Scrap sales from Depot

[former_member266852]

Dear All,

I have one scenario where we want to sell scrap from our depot. FG is comming with excise inovice after some time of period this FG become obsolete and they decide to scrap this material, for the same they change the material code from FG to Scrap. Now they want to sell scrap material with excise invo

[Lakshmipathi]

If I am correct with the excise regulations, from depot, you are not suppose to sell any scrap material. Either you can bill the end customer with the same rate against which you inwarded in depot, or return to parent plant the rejected quantity. Please check with the client on this aspect.

thanks

G. Lakshmipathi

[jpfriends079]

J1IJ while capturing materials

J1IG while selling the same.

In this case you pass on the exact duty what you have paid to govt.

The duty is not based on your selling price.

So after you do PGI you do J1IG transaction which will pass percentage duty what you have paid first to the sales volume.

In this case the pricing analysis tab won't reflect the actual duties.

Hope it can assist you in understanding.

Thanks & Regards

JP