J1iD Material & Chapter Id as Non cenvatable

[Former Member]

Hi Guru's

I have maintianed a material as non cenvatable in material & chapter ID combination in J1ID (Tcode).

1) Created PO

2) Posted GR & there is accounting entry for excise duty (which has to be inventorised)

3) when i trying to do the MIRO the excise duties are credited to the cenvat account.

kindly suggest the process when we choose non-cenvatable.

how does the accounting happen for excise.

Regards

Prakash

[former_member192897]

You can overwrite the Excise material type maintained in your Material & Chapter id combination. Irrespective of the Excise material type in J1ID, System takes the MIGO/J1IEX Excise material type provided it is changed in MIGO/J1IEX.

You said there is an accounting entry for your material document for excise. Check the excise material type assigned in your material document under Excise item tab. If it is RG23A/C then you would get the accounting entry provided cenvatable tax code was used in your purchase order.

[former_member187965]

Hi,

Create tax code with conditions JMIP, JMX2, JEC2, JEX2, JSEI, JHX2. Maintain this tax code in PO when excise is to be inventoried (Credit not availed). Do not maintain material in J1ID. If excise tab is opened during GR then select 'No excise entry' and post GR. Excise duty amount will get loaded to material account and GR/IR account amount will be = material cost + Excise amount.

In MIRO simulation, you will not get separate lines for excise duty amounts (because it is included in GR/IR account). Accounting entry in MIRO will be as below,

GR/IR.......Debit

     Vendor.......Credit