Issue in MODVAT Clearing Account and Rounding off of Excise.

Question

I have one issue in MODVAT Clearing Account and Rounding off of Excise.
Example:
Material cost    100Rs.
Excise  value
1. BED             10.5 Rs
2. ECes             2.1 Rs
3. HEces          1.3.Rs
At the time of GR
Material Ac Dr          100 
     To GR/IR                        100
At the time of Excise Capture
We done the rounding of Excise value
RG23 A  BED         11
RG23 A  Eces          2
RG23 A  HEces        1
   To MODVAT            14
At the time of IR . System create IR with reference of PO
GR/IR  DR      100
MODVAT         13.9
    To Vendor         113.9
So here you can see that there is a difference of 0.1 in MODVAT account and hence we are crediting Vendor  with the lesser amount here with 0.1 RS.
So we cannot reconcile the MODVAT Account
Less Payment to vendor by 0.1 Rs
So is there any solutions on that.
regards
Shayam
Edited by: Shayam_210 on Jan 3, 2011 7:08 AM
Edited by: Shayam_210 on Jan 3, 2011 7:09 AM

Answer 1

Hi,
Check the rounding setting in below:-
SPRO > Logistics - General > Tax on Goods Movements > India > Basic Settings > Maintain Company Code Settings
SPRO > General Settings > Currencies > Define rounding rules for currencies
Regards,
Gaurav