Tax variation while considering custom duty

Hi
Trader imports an item at Rs100, 25Rs is custom duty, so he sells the client at Rs 125 but Excise structure is not valid on unit price as Rs 125, it is valid on price Rs 100.client has to apply tax on Rs100.along with this additional duty is levied which is to be added somewhere in order to calculate vat according to this additional duty.below is example and the tax is combination of :Excise+VAT.
Eg: 125 Rs is cost price of client
Bed is 10% on 100Rs
Cess is 2% on 100Rs
Hcess is 1% on 100Rs
Additional duty of Rs4 to be added in Bed and then according to this Vat is calculated on the basis of
4% on (125BedCessHcessAdditional duty)
Please suggest me where to use and how to use in system?
Thanks

Hi Krishna,
For excisable Items you have the option to calculate the excise duty on the assesable value. From the form settings you will be able to bring the column in the excise invoice and the A/R invoice. In the tax code you are creating put in this formulae if the Assesable Value > 0 then ......( put the calculations). Now while posting the document put the " Unit Price as 125 and the assesable value as 100. Then the system calculates the tax amout on Rs.100. So your perpose will be done.
But let me add one thing more to this, As per the norms the excise can be charged on the assesable value ( I mean any price other than the sales price) but vat has to be charged on the sales unit price. This is a ststutory requirement. So if the client says that the vat will also be calculated on te Rs 100 then though you can do that in that system by formulae modification fo tax code but this will not be legally correct. So just review the vat calculation and and get confirmed.
Regards,
Raj
Edited by: debraj bhattacharyya on Jan 5, 2009 5:49 PM

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Tax variation while considering custom duty

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