Education cess calculation

[former_member211616]

Hi All ,

We have TAXINJ procedure

and our industry auto industry

As per the tax regulator we can exclude the autocess for the calculation of education cess

current calculation

Accessible value -100

BED -                   24

NCCD                    1

autocess                1

total                     26

education cess @2%on 26   .52

required calculation

BED -                   24

NCCD                    1

total                     25

education cess @2%on 26   .50

as current standard alternate calculation type  366 is calculating on the current calculation that is .52

required result .50

Is there any note available for this

Regards

Ramesh

[Lakshmipathi]

we can exclude the autocess for the calculation of education cess
education cess @2%on 26   .50

If I understood your requirement correctly, the education cess should calculate on 25 and not 26 as indicated by you.  Also you have not specified in which circumstances, this can be excluded.  May be you can consider having a new pricing procedure excluding auto cess condition type.

G. Lakshmipathi

[former_member211616]

Hi Laxshmipathi ,

Thank a lot for your reply

As per the goverment circular in feb 2014  the education cess would not be applicable on cesses

CBEC resolves 'cess' conundrum - Will industries benefit? | Indirect Tax</title> <meta prop...

For all circumstances  the this can be excluded.

the standard routine 366 is there even though in the sub total of central taxs i have exclude the autocess then also its calculating the education cess including autocess

even I search in forum no notes found

Regards

Ramesh

[Lakshmipathi]

Still you have not clarified whether this statutory change is applicable to all business process or only for certain scenarios.  If it is for all, then you go with creating a new pricing procedure excluding the autocess condition type.  If it is only applicable for certain scenarios, then you need to explain in what circumstances, you need to exclude.

G. Lakshmipathi

[former_member211616]

HI Lakshmipathi ,

Thanks for your reply

Its applicable only for car sales , display process , register process all are different pricing procedure

how ever same routine has used

not for part sales

Regards

Ramesh

[Lakshmipathi]

If you would like to address this statutory change with the standard configuration, then you need to create a new pricing procedure.  Create one more condition type with calculation type as percent so that your pricing procedure would be as follows:-

As I shown above, against ZDIS, assign the routine 164 under Base Type in your pricing procedure.  Also as per your indication, since auto cess should not be considered for car sales, such of those materials can be classified by material group as cars and add this in one of those combinations in condition record for ZDIS. Don't forget to assign From-To step as 140 & 150 against JECS condition type.

On the other hand, if you don't want to touch the exisiting procedure, then you need to add this logic in a routine and have to assign it against the condition type for auto cess.

G. Lakshmipathi