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Can anyone give me idea about CIN?



Former Member
Former Member replied

Dear Nitin,

CIN stands for - Country Version India which uses the standard functions for calculating and collecting withholding taxes. However, both Classic Withholding Tax and Extended Withholding Tax come with additional functions for tax remittance, journal vouchers, creating withholding tax certificates, and preparing annual returns.

If you want to handle excise duties, you must post the excisable transactions using the Materials Management (MM) and Sales and Distribution (SD) components. The system calculates the excise duty in these components and creates the appropriate line items in Financial Accounting (FI). However, if you only want to handle withholding taxes, you can use FI on its own.

Country Template

The country template for India comes with settings for calculating and posting withholding taxes, and account determination settings for posting excise duty.


The SAP system automatically calculates excise duties in Materials Management (MM) and in Sales and Distribution (SD), and posts them in Financial Accounting (FI).

The system covers all types of excise duty, all of which need to be calculated and reported separately:

        Basic excise duty (BED)

        Special excise duty (SED)

        Additional excise duty (AED)

        National calamity contingency duty (NCCD)

        Cess

        Education cess

        Countervailing duty

        Additional duty of customs


The system of excise duties is complex, and differs from the generic functions for taxes on sales and purchases in a number of ways:

        The rate of duty on a single material can vary according to which chapter ID it is listed under.

        You cannot offset all excise duty on inputs against outputs.

Depots cannot offset any input duties at all. Manufacturing plants can only offset input duties if they can show that the input materials are used to produce output materials.

        You have to record all excise duty (inputs and outputs) in excise registers.

        Your company may only be entitled to offset a portion of the duty on inputs against duty on outputs.

        Companies that qualify as small-scale industries can levy excise duty on outputs at reduced rates, so if you purchase materials from these companies, you must calculate a different rate of excise duty.


Prashanth Pai

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