Professional Documents
Culture Documents
SAP AG 2005
Copyright
SAP AG 2005
Target Audience
Duration: 5 days
MM CIN : 2 days
SD CIN : 2 days
FI CIN
SAP AG 2005
: 1 day
Course Prerequisites
Required Knowledge:
Any one of the following:
SD
MM
FI..
Recommended Knowledge: Functional Knowlege
Legal
Excise Duty and Sales Tax laws
Export/Import related laws
Income Tax
Common Business Practices related to India specific legal
requirements in Logistics and Finance
SAP AG 2005
Course Overview
Course Overview
Contents:
Course Goals
Course Objectives
Course Content
SAP AG 2005
Course Goals
SAP AG 2005
Course Objectives
SAP AG 2005
Course Content
Preface
Unit 1 Course Overview
Unit 9
Unit 12 Exports
Unit 8 Subcontracting
Unit 14 EWT
Appendices
SAP AG 2005
Sales Processes
SAP AG 2005
Domestic Vendor
Import Vendor
Domestic Vendor
Subcontractor
Mumbai Plant
Chennai Plant
6854654654
Overseas
Customer
Panvel Depot
Pondicherry Depot
Domestic Customer
SAP AG 2005
Price: 1000
Qty : 10 PC
Duty 16%
- 160
Excise Stock/
Part I Register
Deposit Rs. 160
as Duty to the
Govt.
Receipt
Qty : 10 PC
GR at Factory Gate
CENVAT / Part II
Register
Excise Invoice
ED Credit
: Rs 160
Imports Purchase
Commercial Invoice
Import Vendor
Price: 1000
Qty : 10 PC
C Duty 16%
- 160
Excise Stock/
Part I Register
Pay CVD of Rs.
160 to the
Customs House
Receipt
Qty : 10 PC
GR at Factory Gate
Capture & Post
CENVAT / Part II
Register
CVD Credit
: Rs 160
SAP AG 2005
Commercial Invoice
Subcontracting
Input
Challan
Sub contractor
FACTORY
Annexure IV
Annexure V
Output
SAP AG 2005
Stock Transports
Supplying Plant
Excise Invoice
Price: 1000
Qty : 10 PC
Duty 16%
- 160
Excise Stock/
Part I Register
Receipt
Qty : 10 PC
Deposit Rs. 160
as Duty to the
Govt.
GR at Recv. Plant
CENVAT / Part II
Register
Excise Invoice
ED Credit
: Rs 160
Excise Invoice
Price: 1000
Qty : 10 PC
Duty 16%
+ 160
Dispatch
Debit:
Rs. 160
Excise Duty
Payable A/C
Fortnightly utilization
CENVAT/Part II Register
SAP AG 2005
PLA Register
Price: 1000
Qty : 10 PC
Duty 16%
+ 160
Invoice
Dispatch
RG23D Register
SAP AG 2005
Export Sale
Supplying Plant
Under Bond
Price: 1000
Qty : 10 PC
Duty 16%
+ 160
Update Excise
database
No Bond
Invoice
Debit:
Rs. 160
Dispatch
Excise Duty
Payable A/C
Fortnightly utilization
CENVAT/Part II Register
SAP AG 2005
PLA Register
TDS Overview
Vendor
Vendor
Income tax office
File Returns
Deduct Tax
from Vendor
Issue
Certificates
Pay Tax to
Government
Bank
SAP AG 2005
Registration ID
Plants/Depot
Excise Group
Series Group
E1
S1
E3
S4
E2
S3
E4
S5
S2
Mumbai Plant
R1
Panvel Depot
SCIL
R2
R3
SAP AG 2005
Chennai Plant
Pondicherry Depot
S91
SAP AG 2005
Excise Setup
Contents:
Preparatory Activities
Customizing Activities
Setup of the Organizational Elements
Maintenance of Excise Master Data
Plant Master
Customer Master
Vendor Master
Material Master
SAP AG 2005
Service Tax
SAP AG 2005
Preparatory Activities
SAP AG 2005
Basic Settings
Master Data
Account Determinations
Business Transactions
Tools
SAP AG 2005
Basic Settings
Formula Based Excise Rate & Sales Tax rate determination (TAXINJ)
OR
SAP AG 2005
Condition Based Excise Rate & Sales Tax rate determination (TAXINN)
Permits deductible /
non-deductible ED at
GR
SAP AG 2005
Excise Inv.
Selection
SAP AG 2005
Multiple Plants
TO
One Excise Registration ID
SAP AG 2005
Depot
defn at
Excise
Grp +
Plant
SAP AG 2005
SetupScenario
of Organizational
Special
Elements
Company
Registration 1
Depot
Registration
Registration 2
Plant
Excise Group 2
SAP AG 2005
Manufacturing
Plant
Registration
Excise Group1
SAP AG 2005
Master Data
Account Determination
SAP AG 2005
Business Transactions
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Tools
SAP AG 2005
Long Texts
Number Ranges
Message Control
SAP AG 2005
Plant
Excise
Indicator
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Customer
Pricing Grp
SAP AG 2005
Customer
Excise
Details
Customer
Excise
Indicator
Plant Excise
Indicator
Customer Excise
Indicator
Final Excise
Indicator
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Plant
Excise
Indicator
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Vendor Type
Excise Indicator
SSI Status
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Plant Excise
Indicator
Vendor Excise
Indicator
Final Excise
Indicator
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Chapter ID
Material Chapter ID
Combination &
Material Type
Assessable Value for the material
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CHAPTER ID
EXCEPTIONAL
RATES
SAP AG 2005
PLANT
CHAPTER ID
PLANT
MATERIAL
VENDOR
YES
Get the
Chapter ID
Of the material
Get the
SSI Duty rates
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Get the
Vendor
Excise Indicator
NO
YES
Get the
Exceptional
Duty rates
Is the
Vendor an SSI?
Has
Exceptional
Rate been
maintained?
NO
Get the
Plant
Excise Indicator
Get the
Excise Indicator
Get the
Rates based on
Excise Indicator
The Chapter ID
SAP AG 2005
SAP AG 2005
SAP AG 2005
The Other Tax procedure can also be used for country India, if
required
SAP AG 2005
One Tax code for combination of Tax Rates (ED & ST)
SAP AG 2005
Tax %
0%
1%
4%
10%
20%
SAP AG 2005
RM
RM VAT RM Nonable VAT able
(ZIP2)
(ZIP3)
D0
R1
R2
R4
R5
D0
I1
I2
I4
I5
CST
CG
CG VAT CG Non- (ZIP1)
able VAT able
(ZIP4)
(ZIP5)
D0
C1
C2
C4
C5
D0
L1
L2
L3
L4
D0
N2
-
Country Key
Region of
Delivery Plant
Region of
Customer
Domestic
Tax Code
SAP AG 2005
Tax Rate
Customer Tax
Classification
Material Tax
Classification
Country Key
Tax Rate
Country of
Delivery Plant
Customer Tax
Classification
Tax Code
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Material Tax
Classification
TAXINN Set-Up
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Company Code
Tax code
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TAXINN - Create PO
SAP AG 2005
SAP AG 2005
10 %
Create two new Tax conditions For eg: JSRT, JEC3. One for services tax
(JSRT & another for Education cess on service tax). JSE4 and JES4 for
the SD Condition type.
Create a new tax posting key VS7 and VS8. VS9 and VS0 is the SD account
key.
Assign the conditions with account keys in the tax procedure.
Create tax code
Activate service level tax calculation in MM External services management
customising.
Create PO
During LIV service tax interim account is affected with the service tax
amount for which credit can be taken.
SAP AG 2005
SAP AG 2005
Account Key
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Sales Process
Contents:
Sales processes
Monthly Utilization
Other features
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Removal of goods
Free Supplies
Monthly Utilization
Removal of Goods
From Factory
From Depot
Sale
Transfer to Factory
Sale
Transfer to Factory
Return to Vendor
Transfer to Depot
Return to Vendor
Transfer to Depot
Transfer to Subcontractor
Transfer to Subcontractor
SAP AG 2005
SALES EXCISE
INVOICE PROCESS
GOODS
RECEIPT
Credit CENVAT
on-hold A/c
CENVAT on hold
for Cap Goods
DESPATCH
Debit ED Payable A/c
VENDOR EXCISE
INVOICEPROCESS
Credit CENVAT A/c
Excise Duty
Payable A/C
CENVAT Account
Debit CENVAT A/c
MONTHLY TRANSACTIONS
DEPOSIT
FUNDS
IN PLA
ACCOUNT
SELECT
REGISTER
PLA A/C
Credit
PLA Account
SAP AG 2005
(Consolidated Entry)
Excise duty
Utilization
Transaction
Sales - Processes
Free Supplies
SAP AG 2005
Batch Utilization
Streamlined Excise
Tax Processing
GOODS ISSUE
COMMERCIAL INVOICE
PROFORMA INVOICE
AND PRINTING
AND PRINTING
COMMERCIAL INVOICE
Delivery
Proforma Invoice
Posting to Excise duty payable
account
Posting to CENVAT accounts for
immediate Utilization
Commercial Invoice
SAP AG 2005
Sales Order
Delivery
Invoice
Invoice Printing
SAP AG 2005
Free Supplies
SAP AG 2005
Document Flow
OR
LF
F2
OR
JF
JEX
F2
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Sales Order
Delivery
Invoice
Invoice Cancellation
SAP AG 2005
Selection based on
SAP AG 2005
Monthly Utilization
Includes
SAP AG 2005
Monthly Utilization
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Monthly Utilization
SAP AG 2005
Other Features
Invoice Split
Batch Utilization
SAP AG 2005
SAP AG 2005
Invoice Split
Sales Order
Delivery
Commercial Invoice
Proforma Invoice
Proforma Invoice
Proforma Invoice
SAP AG 2005
Delivery
Excise Invoice
Sold-to-party : 2300
Ship-to-party : 2300
Bill-to-party : 2300
Sold-to-party : 2300
Billing
SAP AG 1999
SAP AG 2005
Account balances
Deficit, if any
SAP AG 2005
Batch utilization
Billing date
SD document category
Billing document category
SAP AG 2005
SAP AG 2005
Contents:
Business Place
SD Configuration
Master Data
Sales Scenarios
SAP AG 2005
SAP AG 2005
VAT
Accounting
Billing
VAT
impact
SAP AG 2005
Inventory
Valuation
SAP R/3
Delivery
Invoice
Verification
Sales Order
SAP AG 2005
Materials Management
SAP AG 2005
Business Place
Entity Business Place will primarily be used for Defining
Determining
Determining
SAP AG 2005
STATE : KARNATAKA
COMPANY ABC
PLANT 3
PLANT 2
PLANT 1
SAP AG 2005
Need for maintaining separate VAT Credit and Debit accounts for different
states
SAP AG 2005
UTXJ
Plant details
Customer master
Material master
Total Rs.1122
SAP AG 2005
10%
VAT
JIN 6
SD Configuration
SAP AG 2005
SD
Configuration
Change SD Pricing Procedure
SAP AG 2005
SD
Configuration
Create New Condition Table
SAP AG 2005
SD
Configuration
Change in Access Sequence
SAP AG 2005
SD Configuration
SAP AG 2005
SD Configuration
SAP AG 2005
SD Configuration
SAP AG 2005
SD
Configuration
Change SD Pricing Procedure (TAXINN)
SAP AG 2005
SD
Configuration
Define Business Place
SAP AG 2005
SD
Configuration
Assign Business Place to Plant
SAP AG 2005
SAP AG 2005
Determination of Separate G/L Account for VAT and Non VAT States
SAP AG 2005
Tax Code
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Master Data
Plant Region
SAP AG 2005
Master Data
Tax classification
Customer
SAP AG 2005
Master Data
SAP AG 2005
Master Data
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Master Data
SAP AG 2005
SAP AG 2005
No
IN
Export -BOS
Yes
Check the Tax
code in table
J_1iexcdef
Same Tax
Code
Deemed
Export - BOS
Different
Tax Code
Check the Tax
code in table
J_1iexmptcode
Exempted
Tax Code
Exempted
Sales - BOS
Normal
Tax Code
Registered
customers
Sales - VAT
SAP AG 2005
Yes
Un Registered
customers
Sales - BOS
Organization Structure
Company Code (EWT)
VAT Reg ID 1
Ex gp E1, Series gp S1 Domestic, S2 Exports
VAT Reg ID 2
Ex gp E2, Series gp S3
Master Data
Material Master
MBG01 - Professional Mountain Bike with Gears
MB01 - Professional Mountain Bike without Gears
Customer Master
INC01 Mumbai Dealer
INC02 Chennai Dealer
INC08 Depot Customer for VAT
INC09 - Depot Customer for CST
G/L Accounts
VAT Payable A/c - Used for paying VAT on all sales
VAT Alternate GL A/c - Used for paying VAT on all sales
SAP AG 2005
Inter State
Finished goods
Exports
Finished goods
Stock Transfer
Inter State
Intra State
SAP AG 2005
UTXJ
Plant details
Customer master
Material master
Total Rs.1122
SAP AG 2005
12.5%
VAT
JIN 6
3
Bill of Sale
Shipping
Shipping
Sales Order
Billing
Accounting documents
Excise invoice
NVAT-MAT1 VAT 0%
CENVAT suspense
ED payable
Accounting documents
SAP AG 2005
Purchase Order
VAT Register
Updation
Delivery
Sales Order
Excise Invoice
Goods Issue
VAT Register
Updation
Stock in Transit
Mumbai Plant IN 30
(Depot)
VAT Register
Updation
SAP AG 2005
Goods Receipt
Billing
Shipping
Shipping
Sales Order
Billing
Bill of Sale
Dr.Customer a/c
Cr.Sales revenue a/c
Cr.CST payable
Cr. Cenvat Suspense
Dr.CENVAT suspense
Cr. ED payable
Accounting documents
SAP AG 2005
4
Excise invoice
Shipping
Shipping
Sales Order
Billing
3
5
Bill of Sale
Period end processing
4
Foreign Customer (UK) Cust_exp1
MAT-EXP
SAP AG 2005
Excise invoice
Shipping
Shipping
Sales Order
Billing
3
5
Bill of Sale
Period end processing
4
Deemed Export Customer CUST_DEXP1
VAT- MAT1 (VAT rate 10%)
SAP AG 2005
Excise invoice
UTXJ
Total Rs.996
SAP AG 2005
0%
VAT
ZIN 1
Cr ED Payable A/c
Dr ED Clearing A/c
= Rs16
= Rs16
IN10
Mumbai
Goods Issue
Mvt 641
STO from
Plant 2
Qty 1 EA
Rate 100
Period End
Processing
Excise Invoice
Stock in
Transit
IN20
Chennai
No Accounting Entries and
No Invoice verification
No VAT credits
Dr RG23A/C A/c
Cr ED Clearing A/c
= Rs16
= Rs16
Goods Receipt
Mvt 101
Period End
Processing
TAMIL NADU
VAT Reg ID 2
SAP AG 2005
Cr ED Payable A/c
Dr ED Clearing A/c
= Rs16
= Rs16
STO from
Plant 2
Qty 1 EA
Rate 100
Goods Issue
Excise Invoice
VAT Register
Updation
(Qty &Value)
Stock in
Transit
Mumbai
Plant 2
No Accounting Entries and
No Invoice verification
No VAT credits
Dr RG23A/C A/c
Cr ED Clearing A/c
SAP AG 2005
= Rs16
= Rs16
Goods Receipt
VAT Register
Updation
(Qty &Value)
MAHARASHTRA
VAT Reg ID 1
SAP AG 2005
Depot Operations
Contents:
Stock Transfer from Factory
Depot Receipts
Depot Sales
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Depot Sales
SAP AG 2005
Removal of Goods
From Factory
From Depot
Sale
Transfer to Factory
Sale
Transfer to Factory
Return to Vendor
Transfer to Depot
Return to Vendor
Transfer to Depot
Transfer to Subcontractor
Transfer to Subcontractor
SAP AG 2005
Depot Requirements
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Transfers to Depot
Excise Invoice
Printing
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Goods Receipt
Sales Order
Excise Invoice
Capture (Depot)
Delivery
Excise Invoice
Selection
Invoice
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Depot Sales
Sales order created at depot
Pricing procedure JDEPOT (with TAXINJ) and JINDEP (with
TAXINN) can be used
Delivery created for the sales order
Excise Invoice selection for goods issue made against delivery
Goods issue can be made from a set of excise invoices
SAP AG 2005
Depot Sales
Separate steps for Excise Invoice create and verification.
Option for Single step creation and verification through customization
Option to cancel excise invoice before verification.
Provision to create depot invoice before post goods issue based on
delivery document.
Option to restrict incoming excise invoice selection from the same
source of supply.
SAP AG 2005
SAP AG 2005
RG23D Register
Matl Receipt
Re
Cr ceip
ed t
Qt
it
y/
Depot
RG23 D Register
Ex Inv
List for
Selection
Qt
Depot
Delivery
Selected
Exc Inv
Scaled excise
value as Exc Amt
Invoice
Commercial
SAP AG 2005
Invoice
ed
u
t
Iss edi
r
C
y/
Stock
Details
Conclusion
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Exports
Contents:
Export Bonding
Screen Shots
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Manufacturer
Merchant Exporter
Special Procedures
Manufacturer
Merchant Exporter
Under Bond
B-1 Bond
Activities
Procure License
Sales Order
Processing
Receipt of Customer LC
Inventory
Sourcing
Pre-Shipment
Delivery order
Customs Endorsement
Shipment
Billing
Prepare Commercial
Invoice
Payment
SAP AG 2005
Delivery
Billing
Excise Invoice
Sold-to-party : 2300
Sold-to-party : 2300
Sold-to-party : 2300
Sold-to-party : 2300
Does Bond
exist?
Create AR Doc
SAP AG 2005
Capture License
Bond Register
Sold-to-party : 2300
Sold-to-party : 2300
Sold-to-party : 2300
POST-SHIPMENT NEGOTIATIONS
Form-A/GSP certificate of origin
Annexure IV
Inspection Certificate
Annexure II
LC Cover
Annexure III
BRC
Annexure IIIA
Commercial Invoice
Bill of Exchange
Forward Cover
DBK Recovery
PRE-SHIPMENT ACTIVITIES
Proforma Invoice
Export License/Country of Origin
Customs Invoice
SDF form/ or GR
Packing List
GSP
Export Register
Shipping Instruction
Exports Sales
Sales Order
currency
No
Sales Under
Bond
Customer Country
Export Sale
Yes
CENVAT / Part II
Register
Bond
Register
Download
ED Credit
Proforma
Excise
Reference
Optional Tax Calculation
Delivery
Excise Value
Excise Calculation
Commercial
Invoice
SAP AG 2005
Formula
No Amount utilization
SAP AG 2005
B1 Bond
III
ARE1
ARE1
Manufacturer
(Exporter)
III, IV
I, V
ARE1
I to V
Excise
Invoice
ARE1
I, II, V
ARE1
II (Sealed)
Excise
Invoice
Port (Customs)
SAP AG 2005
Manufacturer
Bond
III
CT 1
ARE1
CT 1
Excise
Invoice
CT 1
Merchant Exporter
ARE1
III, IV
CT 1
I, V
ARE1
I, II, V
ARE1
II (Sealed)
Excise
Invoice
Port (Customs)
SAP AG 2005
Bond Type
Bond Numbering
Fast Credit
Reservations
Bond Statements
B1 , LUT , BG
SAP AG 2005
Creating ARE-1
ARE-1 Tracking
ARE-1 Update
Closing ARE-1
SAP AG 2005
License Numbering
License Balances
License Validity
SAP AG 2005
Creating ARE-3
ARE-3 Update
Closing ARE-3
SAP AG 2005
Interest Calculation
ARE cancellations
SAP AG 2005
Header Data
Item Data
Document Details
Total Duties
Quantity
Certification Dates
Duty Rates
Bond/UT -1 Detail
Duty Values
License
Addresses
Package Details
Additional Data
Reference Documents
Part II
Additional Data
SAP AG 2005
Customizing Settings:
SAP AG 2005
an internal number
an official number
J_1IINTNUM
ARE-1s J_1IARE1
ARE-3s J_1IARE3
Customizing
SAP AG 2005
# Mode of
Transport
# Export Seal
No
SAP AG 2005
ARE-3
ARE -1
J1IB
Definition:
Assignment:
SAP AG 2005
On application of extension,
If extension granted
Else
Ageing Analysis for ARE document used to track AREs nearing end of
export/rewarehousing period
SAP AG 2005
ARE Interest
Reversal of Calculation
ARE -1/ARE 3document
ARE-3s
SAP AG 2005
Shortfalls in ARE-1s/
ADD
On the Excise Invoice Summary tab enter in Additional Excise Invoice field,
Year
Choose +
REMOVE
On the Excise Invoice Summary tab enter in Additional Excise Invoice field,
Year
Choose
CANCEL
SAP AG 2005
Select Cancel
SAP AG 2005
Activity is overdue
Activity is due today
Activity has been completed
SAP AG 2005
Statutory Reporting
Contents:
VAT Register
SAP AG 2005
SAP AG 2005
Printing of Excise Registers (RG23 A&C Part I, II, RG1, PLA, RG 23D)
SAP AG 2005
Bond
Customizing Settings
Maintain Register Balances/Material Form for the first time through transaction
SE16
Extract Data
Excise Stock/
Part I Register
Confirmation
By user
Yes
Print
Registers
SAP AG 2005
No
Re-extract reqd?
End
Extract the data for Sales Tax Register printing based on the following
criteria
SAP AG 2005
SAP AG 2005