation procedure for country version (ndia and it supportscondition- ased excise determination. You need to con gure this tax calculationprocedure.

    Process Flo."xecute the follo!ing steps in the (mplementation 4uide to con gure the taxcalculation procedure &%3(##

    Procurement

    1. ...

    1. Set up the follo!ing %ccess Sequences in the the (*4 under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases Basic Settings (&ec. (alculation Procedure B Access Se$uences

    :T&9 :%T;

    5. Set up the Condition &ypes for the follo!ing conditions in the (*4 under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases BasicSettings (&ec. (alculation Procedure B "e%ine (ondition Types

    1. ** "xcise Conditions 6*78 (# 9"+ seto: ; 6*7< (# 9"+ seto:

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    6*35 (# %=8 9"+ inventor 6%35 (# %=8 %"+ inventor 6S35 (# %=8 S"+ inventor 6"C8 (# %=8 e-cess seto: 6"C( (# "ces inventory 6"31 (# %=8 ecs seto:& 6"30 (# %=8 ecs inv&

    1. >S&=CS&=$%& Conditions 6(8S (# Sales tax seto: 6(8C (# Central sales tax invoice 6(8> (# >ocal sales tax invoice 6(82 %=8 ?* +educti le

    1. Service &ax Conditions 6S?& %=8 Service &ax 6"C0 %=8 "CS for S&

    0. +e ne the &ax 8rocedure according to the settings in the gures elo!.

    $ou can do this in the IM* under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases Basic Settings (&ec. (alculation Procedure B "e%ine Procedures .

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    . Set up the follo!ing %ccount @ey in the (*4 under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases Basic Settings B (&ec. and(&ange Settings %or Tax Processing .

    1. $SA (nput &ax2. %ssign &ax 8rocedure to the country.

    $ou can do this in the IM* under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases Basic Settings Assign (ountry to (alculation Procedure .

    Sales

    5. ...

    A. Set up the Condition &ypes for the follo!ing conditions in the (*4 under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases BasicSettings (&ec. (alculation Procedure B "e%ine (ondition Types

    1. "xcise Conditions 6%SS (# %=? 9"+ 6"38 (# %=? 9"+ 6"3< (# %=? 9"+ 6"%8 (# %=? %"+ ; 6"%< (# %=? %"+

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    6"S& (# %=? S"+ total 6C"& (# %=? C"SS total 6"C& (# %=? "CS total

    1. >S&=CS&=$%& Conditions

    6CS& (# %=? CS& 6CS? (# %=? CS& Surcharge 6>S& (# %=? >S& 6>S? (# %=? >S& Surcharge

    1. "xport Conditions 6B?" (# Brieght 6(#S (# (nsurance

    . Set up the %ccess Sequence in the the (*4 under inancial Accounting inancial Accounting Glo al Settings Tax on Sales-Purc&ases Basic Settings (&ec.(alculation Procedure B Access Se$uences

    D. Set up the follo!ing 8ricing 8rocedures according to the settings in the gureselo!.

    $ou can do this in the IM* under Sales and "istri ution Basic unctions Pricing Pricing(ontrol "e%ine And Assign Pricing Procedures .

    1. 6+"87& )(# +epot sale !ith formula

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    1. 6"387? )(# "xport sales !ith formula

    1. 6B%C& )(# Bactory sale !ith formula

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    1. 6S&@&? )(# Stoc/ transfer !ith formula

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    Chapter 1E.

    External Procurement (Domestic)

    Purpose &his process illustrates ho! manufacturing plants can use the S%8 system toprocure excisa le goods.

    (n addition to the standard procedure, you also have to capture and post theincoming excise invoice, and the system creates the appropriate entries in theexcise registers.

    Process Flo.0. ...

    F. 1. You create a purchase order for the goods you !ant and send it to thevendor.

    &fter a few days, the vendor sends you the goods together with an e cise invoice.

    1E. 5. hen the goods arrive at your company, the !arehouseman enters thegoods receipt .

    The system0 Creates a material document to record the goods receipt Creates an accounting document to de it the inventory account and

    credit the 4?=(? clearing account

    Creates a 8art ( entry in register ?4 50% or 50C

    /ote that if you first want to post t'e goo#s to /loc0e# stoc0 for any reason, do so using thestandard procedure . The e cise cler then captures the e cise invoice as normal.

    11. 0. &he excise cler/ captures the excise invoice .

    !or information about what to do if the vendor sends the goods in more than one delivery, seeMultiple *oods -eceipts for a %ingle cise Invoice .

    15. . &he excise supervisor chec/s the excise invoice captured y the cler/,ma/es any changes necessary, and posts it .

    The system automatically debits the e cise duty to the e cise duty accounts and credits theC /V&T clearing account0

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    It then creates a 'art II entry in register -*

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    hen the !arehouseman enters the goods receipt, the system adHusts the materialvalue for any changes to the taxes that the cler/ has made in the captured exciseinvoice. %n accounting document to de it the inventory account and credit the4?=(? clearing account is created.

    Chapter 11.

    Entering "oo#s $eceipts

    se

    In this procedure, you enter the goods receipts, following the standard procedure . In addition0

    $ou enter the number of the e cise invoice, if it is available The system automatically creates an entry in 'art I of the e cise register -*

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    If you choose , the system will not ma e an entry in 'art I of the e cise register, in which caseyou must update the register later .

    @. Chec that all the line items are correct, and ad>ust them as re"uired.A. %ave the goods receipt.

    Entering an# *erifying Invoices!ollow the standard invoice verification procedure, but select (alculate tax on the 'endor Items screen.The system proposes the deductible e cise duty items in the invoice document.

    Import Case.

    Chapter 12.

    External Procurement (Imports)

    Purpose

    This process shows you how to handle the countervailing duty (CV5) on imports, which is levied in placeof e cise duty. Enli e other forms of customs duties, such as basic customs duty or special customs duty,

    you can credit CV5 paid on imports to your C /V&T account.

    Prere%uisites

    *en#or Master $ecor# for Customs 1ffice

    Create a vendor master record for the customs office, so that you can create liabilities for the CV5 (seestep = in the process flow).

    Con#ition Type for C*D

    The system handles CV5 using a condition type for planned delivery costs. %pecify which condition typeyou use in Customi8ing for Logistics General, by choosing Taxes on Goods Movements India Basic Settings "etermination o% Excise "uty Excise "e%aults .

    !or more information, see 'lanned 5elivery Costs .

    C*D Clearing &ccount

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    hen you post CV5 to a C /V&T account (see step @ below), the system debits the CV5 to the 5account and credits it to a CV5 clearing account.

    %pecify which *FD account you want to use as the CV5 clearing account, in Customi8ing for Logistics General, by choosing Taxes on Goods Movements India Basic Settings Maintain (ompany (odeSettings .

    Process Flo.

    ;. $ou create a purchase order for the goods that you want and sent it to the vendor.

    !or each material that you will have to pay CV5 on when it comes through customs, you enterthe CV5 as a pricing condition.

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    C'apter 23

    Creating Purc'ase 1r#ers

    se

    $ou follow this procedure to create a purchase order for imports.

    Country Version India contains a sample pricing procedure for imports, :IM'+-.

    Proce#ure

    Create a purchase order for the materials that you want to order using the standard procedure , butwhen you fill out the item information, ma e sure that you observe the following0

    Invoice tab

    o nter a 8ero#rate ta code

    o 5eselect G*0 ased I'

    (onditions tab

    a. %elect the countervailing duty (CV5) condition and choose .

    b. In the *ate field, enter the rate of CV5 that will be levied on the material when it arrivesat customs.

    c. In the vendor field, enter the vendor master record that you have created for the customsoffice.

    Then, once the vendor has delivered the goods and you enter the invoice, the system willautomatically credit the CV5 liability to the customs office.

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    Chapter 12.

    Entering Invoices for +ills of Entry

    To enter an invoice for a bill of entry, you follow the standard invoice verification procedure , but ma esure you observe the following0

    4ea#er Data

    Basic data tab

    o In the Amount field, enter the amount of countervailing duty (CV5) stated on the bill ofentry in rupees.

    o 5o not enter any other ta es.

    "etails tab

    o &ssuming you specified in the purchase order that the CV5 was to be paid to the

    customs office, the system shows the customs office as the vendor. If not, enter thecustoms officeHs vendor master record in the Inv1 party (Invoicing party) field.

    5ine Items

    +n the P/ re%erence tab, enter data as follows0

    ;. nter the number of the purchase order related to this delivery.

    o If you only created one purc'ase or#er for the goods, enter the purchase order numberand select Planned delivery costs1

    o If you sent more t'an one purc'ase or#er to the vendor and it sent you all of theordered materials together in one shipment0

    i. Choose .

    ii. nter all of the purchase order numbers in the table.

    iii. %elect Planned delivery costs1

    iv. %elect "eliveries and deselect *eturns .

    http://help.sap.com/saphelp_erp2005/helpdata/en/a8/b991f5452b11d189430000e829fbbd/frameset.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca410110511d4b5ae006094b9ec21/frameset.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/a8/b991f5452b11d189430000e829fbbd/frameset.htm
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    v. Choose Adopt .

    In both cases, the system displays the line items in the line item overview.

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    Chapter 1

    Entering "oo#s $eceipts

    se

    In this procedure, you record the receipt of the goods from the vendor abroad, following the standard

    procedure .

    Proce#ure

    ;. !rom the SAP Easy Access screen, choose Logistics Materials Management InventoryManagement Goods Movement Goods *eceipt or Purc&ase /rder G* %or Purc&ase/rder .

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    The system creates0

    & goods receipt document &n accounting document

    &n entry for the goods receipt in 'art I of the appropriate e cise register

    Chapter 1D.

    Posting Excise Invoices

    ;. !rom the SAP Easy Access screen, choose Indirect Taxes Procurement Excise Invoice Incoming Excise Invoice Individual Processing (&ange-"isplay-Post-(ancel .

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    Chapter 1F.

    Su/contracting

    se

    If you wor with subcontractors, there are two ways of handling the e cise invoice on the goods that youprovide them with0

    %ubcontracting without payment of e cise duty %ubcontracting under full payment of duty

    Country Version India supports both of these approaches.

    !or information about the standard subcontracting procedure in the %&' %ystem, see %ubcontracting .

    Chapter 20.

    Su/contracting 6it'out Payment of Excise Duty

    http://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca437110511d4b5ae006094b9ec21/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/49/c3df3ae710c60ae10000000a114084/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/4d/2b8fed43ad11d189410000e829fbbd/frameset.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca437110511d4b5ae006094b9ec21/frameset.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/b9/c2df3ae710c60ae10000000a114084/frameset.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca437110511d4b5ae006094b9ec21/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/49/c3df3ae710c60ae10000000a114084/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/4d/2b8fed43ad11d189410000e829fbbd/frameset.htm
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    Purpose

    hen you issue materials to a subcontractor, you need to eep trac of what materials you have issuedand when they have to be returned by.

    The reason for this close monitoring has to do with IndiaHs ta law. Ender e cise law @J&C, when yousend materials to a subcontractor for processing, you are not re"uired to pay any e cise duty, eventhough the materials have left your premises. Gowever, if the materials have not been returned to youwithin a given length of time specified by the law (in

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    This is the consignment document that you will send to the subcontractor along with the materialsthat are to be processed.

    3. $ou send the materials to the subcontractor, along with a printout of the subcontracting challan.@. The subcontractor processes the materials and returns the finished goods. hen the goods are

    delivered bac to you, the storeperson posts the goods receipt and the challan.

    The delivery may not necessarily cover all the goods from the challan0 It may also include goodsfrom a number of different challans. The %&' functions allow for this eventuality.

    A. The e cise department reconciles the goods receipt against the challan, thereby accounting forthe return of the materials that you have sent for subcontracting.

    The challans here include those that have been captured online at the time of goods receipt andthose entered manually.

    J. $ou create a list of the outstanding challans . 1. $ou complete the challan .

    If a subcontractor fails to return all the materials within the time allotted, you have to scrap thematerial by specifying it as such in the bill of material for the parent material then assigning thebill of material to the subcontracting purchase order. If the scrap generated is not returned by thesubcontractor, e cise duty relevant to the scrap generated has to be paid. If this scrap is returnedafter the duty has been paid, an e cise >ournal voucher should be created to reverse the e ciseduty paid.

    &lternatives

    The procedure given in step @ shows how to enter the goods receipt using the old Goods Movement transaction. If you want to use the new Goods Movement transaction, MI*+, see ntering *oods-eceipts and %ubcontracting Challans Together .

    Chapter 21.

    Su/contracting C'allan

    Definition

    & document that you use to issue and trac subcontracting wor . It allows you to ma e sure that all thematerials you have sent to the subcontractor for processing are returned.

    The challan is also widely nown as the @J!3 challan, after the law under which it wasdefined up until the

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    se

    $ou create challans from transfer orders to accompany any materials that you send to subcontractorsunder rule @J&C. In this respect, they are an e tended form of delivery note, with additional informationabout the e cise duty on each material that you have supplied. Materials that are not liable to e cise dutydo not have to be included in the challan.

    &s the subcontractors return the finished goods to you, you record the returns in the challan, to ma e surethat all are returned within the allotted time limit.

    If the finished goods returned to you by the subcontractor are of substandard "uality, you can also createa subcontracting challan from the returns order.

    Structure

    The challan consists of a header and line items. The 'ea#er in addition to organi8ational data, allows youto enter0

    'reprinted number &dditional data

    Identification mar s

    /ature of processing

    !urthermore, each challan has two numbers, an internal document number and a challan number, whichthe system assigns to the challan when you save it. !rom a business perspective, this is the mostimportant number. ach challan also has a status, which shows you what stage in processing it is at.

    The line items are copied across from the transfer posting when you create the challan. $ou can also

    enter additional data for each item.

    Chapter 22.

    Processing Su/contracting C'allansTo access the individual functions shown in the table, from the SAP Easy Access screen, choose Indirect

    Taxes

    Procurement

    Su contracting

    Su contracting (&allans

    7

    Function Follo.-on menu pat' 6'at you s'oul# 0no.

    Create a challan (reate . %ee Creating %ubcontracting Challans

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    'rint a challan (reate or (&ange .

    %ee 'rinting %ubcontracting Challans .

    Change a challan (&ange . $ou can only change challans with the statusPosted .

    !urthermore, you can only change data that relatesto the challan printout. If you need to changeaccounting data, you must delete the challan andcreate a new one.

    Cancel a challan (&ange . To save the cancellation, save the challan.

    The challan status changes to (anceled .

    Complete a challan (omplete-*everse-*ecredit %ee Completing %ubcontracting Challans .

    The challan status changes to (ompleted .

    -everse the e ciseduty credit

    (omplete-*everse-*ecredit %ee -eversing cise 5uty Credit .

    The challan status changes to *eversed .

    -ecredit the e ciseduty

    (omplete-*everse-*ecredit %ee -ecrediting the C /V&T &ccount .

    The challan status changes to*eversed-completed .

    -econcile"uantities

    *econcile 2uantity %ee -econciling 6uantities .

    The challan status changes to Assigned-%ullyreconciled .

    Chapter 23.

    Creating Su/contracting C'allans;. !rom the SAP Easy Access screen, choose from the SAP Easy Access screen, choose Indirect

    Taxes Procurement Su contracting Su contracting (&allans (reate .

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    The system calculates the e cise duty for the materials.

    3. %pecify which e cise invoice the materials are from.

    +nce you have assigned the materials to an invoice, the system reads how much e cise duty youhave paid on the materials that you are sending.

    @. If you want to print the challan straight away, select Print immediately on the Posting tab.A. Change the posting date, if necessary.

    This is the date from which the system calculates the return due date. It is set by default to thedayHs date. Gowever, you can change it you need to.

    J. %ave the document.

    Chapter 24.

    Calculation of Excise Duty on Materials for Su/contractorssehen you send materials to a su contractor for processing, you have to determine

    ho! much excise duty is applica le. &his of course depends on the ase value. &hedi:erent amounts of excise duty ) asic excise duty, special excise duty, andadditional excise duty are printed on the su contracting challan.

    &hus, !hen you create a su contracting challan, the system determines the aseexcise value of each material and the amount of excise due automatically.

    Prere%uisites You have maintained the materialsK excise data )see *aterial *aster )"xcise +ata .

    http://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca42e110511d4b5ae006094b9ec21/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca42e110511d4b5ae006094b9ec21/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca42e110511d4b5ae006094b9ec21/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/33/69e64829ed11d4ae1500105a16d13d/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/33/69e64829ed11d4ae1500105a16d13d/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/d2/7bbc3cdc322866e10000000a114084/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca42e110511d4b5ae006094b9ec21/frameset.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/95/3ca42e110511d4b5ae006094b9ec21/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/33/69e64829ed11d4ae1500105a16d13d/content.htmhttp://help.sap.com/saphelp_erp2005/helpdata/en/d2/7bbc3cdc322866e10000000a114084/content.htm
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    Featureshen determining the excise duty for materials purchased from third parties,

    the system uses the excise rate from the latest excise invoice for the materialreceived from the vendor.

    here materials manufactured in-house are concerned, the S%8 Systemdetermines the taxa le value of the material on the asis of the follo!inginformation, in this order

    . ...

    1 . 1. &he latest excise invoice value for the material12. 5. &he materialGs assessa le value )that is, the price determined y an

    external auditor1A. 0. &he materialKs net dealer price )the materialKs list priceL the price at !hich

    you sell the material to customers

    Chapter 25.

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    Chec/ all this lin/s

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