Cenvat credit of additional duty of customs

As per importer    price of 10 units
Basic       100
Excise       10
Ecess         2
Shecess     1
AED            4.52
We bought   5 units from him   we treat it as a case where tax code inclusive of all duties where a backward calculation is used in conditions in Purchase order.
problem is that we are purchasing a capital item.
duties cenvat crdit available for different duties other than AED is 50 this year and 50 % next year. For AED 100 % cenvar redit should be available but that is not happening.
what I saw in one of SAP notes is to make a MM condition ZADC and activate AED in tax code but that doest not help to get AED credit avilable 100 %.
other SAP note 943767 tells a different steps for ADC.
what should we do in this case i.e what all sap notes should be checked for in system so that we can get 100 cenvat credit of AED passed on by first stage dealer of Imported goods in india using a backward calculation situation.

Hi
What pack level are u on
and if u using ECC 5 and Above , than i dont think u have to use any sap note.
In po u will have to use tax code that is have 0 % for your AED condition and 100% for AED condition total.
just like bed or ecess condition.
When u capture Excise duty for first stage delear haveing ADC , u will have to put IP in Addition excise tab near GRPO.
and in item leve material type should be other than raw material , Assect or consumables or tools.
hope u have configured IP for account determination
Onlt the trick to get 100% cenvat credit for First stage delar is to Put IP in front of GRPO and just check if u are able to c CVD indicator if it is there u have to tick that too.
hope this solves your issue

Similar Messages

Additional duty of custom in domestic purchase

Hi Friends,
My Client purchases import material in domestic market also. So at the time of purchasing this material client pays ADC to the vendor.
So in domestic pricing i want to maintain this condition of ADC.
I want to clear following points in this regard:-
*1. To create this ADC condition type which condition should i refer.
2. This ADC amount is claimable and its value is debited into BED register how can i do this*
Waiting for your response !!
Regards
Vivek

Hi,
Refer SAPNote 964190 - ADC on domestic purchase of imported goods
This occurs in case if a trader will pass on Additional duty of Customs paid while importing the goods. In case of capital goods, the credit for ADC can be fully availed.The credit for this ADC can be availed.
Configurations:
Create a new condition for ADC(JADC) by referring to the attachement in SPRO -> Materials management -> Purchasing -> Conditions -> Define Price Determination Process -> Define Condition Types. Give the short text as "ADC in Pricing".
Add this condition type (JADC) to the pricing procedure at SPRO -> Materials management -> Purchasing -> Conditions -> Define Price Determination Process -> Define Calculation Schema. Set the SubTotal as 2 for this condition type(JADC). No ActKy is required.
JEXC shall be used for countervailing duty and ECS amount need not be entered in the pricing procedure.Only ADC amount will be entered against
this new condition type(JADC).
1. The Excise Registration Is Liable to AED.i.e. In the transaction SM30, for Table / View:J_1IREGSET, AED must be checked.
2. AED% is NOT required to be maintained J1ID for that material.
3. The AED(Additional excise duty)condition in the tax code has to be active if sub-routine based tax procedure(TAXINJ) is being used.
4. For ADC, either the setoff or inventory exists.Both conditions cannot exist simultaneously.
5. The condition record for AED has to exist (in transaction FV12) if condition based tax procedure(TAXINN) is being used.
Refer to the attached document 'J_1I4_GET_MANUAL_EXCISE.zip' for changing the import and export parameters.
Add the parameters listed in the document to respective function modules.
Procedure to add new parameters:
Run transaction SE37, enter the function module name as J_1I4_GET_MANUAL_EXCISE and click on 'Change' button. To add import parameters, click on 'Import' tab, else to add export parameter click on18.03.2008 Page 2 of 3 Note 964190 - ADC on domestic purchase of imported goods
'Export' tab. Add new parameters according to the details given in the attached document. Save and activate the changes.
Apply the code corrections once the parameters have been added.

Additional Duty of Custom (ADC) in Domestic Purchase

Dear Experts,
When we purchase import material from domestic Market, the vendor will pass on his CVD, E Cess, SHE Cess and Additional Custom Duty to us for which we will get CENVAT Credit. But these duties we will not know at the time of creating PO.
For the above scenario we are creating the PO for Gross Amount and we are maintaining all taxes @ 0%. At the time of capturing the Excise Invoice we need to enter actual duties paid by vendor but system is not allowing to enter any amounts.
This can achieve by clicking MRP indicator in Miscellaneous Tab, but there is no such indicator at the time of capturing, the same is available in change mode of excise invoice.
For above said Additional Custom Duty we will get 100% credit in the current year for Capital Goods as well as input Materials. But the issue is while posting Excise; system is taking the credit only 50% instead of 100% for Capital Goods. The same is working fine in Import Cycle. How do we achieve this?
For the information we are using ECC6 and TAXINN procedure.
Thanks in Advance
Regards
Ratnakar

Dear,
U r doing the wrong practice
u need to create the condition types for the CVD (they are total seven condition types)
u need to manualy change the CVD amount at the time of GR.Again GR is done after the MIRO.
there is lot of configuration requied as far as CIN is concern.
Better u read the SAP Help or search for the SAP notes for configuration
regards,
SNB

Depot Plant- not to transfer additional duty to customer

Hi,
After making GRN for material we receive in depot plant (Plant -0100) we captures duties credit i. e. CVD (BED), Edu Cess, S & H Edu Cess & Additional duty (through J1IG) & pass it on duties to customer through Sale Invoice (J1IJ). But now onwards, We would not capture Additional duty & pass on to the customer in Sale Invoice. (We will only Pass CVD & its Education Cess) So, when we will make GRN then this Additional duty amount should go to material cost as it happens in Basic Custom Duty & its Edu Cess.
And also inform us that we are having stock of material to sell. In this stock, we have already captured Additional duty credit. It means GRN & Capturing (J1ig) is already done with Additional duty. But, In Sales Invoice we don't want to pass on credit of this captured Additional duty.
And all this captured Additional duty should be moved to material cost. So, tell us to how should we process for this.
please let me know
Obulesu

Hi,
You didn't mention the transaction you are looking for your user exit. Well if you are looking for a scenario like this then you have to find a Screen exit for that transaction and modify the desired screen in SE51 with your subscreen and your logic will be a part of the Exit program that called with the Screen exit.
It will be much more clarifed if you tell me the transaction your exit will work with.
Hope that helps
Anirban

Availment of 50% cenvat credit on ADC (add.duty of customs) during imports

Dear All,
I have a client requirement who wants to avail only 50% of ADC (additional duty of customs) during imports.
I observed during debugging that if I manually change the sub-transation type from IP to blank, the system posts 50% of ADC amount to AED G/L Account and rest of the amount to Cenvat on-hold account.
I wanted to ask the experts if there is any enhancement point in the program or any user exit using which I can achieve my task. If not through userexit, kindly suggest me any work-around.
Note: The above requirement is against the legal changes that are brought in during 2006-2007 budget change that unlike the CVD components, ADC can be availed 100% during the same fiscal year and therefore I request you not to suggest me to get the same clarified from the client.
Thanks
Guru Prasad

Check this answered links [import capital AED 50 % |Re: import capital AED 50 %;
[Capital Procurement in SAP|http://www.sdn.sap.com/irj/scn/go/portal/prtroot/docs/library/uuid/808c60ca-013b-2c10-34a2-94d1eb442e6f?quicklink=index&overridelayout=true]

Import duty is shown as CENVAT Availed Additional duty in Cenvat Register

Hi all,
Why Import duty is shown as CENVAT Availed Additional duty in Cenvat Register? ofourse it is going in to right registers at the time of posting excise invoice. but why in register it is shown as addnl duty?
Thanks in advance,
Girish

hi,
u mean 4% additional duty of customs right ?
it should come under the column of ADC availed
if it is there then there is no problem it is correct.
regards,
sujit

Additional duty taken 50% credit

Hello,
I have one scenario in which local dealer vendor is procuring Import material & vendor is passing all creditable durtes to us.
JMOP - Basic custom duty
JEC1 - Edu CVD
JSEP - Heigher CVD
JAOP - Additional custom duty
we are procuring material as a asset.
All CVD condtion should take 50% credit this year & 50% next year which is working OK.
now problem si like Additional custom duty should take credit 100% but in J1IEX posting only 50% credit is availing.
How to modify it means J1IEX can post with 100% credit for Additional BCD.
Regards
Jyoti

Hi Jyoti
Could let me know steps how u have solve the same requirement .
i had done following
I have copy the IP and assign G/L which i need, but system is pick customs clearing account but it should hit to cenvat clearing account.
i have assign Cenvat clearing account to my new sub transaction type.
Regard
Nabil

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

Difference between Additional Excise duty and Additional Duty on imports

Dear All,
I want to know the difference between additional excise duty on domestic procurement and additional duty on imported material, mainly in context of the credit availing. How much credit we can avail if we procure a capital material (domestic and imported).
Regards,
Ashish

Dear,
Excise duty is a duty on production or manufacture of goods, It is levied on manufacture of goods and the liability to pay excise duty arises immediately on manufacture or production of goods.
Additional duty is levied as per custom tarff act and is equal to excise duty levied on a LIKE product manufactured or produced in India.
Sometimes, foreign sellers abroad may export to India goods at below the amounts charged by them in their domestic markets in order to capture Indian markets to the detriment of Indian Industry.
Please check: http://help.sap.com/bp_bblibrary/600/html/J84_EN_IN.htm
http://www.sdn.sap.com/irj/scn/go/portal/prtroot/docs/library/uuid/808c60ca-013b-2c10-34a2-94d1eb442e6f?quicklink=index&overridelayout=true
Regards,
Syed Hussain.

Utilization of Cenvat Credit from Service Tax Payable.

Hi,
Please guide me whether the process i am following is correct or not. And if it is correct, please help with what additional steps i might be required to perform inorder to resolve the issue.
Case: We are a Company where we donot manufacture and sell items. But we do provide services to our customers. Hence we would like to take the Cenvat input credit from the materials that we buy for our requirements and would like to utilize the Service tax that we would have to pay to Government (On our service contracts with customers).
During the process our RG23A Part-I, Part-II, RG23C Part-I, Part-II have been updated properly. Service tax entries for A/P and A/R have been posted successfully. And the next i am trying to do is utilize Service tax credit (AR) with Cenvat credit available from RG23A, and RG23C by using Transaction code: J2iUN.
I am using the option pay Service tax from Cenvat Cr.
Issue:
When i try to simulate after selecting the utilization from Basic excise duty, education cess and higher education cess i am able to see the entry that i require. But when i try to post the entry system is giving the following error message.
Balancing field " Profit center " in line item 001 not filled. Message ID: GLT2201.
The simulated entry is:
Sales tax payable A/c Dr
Education Cess payable A/c Dr
Secondary Higher Education Cess Payable A/c Dr
Cenvat Basic Excise Duty A/c Cr
Cenvat Education Cess A/c Cr
Cenvat Hig Sec Education Cess A/c Cr
Our Company code is active for Document Splitting with Profit center as a mandatory field.
Looking forward.
Thanks and Regards,
Purna.

Dear,
As per your description its look like you have follow standard procedure.
Only thing is that when you do J2IUN, Input Business Area on Selection screen to avoid profit center error.
Let me know if you still getting any error.
Regards,
Rajesh koladiya
Edited by: Rajesh Koladiya on May 7, 2010 5:09 PM

Unable to capture & post the bill of entry for cvd & additional duty

Dear cons
In case of Import Pos CVD and additional duty is getting inventorised and GR/IR-CVD is getting credited as the time of GR.Whereas CVD and additional duty is a cenvatable tax and should be accounted at the time of Excise posting.Also we are not able to capture and post the Bill of entry for CVD and Additional duty.

Hi..........
Pls ensure tht u hve done the configurations in Logistics General - Tax on Goods Movements.
And also ensure the u hve assigned the G/L account for CVD.
Still if u hve the prob let me know.
Regards
Durga

Cenvat Credit taken based on service tax registration

Hi Gurus,
My client is in the service industry ( oil exploration work for ONGC)
Now when client procure the material, he paid the excise duty and take the CENVAT credit against service tax.They does not maintain the excise register like RG23A & RG23C.
They required one report for take the cenvat and wants the entries of excise duty into separate GL instead of loaded into material.
SO CIN setteings are required are not.
pls suggest me what i do in that case.
As i think no setting required for excise CIN module cause client does not registered with Excise and treat excise condition into separate GL as VAT and CST.
Regards,
Dinesh

HI Nukala Padmaja,
Thanks for your help.
Could you tell me which service tax gl accounts should be entered there. We usually have 3 gl accounts i.e.
1. Service tax
2. Education Cess on ser. tax
3. ECS on service tax
and there are options for 6 GL accounts of service tax:
3 gl accounts for ser tax account &
3 gl accounts for ser tax payable
so i am confused where to entered that gl accounts.
Awaiting for your valuable suggestion.
Thanks and Regards,
Nilesh Joshi.

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

Monthly return of Excisable goods and Availment of CENVAT credit here system is showing Report for SECess 0%

Hai experts,
when i was Running the J2IER1 for Monthly return of Excisable goods and Availment of CENVAT credit there system is showing for SECess 0%
but it has to be BED,ECS,SECS (6,2,1)
i selected Details of Manufacture, Clearance and duty Payable in that
for some chapter ID's BED,ECS it is showing correct values
for SECess it is showing 0 which is incorrect
my client is saying that why it is showing 0%,for which transaction it is showing 0%.
can any one help me....
how will i get to know for which transaction it is showing Exactly
what kind of input can i get from J2IER1 for finding the salutation
Thanks in Advance,
Regards
purna

Hai Binoy Vargis,
Thank you for giving me reply
i think this pic can give you more info please have a look
thanks in advance
Regards
Purna

Cenvat credit of additional duty of customs

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