sub-contracting with excise duty..?

[Former Member]

Hi all

can anybody explain me the sub-contracting process with excise duty , here we are going create excise invoice(J1IS instead of sub-contract challan) and what abt material document for sending out materials

whether v an use excise invoice as material transfer document to jobber place or what.

Please explain me with example ..

Regards

sap-mm

[Former Member · Accepted solution]

Hi

Sub-Contracting with payment of excise duty -

You may place the sub-contracting PO for semi-finished component (in which the raw material shipped from ONE Plant) with delivery address as OTHER plant.

The send the material subcontractor & create outgoing excise invoice (T code - J1IS) with reference to the transfer posting document.

vIVEK

[former_member581212]

hi ,

you can try:

1.Do the MB1A with 202 mvt type to get back the material from the Work location Cost center to Storage location.

2.Create the Subcontracting PO without payment of excise duty ie., with subcontracting challan. Here the components provided to the vendor & material at item overview should be the same.

3.Do the MB1B - 541 Mvt type transfer posting.

4.Create the subcontracting challan w r t material doc by J1IF01

5.Do the MIGO for SC PO.

6.Reconcile the SC Challan.

7.If the qty is fully reconciled then you can complete the challan.

8.Do the LIV for SC PO.

9.Do the MB1A with 201 MVT type to issue the material to the Work location.