100% cenvat on capital goods

Dear all,
   How can  100% cenvat be availed in case of capital goods in case of transfer from  one plant to another.
    The T-code used  is J1IH

Yes, this is std behaviour of the system,as per the law the AED will be allowed to take 100% credit in first finanacial year only.
For more information refer the below link.
http://www.sdn.sap.com/irj/scn/go/portal/prtroot/docs/library/uuid/808c60ca-013b-2c10-34a2-94d1eb442e6f?quicklink=index&overridelayout=true

Similar Messages

  • Cenvat on Capital Goods

    Hi all,
    Whenever credit on capital goods need to be availed, you can claim 50% of credit at the time of receipt by specifying ‘Yes’ in the ‘Claim CENVAT.
    Now I want to know that where I have to setup / define the percentage of CENVAT credit the user wants to take immediately on PO receipt of the goods.
    regards
    Sanjay

    Hi
    I know the standard scenario for Excise and its related settings. Our system is also working absolutely fine for the 50% Cenvat credit utilization.
    But the customer wants to have a process like that of as I had explained earlier.
    Can you suggest whether it is possible.
    Thanks,
    Chaps

  • ADC Caluculating 100% for Import Capital Good in j1iex part2

    Dear Gurus
    Hello everyone
    Now am facing a problem at the posting of Excise Invoice of Import Capital good where BED,ECESS,SCESS are picking 50% and the AED is picking 100% of the value in Part II entries.
    but this is correct as per Standard SAP note 930756,my client requirement is to pick only 50% for AED also at the time of part II entires
    Please help me

    HI,
    Its not possible in Std.SAP since it is legally allowed take 100% credit on ADC on capital goods in the current year itself.
    Also it will reflect in J2I8 report or post to ONHOLD account  since the code corrections in the SAP note - 930756 is already implemented in your system.
    Thanks & Regards,

  • Cenvat on Capital Goods Procurement (CIN)

    Hi SAP Gurus,
    With respect to the Capital Goods procurement in CIN, my client has requested the following process -
    Capital goods have 5 years useful life and want to sell it after 3 years usage -
    Excise on the Capital Goods = Rs.20,000/-
    So this year Cenvat Credit = Rs.4,000/- and the next 2 years Cenvat Credit = Rs.4,000/- each
    Total Cenvat credit = Rs.12,000/-
    (which is calculated as 20,000 INR / 5 year * 3 year = 12,000).
    But the Cenvat balance of Rs.8,000 [20,000 12,000] should be added back (cancel the offset) and it should be assinged to cost.
    Is the above process possible in SAP..???
    Can anyone please let me know.
    Thanks & regards,
    Chaps

    Hi
    I know the standard scenario for Excise and its related settings. Our system is also working absolutely fine for the 50% Cenvat credit utilization.
    But the customer wants to have a process like that of as I had explained earlier.
    Can you suggest whether it is possible.
    Thanks,
    Chaps

  • 50% Credit in VAT for Capital Goods(Assets)

    Dear SAP MM Experts,
               My client need to take 50% VAT credit in the First year and remaining 50% in the next year for Assets(Capital Goods). Currently I have configured 50% Cenvat credit for Excise duty, it was working very well using J1ID.
    But for VAT, what configuration is necessary to take 50% VAT credit for Captial goods(Assets). Right now I use JVCD for taking 100% to VAT and JVCN to make it as inventory(Non Deductible).
    Please do the needful.
    Thank you.
    Regards,
    Baskar

    This is standard behavior of SAP. In case domestic purchase, we can avain 50% CENVAT on additional excise duty (AED).
    But in case of Import , we can avail 100% CENVAT for capital goods on additional customs duty (ADC).
    Understand the difference between ADC & AED.
    Try to convince client for the same. If he is not convinced, better write to SAP. Don't make changes related to subtransaction type 'IP'.

  • CAPITAL GOODS CENVAT FOR 2007-2008

    hi,
    This is with reference to  Cenvat of Capital Goods I.E.50 %  of 2007-2008,We have uploaded balance on 16 th Nov-2007 & now this balance we haveto utilize in current year. What will be the procedure for Excise  & Finance Record. ?
    Please give the detail procedure & also note that we have  done J2I8 for the period 16 u2018th Nov-2007 to 31u2019st Mar-2008
    regards
    ssp

    J2I8 transaction code- give comp code, excise group, plant. then execute
    you will get list of vendor excise invoices
    you check required excise invoices and click on 'transfer credit'
    you will get entries in RG23C part 2 register.

  • CENVAT reversal of capital goods after Vendor payment

    Hello all,
    I want to reverse CENVAT for capital goods. In this case, MIRO is already done and Vendor payment is also carried out.
    Please suggest the steps by which I can reverse CENVAT properly.
    Kapil

    Hi,
    Refer thread for option
    return material to vendor after IV is done + CIn
    Regards,
    Biju K

  • CENVAT CREDIT 100% TAKEN IN CASE AED ON CAPITAL GOODS INSTEAD OF 50%

    Hi Experts,
    This is with reference to the Cenvat Credit taken on Additional Excise Duty Payable on Capital Goods.
    Presently in SAP 100% Cenvat Credit has been taken into 26010713 CENVT CAP GOOD (CAD)  but as per law 50% Credit should be taken in the same year in which
    Duty has been paid and balance 50% should be taken in next year.
    The same treatment has been taken correctly in excise records.
    And i want to know only for imported there has been any law change regarding 100% credit should be paid in same year.
    Regards,
    Manjax

    Yes, this is std behaviour of the system,as per the law the AED will be allowed to take 100% credit in first finanacial year only.
    For more information refer the below link.
    http://www.sdn.sap.com/irj/scn/go/portal/prtroot/docs/library/uuid/808c60ca-013b-2c10-34a2-94d1eb442e6f?quicklink=index&overridelayout=true

  • How can we claim 100% cenvat credit on capital goods relating ADDl CVD

    Due recent changes in Excise Law we can claim 100% Cenvat credit on ADDL CVD. But as per the present Oracle India Financial set ups it is not possible to claim 100% on capital goods in the same year.

    Hi,
    First of all, As per our country legal and statutory requirments, we can not utilize 100% CENVAT in the same FY.
    Best Regards,
    Chandra

  • Cenvat credit of Capital goods

    Hi,
    From the last year 2011, I heard that the cenvat credit for capital goods can be taken 100 % in the first year itself.
    How to the make the changes accordingly so that the 100 % tax amount goes to cenvat account instead of posting 50% to cenvat account & 50 % to cenvat on-hold account and then doing J2I8 to transfer of credits from cenvat on-hold account to cenvat account.
    Regards
    Madhusudan

    Any solutions??
    regards
    Edited by: madhusnb4 on Jan 23, 2012 1:27 PM

  • Excise duty on capital goods 100% on hold....

    Hi Experts-
    In general cases when we do capital goods purchase, 50% tax we will pay and 50% tax will be on hold....my client requirement is 100% need to be hold....Pls guide me how can i fullfill that?
    Pls provide T.codes alos...
    The general entry should be like this....
    Suppose TAX ON CAPITAL GOODS IS RS 20
    RG 23C BED DR 10
    CENVAT on hold DR 10
                              To CENVAT clearing a/c 20
    But they want like this....
    CENVAT on hold DR 20
                                             To CENVAT Clearing a/c 20
    Please give inputs...
    Thanks
    Chandu

    Dear,
    The reversal entry done by J2I8 and the adjustment entry done by J1IH would not impact the J1IEX document posted. Hence the MIRO would still be representing the values of the J1IEX posted values. The excise value can be adjusted in the inventory value in the MIRO line item or can be adjusted in the unplanned delivery cost under details tab in MIRO (depending on the sales tax/VAT implications).
    Hope it works.

  • Availing full CENVAT Credit for Capital goods

    Hi,
    In our client, they want avail full cenvat credit for Capital goods in the present fiscal year itself. How can we do this in SAP? Plz. explain me.

    Hi Pawan,
    You cannot avail total 100% Credit on the CENVAT paid on capital purchase as per the goverment rules.
    The puirpose of maintaining the goods as capital goods are that you are only eligible for 50% credit in the current fiscal year and remaining 50% Credit in next Fiscal Year. its nothing that we configured, it is standard functionality in the country version. The Excise Transaction Type CAPE which come in to play at the time of capital procurement.
    1. If your Client Requirement is to take 100% Credit for this material, then ask them to maintain Chater ID for this Material in J1ID as RAW materail. and During Excise Auditing period your client has to give relevent explaination to Excise Authority.
    2. If your client has maintained in J1ID as capital , you can take the Remaining 50% Credit in current fiscal year also using J2I8, Before using this transaction verified from Excise Authority.
    Or else As per my knowledge you cannt take 100% excise credit for Capital goods.
    Cheers
    Manoj K Singh

  • Posting of cenvat credit of 50% on capital goods through T.Code:J1IH

    Hi
    Please advise me the procedure for posting of cenvat credit of 50% on capital goods through T.Code:J1IH.
    As a matter of fact, when i tried to post the last year credit of 50% cenvat credit on capital goods the system accepting 50% only.
    For example, last year we got Rs.200000 as cenvat credit and out of that 50% credit of Rs.100000 got availed last year. In this year when i tried to avail of remaining of Rs.100000 through transaction code J1IH system is accepting 50% of Rs.100000 i.e only Rs.50000 is accepting.
    I look forward for your reply
    Thanks and Best Regards
    Shekhar
    Edited by: Shekhar Yecham on Sep 16, 2008 8:54 PM

    Hello,
    The settings before 01.04.2010 were same.  However, after thorough checking of the GL A/cs, I have following observations -
    1) Plant 1 - Balance as on 31.03.2010 in Cenvat on Hold A/c -Rs. 195080. It is upload balance & t.code used is FBVB
        There are some more transctions in this A/c which are  reversed due to wrong entries.
        Balance in Excise Duty RG 23 C as on 31.03.2010 - NIL
    2) Plant 2 - Balance in Cenvat on Hold A/c as on 31.03.2010 is  Rs. 166701. Again this is an upload balance with FBVB
        Balance in Excise Duty RG 23 C as on 31.03.2010 - Rs. 56931.62
    3) Plant 3 -  No upload balance.  All the transactions are routed through J1IEX except 1 from FB01
        Balance as on 31.03.2010 - Cenvat On Hold A/c - Rs. 86876.06
                                                     ED RG 23C  - NIL
    Hence, would like to know -
    1) Any separate procedure to take the credit of upload entries?
    2) If the Balance in ED RG 23C A/c is NIL, will it affect on taking credit?
    Thanks & Regards,
    Reshma

  • Cenvat credit on capital goods.

    Dear all,
    1. There is a rule that the cenvat credit in respect of capital goods shall be allowed for the whole amount of the duty paid on such capital goods in the same financial year if such capital goods are cleared from the factory as such in the same financial year.
    2.The system is designed in such a way that the cenvat credit in respect of capital goods received in a factory or in the premises of the duty paid of output service at any point of time in a given financial year shall be taken only for an amount not exceeding fifty per cent. of the duty paid on such capital goods in the same financial year.
    Please suggest us how to configure the system for the point no :1
    Thanks & Regards,
    A.Anandarajan.

    By standard 50% credit can be taken on first year,If u want to take full credit use transaction J2I8,
    Also refer both links
    SAP MM CIN Settings
    http://www.sdn.sap.com/irj/scn/index?rid=/library/uuid/207dd2ad-bf92-2b10-a88b-e3a4a01ca7fc
    Capital Procurement in SAP
    http://www.sdn.sap.com/irj/scn/index?rid=/library/uuid/808c60ca-013b-2c10-34a2-94d1eb442e6f
    Edited by: Jeyakanthan A on Apr 22, 2010 2:01 PM

  • While taking balance cenvat credit on capital goods not showing J2I8

    DEAR ALL
    While taking balance cenvat credit (Carry forward) on capital goods not showing in J2I8 transaction, in j1iex is Header level is showing INPROCESSES But item level is showing POSTED.
    in register PART2 is Upted.
    Thanks And Regards
    Sonu

    Hi,
    In capital goods procurement we will use 50% excise this year and rest of 50% credit we will use it in next year.
    Bcoz of this in header level its showing incomplete and the invoice posted for 50% created Part 2 entries.
    Hope its clear.
    reg
    Durga
    *Assign points if the info is useful

Maybe you are looking for