Solution General CIN SD Queries How does CIN determine the tax rates?

CIN determines taxes based on the chapter-id of the material. There are 2 levels for rate determination. First the system will check if there is an exceptional rate available. If this is available then that rate is picked up. This rate could be for a material or material and customer combination. If there are no exceptions then the system looks for chapter-id of that material. The customer will have an excise tax status which alon with the plant status will ive a final excise status. !ased on the excise status and the chapter-id the rates are maintained. Can I change the tax rates retrospectively? "ou can chan e the excise rates with any iven validity period. #fter makin the chan es you will have to update the sales orders if the new tax rates have to be considered for future deliveries. Can I have a different rate for incoming and outgoing transactions for the same material? "ou can maintain exceptional rates for either incomin or out oin based on the volume of exceptions data. hat do I do if I have one chapter!id for incoming and another for outgoing and material code is the same? #lon with exceptional rate maintenance you can maintain the chapter-id which should be used for the out oin transactions. This cha pter-id will be used only for copyin on to the document and will not be used for rate determination. Can I have some more additional rates? "ou can maintain multiple excise indicators and based on that you can have additional rates. Can I have excise rates more than "##$? "es you can have excise rates hi her than $%%& since some of the tobacco items carry hi her excise rates. hat will happen if I have multiple rates with overlapping validity periods for the same chapter!id and tax indicator? 'hile pickin up the rate for a iven transaction system will check for that validity period where the valid from is the maximum bu t with in the pricin date and based on that pick up the rate applicable. How does CIN do the pricing? CIN uses () condition techni*ue for pricin alon with the pricin formulae. +etails are available in the CIN knowled e bank. Template pricin procedures are provided for various sales scenarios. How many tax codes do I need? The number of tax codes will directly depend on how you want to account the sales tax. "ou can have C,T and -,T bein determined by the same tax code if both can be accrued into the same account. Instead if you need separate account determination then you need separate tax codes. #lso based on the tax concessions available you need to decide the various tax rates which need to be mapped. How do I open up more than one tax classification? CIN comes with default customi.ation to open up the tax classificvation fields. The procedure is as follows. "ou need to define as m any condition types as the number of tax classification fields. Tbe followin procedure could be used.

/,0(1 - ,ales and distribution -!asic functions-Taxes - Tax determination rules For Country 2IN2 make entries as follows 3This is precustomi.ed in client %%% 4

o o o o o

- ,e* $ - 5T67 - ,e* 2 - 7T6$ - ,e* ) - 7T62 - ,e* 8 - 7T6) /In ,0(1 - ,ales and +istribution - !asic functions - Taxes master records +etermine tax relevancy of

How do I handle concessional excise? This is explained in ,#0 note ))99::. ;avin opened up the new tax classification fields you mi ht have to do the followin

Customer taxes maintain the possible values for 7T6) . <ach uni*ue value should denote one concession rate. For e $ - normal ex cise duty =aintain the 7T6) value a ainst the form code in 7$IT -+efine Form types =aintain the customer tax classification in customer master if the customer has ot excise exemption =aintain the excise indicator in 7$I+ for the customer and form code and this indicator ives the final indicator Forms database is used for determination of whether the form has arrived or not at the time of billin . The tax classification value ets defaulted from the customer master in the sales order. This can be chan ed in the header billin data if re*uired

How do I handle sales tax concessions? ,0(1 - ,ales and distribution -!asic functions-Taxes - Tax determination rules For Country 2IN2 make entries as follows 3This is precustomi.ed in client %%% 4

o o o o

- ,e* $ - 5T67 - ,e* 2 - 7T6$ - ,e* ) - 7T62 - ,e* 8 - 7T6)

Taxes - +etermine tax relevancy of master records - Customer taxes maintain the possible values for 7T6$ and 7T62. <ach uni*ue value should denote one concession rate. For e $ - 8& . =ultiple forms could correspond to a sin le rate. 7T6$ could b =aintain the tax classification in customer master as well as material master 3 ,ales or data 24

!uild access se*uences based on these new fields to point to the correct sales tax code "ou mi ht have to have a new access based on re ion of deliverin plant and re ion of ship to party

How do I map the tax classification to form types? "ou can maintain it alon with Form type definitions in CIN I=>. hat should %e my accounting entry in SD ? For Factory ,ale

+urin !illin +ocument

Customer #ccount +r. ,ales #ccount Cr. Cenvat ,uspense #ccount Cr.

+urin <xcise Invoice Creation

Cenvat ,uspense #ccount +r. Cenvat payable Cr.

For T(?C Challan

0-# #ccount +r. 0-# on hold #ccount Cr.

+urin Fortni htly 5tili.ation

Cenvat payable +r. Cenvat #ccount Cr. 0-# #ccount Cr.

For ,tock Transfer throu h ,+ @ No #ccountin entries for 0erforma !illin +ocument

+urin <xcise Invoice Creation

Cenvat ,uspense #ccount +r. Cenvat payable Cr.

For T(?C Challan

0-# #ccount +r. 0-# on hold #ccount Cr.

+urin Fortni htly 5tili.ation

Cenvat payable +r.

Cenvat #ccount Cr. 0-# #ccount Cr.

NoteA Cenvat ,uspense #ccount should be cleared apprpiately usin FI 7B2s.

here does the excise invoice get the %usiness area from? <xcise invoice does not allow entry of business area. The business area in the billin document is automatically taken for the excise invoice. here does the excise invoice get the profit center from? <xcise invoice picks up the profit center from the billin document if it is available there. If it is not available there then it l ooks at the plant specific material master data and picks up if available. hy do I need tax &urisdiction? Tax Curisdiction codes are one method by which you can maintain tax rates with out havin multitude of tax codes. "ou can maintain t he -,T effectively with one tax code and multiple Curisdiction. Can I do away with &urisdiction code? 'ith B#T imminentD ,#0 has recommendated to customers to have a tax structure that is without Curisdiction code. This is to ali n the tax structure alon with the offerin of standard B#T of ,#0. How does CIN handle Indian '()? 0lease refer to the B#T =aster Note No. E$E:)2 for details re ardin how B#T is handled in CIN. hen I create a new tax code the excise lines are grey and I cannot maintain any value* hat should I do?

This is happenin because the <xcise conditions for sales are statistical in the tax procedure for India. ,o while creatin a new ta x code you need to open the tax procedure remove the statistical fla D maintain $%%& for all excise conditions. #fter savin the tax code mark the conditions as statistical a ain and save. hen I create an excise invoice for exports what exchange rate will the system ta+e? ,ystem picks up the exchan e rate which is maintained in the CIN confi uration data for the company code. I want to calculate the excise duties at the time of export sales* hat should I do?

There is a calculate tax button on the utili.ation screen of <xcise invoice creation.. This option will calculate the taxes for an export invoice. hat is the num%er range used for export excise invoice? <xport invoices uses the number ran e obCect CF$iexcexp where as the local invoices uses the number ran e CF$iexcloc. <ven thou h cu stomers are free to use the same number series now there is no bar from usin separate series. Duplication of excise invoice num%er is ta+ing place* <nsure that you maintain number ran es for each fiscal year else number rollin takes place.

Do I need to maintain the chapter!ids for each plant or can it %e left %lan+? If the same chapter-id is applicable for the material in all the plants then you need not maintain the chapter-ids for all the plant s. "ou can leave the plant blank. hen I try printing the excise invoice the list line turns red and nothing happens? This is becaue you have not maintained the condition record for output determination. "ou need to maintain the condition record for output determination at the sold to party level. #lso for the documents created already you can o into !illin header - output and manually enter the output type C$io and save. -ater the excise invoices can be printed Can I round the duty at the header level? +uty can be rounded off in CIN only at the item level. +ue to technical reasons duty round off is not provided at the header level. hat are the exceptional reports possi%le? "ou can list all the billin documents for which excise invoice is not created. "ou can et a list of all excise invoices for which billin document has been cancelled.D "ou can also have a report of all cancelled excise invoice for which the billin document is still open. Can I +now which are the %illing documents for which there is no excise invoice? <xcise due list ives you all billin documents for which there is no excise invoice. Num%er range s+ipping happens for excise invoice* hat could %e the reason?

CIN number ran es are defined as not buffered. "ou need to check if this has been chan ed. If skippin happens never reset the numbe r ran e.. you must report the problem to ,#0 support immediately so that they can help you resolve this. How do I handle returns at factory? There are no +) procedures at the moment which is mandated by the excise department. -e ally you can take credit for all the receipt s and then pay the duty when it oes out after repair or to another customer. "ou can <xcise invoice without 01 route to take the credit. I can not see the excise invoice in the Sales side ,document flow,* The excise invoice is not present in the document flow. The document flow only the standard documents such as the sales orderD delivery number and the billin document number. The India country specific documents are not displayed in the standard document flow. -egisters related .ueries I have extracted the register data once %ut now I have added more transactions* Can I extract once more? "ou can re-extract the data if you have added more transaction data for the iven period. I am using another pac+age for printing registers* Can I download the data once again? To prevent data inconsistency in the third party application CIN does not allow you to re download the re ister data once it has already been downloaded. hen I try printing the excise register nothing comes up?

Check whether you have maintained the openin balance for the item in the correspondin re ister 3Table 7F2I#CC!#- for re ister acco unt balances4. Next check whether you have maintained the sapscript forms which are used for printin the re isters in the CIN confi uration. Finally check whether the extraction has been done for the period. Can I use my own layout for printing sales excise invoice? "es. If you are usin your own layout then you need to maintain this in the output determination procedure of billin documents for the output type C$i%. Can I use my own layout for printing /xcise invoice other movements? <xcise invoice other movements picks up the report layout from the output type G<6C which has been maintained a ainst the ,+ output determination - ,ales documents. "ou can maintain your own layouts here and then they will be used for printin . Can I use my own layouts for register printing? "es you can have your own layouts. "ou need to maintain the same in the CIN customi.ation a ainst the sap script form maintenance. hen I try to create -G" issues entry the line turns red and nothing happens? This is happenin because you are tryin to create an issue entry and the stock in the re ister is not enou h to do the issue. ,o you need to first update (>$ with the receipts and then o into the issues. hat is the issue classification for -G"? "ou need to classify the (>$ entries as to whether they are receipts from manufacture or other receiptsD clearances of various types so that they can be reported under the various headin s as re*uired by the <xcise commissionerate. How do I maintain the opening %alances for my register for the first time? "ou need load them manually at the initial data upload. How do I get the opening %alance for every month? CIN calculates the openin balance for reportin purposes based on the transactions extracted in any period. (re opening and closing %alances of register availa%le for me for reporting? "ou must not pick up the openin and closin balances that are calculated by reportin because they mi ht et chan ed if some one do es a re extract. ,o they need to be recomputed dynamically. They are not stored. here does -G" get the data of pac+ed0loose material ? Initially when you upload the balance in (>$ you need to mention the material form. -ater the system assumes the same for for the sa me material code. If you need to dynamically chan e this then you can make use of the userexit. # material can be marked either as packed or loose but not both.

1tili2ation )ransaction ! 34I1N .ueries ith fortnightly utili2ation why do I need a part4 entry at the time of /xcise invoice creation?

'ith fortni htly utili.ation you do not create an entry in the C<NB#T or 0-# re isters. Instead CIN keeps a separate +espatch re ist er and enerates continuous serial numbers in this re ister that can be used for future reconciliation. How does fortnightly utili2ation determine the accounts to %e posted? There is no transaction type for determinin the accounts of the fortni htly utili.ation. The credit account of the transaction type 2+-FC 2 is used as the debit account here. For the credit side we pick the debit accounts from the >(01D <'01 and T(?C transactions. ,o it is mandatory that whether you use <'01 or not you should have maintained the account determination for all transaction tyes for a iven excise roup. hat is transaction type 51)675 used for? Transaction type 5T-G is used for determinin the accounts when a 7B is posted with an option of fortni htly payment. Can I have my own transaction types? Transaction types are used internally by CIN for various pruposes. ,o you cannot define your wn transaction types. #lternate account assi nments can be done usin sub transaction types. hat will %atch utili2ation of modvat do? !atch utili.ation is Cust an interface that helps you to complete the utili.ation of a set of documents in one step. This simply tri ers individual utili.ation as a !+C so that the user interaction can be minimi.ed. hy there is no transaction type for 34I1N? Transaction type is used for account determination by CIN . This is an internal entity for CIN and has no relevance to the business process. ,ince there is no account determination need for 72I5N there is no transaction type. Can I post the fort nightly utili2ation for individual excise invoices? "ou can post the fortni htly utili.ation for individual invoices also. ,ystem ive a messa e that the C<NB#T utili.ation is already done. !ut this is confi urable and could be made a warnin . Can I reverse the fortnightly utili2ation done? No you cannot reverse the postin doen with fortni htly utili.ation. ,imulate option is provided in this option for the user to chec k whether thin s are ok so that the chances of error are minimal in the actual run. Can I change the posting date at the time of fort nightly utili2ation? "ou can enter the postin date as per which you want the system to do the fortni htly postin . Should I +eep the fi0mm period open at the time of posting fort nightly utili2ation? The current period alone should be open at the time of fortni htly utili.ation. It is also re*uired that both == as well as FI perio ds need to be open. I am using the new G06 %ased profit center accounting and have activated document splitting %ased on segment and %usiness area* hile running transaction 34I1N8 the following error is faced9 ,:alancing field ,Segment, in line item ##" not filled, ;<essage no* G6)44#"= 0rofit center is defined on the basis of the plant and the material. In 72I5ND since the payment takes place for multiple materialsD it2s not technically possible to determine multiple profit centers. ;ence the default profit center has to be maintained in the transaction )H<; which will be picked up in 72I5N.

Depot related Queries hen I run the transaction 3"I3 to select excise invoice with respect to delivery8 I enter the values on the selection screen and press enter %ut nothing happens* hy am I not ta+en to the next screen? In order to carry out the (>2)+ selection of excise invoice with respect to the deliveryD after enterin the details on the selection screenD the appropriate option has to be chosen from the menu. This will take you to the next screenD where you can carry out the selection and also verifyI post the (>2)+ selection. hile doing depot sales invoice selection8 list of invoices are not getting displayed* hy?

"ou need to check the customi.ation settin s for -IF1or FIF1 and the invoices of which period you have set. #lso you need to check t he excise roup which is bein used. ,ystem will show you only those excise invoices which belon to the same excise roupD D plantD stora e location and batch. How do I handle the a!certificate at depot? # certificates come when the oods are removed after payin a provisional duty. 'hen the final price is decided at the time of the o rder you need to pay the balance of the duty. There is no facility at the moment to calculate the differential duty. "ou ha "ou have to make the payment manully usin 7$I, at the factory. 1nce this is done you can o back to the depot and capture this extr a payment into your (>2)+. This is recorded as a new serial no with in the ori inal folio so that the (>2)+ re ister value tally. #t the time of selection of excise invoice for sale you have the option to pick up the a-certificates for the excise invoiceand then the additional duty ets added into the invoice amount. #lso this is reflected in the (>2)+ re ister. Is it possi%le to add some additional duty on to the depot invoice with out ( certificate? No you need an # certificate if you have to et an additional duty in (>2)+ invoice. #lternative is to write customer specific routi nes which are not supported by CIN. Can I decide not to generate folio num%ers at the time of -G4>D creation? "es you can keep the customi.ation option at the <xcise roup level blank and also you can leave the userexit open. hat will happen when I cancel a -G4>D selection for sales already made? If you are cancelin a selection before postin then the (>2)+ re ister the record will be removed. !ut if you have already done the postin then the (>2)+ record is marked cancelled and the balance in the ori inal invoice is inflated by an e*uivalent amount. hen I do a receipt at the depot from my factory how do I give the excise invoice num%er? If the excise invoice already exists in the () system then in the detail screen of (>2)+ receipt you can directly enter the internal document number of the excise invoice. This will automatically allow the entrie challan details to be copied. Should I receive the full .uantity at depot or transit loss is allowed? "ou can receive some oods in the depot which is less than the dispatched. "ou have the option to enter the receipt *uantity as well as the challan *uantity at the time of (>2)+ receipt. How do I handle the returns at depot? If there are returns to depotD that can be captured as any other receipt. "ou can enter the material document no of the return recei pt and the data ets copied and you can copy into (>2)+. Stoc+ )ransfer ?rder related Queries How does the stoc+ transfer get the assessa%le value from?

This is ot usin the condition base value formula. For this to happen you should have maintained the assessable value in CIN master data. How do I +now whether SD route or mm route is followed for stoc+ transfer? "ou need to check in ,0(1 - =aterials =ana ement - 0urchasin - ,et up ,tock transport order - #ssi n delivery typeIcheckin . For ,+ order this will be marked 2#2 :ased on the route followed how do I create an excise invoice? If ,+ route is followed for stock transfer then you can use 7$IIN to create excise invoice. If == route is used for creatin stock t ransport order then you need to use 7$I, for creation of <xcise invoice. How to configure stoc+ transport order? ,tock transport order is set up in ,0(1- =aterials mana ement - 0urchasin - ,et up stock transport order. ;ere first you have to de fine the sales area and the default customer code. "ou have ato assi n the order type to the checkin rule. Finally you need to maintain the delivery type for the order type. I cannot create a proforma %illing document for a replenishment delivery* hat has gone wrong?

Normal () settin does not allow a billin document to be created for a delivery type N-. "ou need to chan e the customi.ation settin s of the item cate ory type N-N so that it becomes relevant for billin . /xcise Invoice Creation related Queries Can I change the document type for the accounting document created at the time of excise invoice creation? +ocument type for excise invoice utili.ation is defined with in CIN customi.ation at the company code level. "ou can use your own document type. In the transaction 3"IIN8 when I enter a value for -ules0 Section8 the system displays an error ,Invalid -ule0Section entered, ;@I ABC=* How can I enter the rules0 section here* 0ermissible (uleI,ection are to be maintained in the table 7F2I(5-<,. 1nly the rules maintained in this tables are allowed as possible inputs on the 7$IIN screen. 3The rule can be maintained as an entry in the 7F2I(5-<, table. The rule can be of $% characters4 hile doing excise invoice creation I get an error message that system failure during loc+ing* do? hat can I

'hile creatin the excise invoiceD at the time of savin system tries to lock the >- account that is ettin updated with the new balances. ,o probably some one else could be chan in the >- account data at that point of time. This is a very short phenomena and is meant to keep the data consistency. Do I need to have %alances in my C/N'() accounts at the time of /xcise invoice creation? #t the time of excise invoice creation the debit is bein made into an <xcise payable account. ,o you need not have balances in the C<NB#T account. "ou need to have enou h money at the time of fortni htly utili.ation or you should have made a debit throu h T(? into 0-#. hen I do excise invoice creation8 the system issues a message not enough %alance* hy?

This does not happen any more. There was a need felt that we should check the balance s even thou h we can pay the duty $9 days hence. Can I create a 2ero duty excise invoice?

Gero duty invoices can be created both from sales as wellas usin excise invoice other movements based on the business re*uirement. These invoices do not enerate an accountin document. Is it possi%le to cancel an excise invoice with 2ero duty? There is no problem in cancelin a .ero duty excise invoice. here does the %illing document get the account for excise duty paya%le? The account determination rules of () billin is used for determinin the account for the excise postin line in a billin document. The CIN customi.ation has no role to play here. hat will the system do if I have not received the form at the time of %illing? The system will first check in the Form type maintenance whether the form is marked as re*uired. This means that the form has to com e by the time billin happens. 1nce you receive the form you need to enter it into the forms data base 37$I54 for the delivery document number. If the form receipt is not maintained then the billin will do a repricin and char e full tax for the particular excise duty. hen I release the %illing document to accounting there is an error that the account +ey is missing? This is happenin because one or more lines in the tax procedure has a condition with a value but is not marked statistical. "ou nee d to check whether the conditions 7=1+D 7#<+D 7,<+ and 7C<, are marked statistical in the tax procedure. "ou cannot rectify the documents which are in error. The correction takes into effect only the future orders. hen I release to accounting I get a message tax amount greater than tax %ase? This is happenin because the tax base for some tax condition is fallin less than the tax base amount. () does not allow the tax ba se to fall below the tax amount. "ou need to check which condition is ivin the problem and based on that you can verify the tax procedure from-to settin s. I am not a%le to save the excise invoice text? "ou need to check the obCect type for the obCect id 7$IN. this can be done by checkin the data of the view 7F$IBTT61!. The editor m ode has to be set as 2#pplication text with ,#B< key 2. How can I include more text ids for the excise invoice? "ou can use the CIN I=> text maintenance option and add more ids with descriptors. For excise invoice creation the obCect is 7$II. For depot receipts the obCect is 7$I> and for depot sales it is 7$I7.