CENVAT Utilization

[Former Member]

Hi frends

i want know about CENVAT Utilization part

what are the steps for CENVAT utilization after regiter entry ,How will we transfer CENVAT credit ,

And Who will take care of these ulization MM or FI

thanks in Advance

[Former Member · Accepted solution]

hi,

steps in CENVAT UTILIZATION.

its a monthly activity.

STEP1)GO TO J2IUN here select start of the month and end of the month days with excise group again select subtransaction type IP to use ADC.Also u can use service tax paid account for payment of duty.

and then execute.

here u can see the payable amount.and credit available.

STEP2) find the difference between the payable and credit amount.and pass the JV (FI JV)which will be

PLA ON HOLD Cr.

BANK Dr.

STEP3)Make the JV again (Excise JV) through J1IH using TRC6 challan as -

PLA ON HOLD Cr.

PLA BED Dr.

PLA ECS Dr.

PLA SECES Dr.

Now u can utilise the PLA for cenvat payment.

STEP4) GO TO J2IUN and just make the payment against the payable.

hope this will help u

regards,

sujit

[pankaj_singh9]

Hi,

J2IUN u2013 Monthly Utilization

In the selection screen, put following details

Under u201CGeneral Datau201D Tab

u2022 Company Code u2013 6100

u2022 Plant u2013 6105

u2022 Excise Group u2013 05

u2022 ADC Subtransaction Type u2013 IP i.e. SUBTRANSACTION TYPE FOR IMPORTS - ADC

Under u201CExcise Invoice Selectionu201D Tab

u2022 Period -

Under u201CPosting Datau201D Tab

u2022 Business Area u2013 u201CA1u201D

u2022 Fortnightly Payment Posting Date -

Under u201CCross utilization b/w Service tax and CENVATu201D Tab

u2022 Service tax credit account -

u2022 ECESS on ser tax account -

u2022 SECess on ser tax account -

After putting all the necessary Selection Details, Press u201CExecuteu201D button

In the output Screen, select the line of Excise Duty like; BED, ECS and SECess one by one and click on u201CSelect Dutyu201D button to views the relevant Accounts for Excise duties;

Now put the duty amount to be utilized against the u201CACCOUNT NAMEu201D from which you want to utilize.

Same procedure is to be repeated for ECS and SECess also.

Now click on u201CSimulateu201D button to verify the Accounting Entries of Monthly Utilization

System generates FI Entry during Monthly Utilization

CENVAT Payable for BED, ECS & SECess - Dr
CENVAT Receivable for BED, ECS & SECess - Cr

Now u201CSaveu201D the Utilization Document.

After posting the document, system will generate a message as below

Part 2 post and accounting document XXXXXX generated.

CENVAT Utilization is to be taken care by SD and FI Module

[Former Member]

Q . what are the steps for CENVAT utilization after regiter entry ,How will we transfer CENVAT credit

Ans. J2IUN u2013 Monthly Utilization

In the selection screen, put following details

Under u201CGeneral Datau201D Tab

u2022 Company Code u2013 6100

u2022 Plant u2013 6105

u2022 Excise Group u2013 05

u2022 ADC Subtransaction Type u2013 IP i.e. SUBTRANSACTION TYPE FOR IMPORTS - ADC

Under u201CExcise Invoice Selectionu201D Tab

u2022 Period -

Under u201CPosting Datau201D Tab

u2022 Business Area u2013 u201CA1u201D

u2022 Fortnightly Payment Posting Date -

Under u201CCross utilization b/w Service tax and CENVATu201D Tab

u2022 Service tax credit account -

u2022 ECESS on ser tax account -

u2022 SECess on ser tax account -

After putting all the necessary Selection Details, Press u201CExecuteu201D button

In the output Screen, select the line of Excise Duty like; BED, ECS and SECess one by one and click on u201CSelect Dutyu201D button to views the relevant Accounts for Excise duties;

Now put the duty amount to be utilized against the u201CACCOUNT NAMEu201D from which you want to utilize.

Same procedure is to be repeated for ECS and SECess also.

Now click on u201CSimulateu201D button to verify the Accounting Entries of Monthly Utilization

System generates FI Entry during Monthly Utilization

CENVAT Payable for BED, ECS & SECess - Dr

CENVAT Receivable for BED, ECS & SECess - Cr

Now u201CSaveu201D the Utilization Document.

After posting the document, system will generate a message as below

Part 2 post and accounting document XXXXXX generated.

Note: -

There is no transaction type for determining the accounts of the fortnightly utilization.

The credit account of the transaction type u2018DLFCu2018 is used as the debit account here.

For the credit side we pick the debit accounts from the GRPO, EWPO and TR6C transactions.

So it is mandatory that whether you use EWPO or not you should have maintained the account determination for all transaction tyes for a given excise group.

So check the account determination for all above ETTs.

Q.Who will take care of these ulization MM or FI

Ans. CAn be done by MM or FI

Regards

Sujoy