CIN doubts?

[Former Member]

Hi all,

Hi all,

2)What is a depot? plz. give me some description..

Regards,

Swathi.

Regards,

Swathi.

[Lakshmipathi]

Hi Swathi

You may sell finished goods directly from the place of manufacture, as described under Sales from Factories, or you may first ship them to a separate location for storage (a depot), from where you will sell them. The second procedure is described here.

Sales from depots are handled differently from sales from factories because of excise law: Excise duty is payable when you send the goods from the factory to the depot, but it is not levied again when you sell the goods.

Sometimes when you make a final sale of goods from a depot, price escalations could have happened with retrospective effect. In such scenarios you need to pay the extra excise duty at the factory using an A Certificate. You need to register the A certificate details in the RG 23D register and the excise recovered from the customer

Thanks

G. Lakshmipathi

[Former Member]

hi,

a depot is a excisible storage location i.e a location that does not manufacture ne goods but is still excisible because it may be present in a plnt's premises. various scenarios exist in regarding depots like STOs between depots, STOs from a factory to a depot, sale from a depot etc. in case of a depot a diff set of regiters called RG23D is updated whereas in the case of factory sales its RG1. to check the depot settings follow the path i mentioned in one of my earlier replies.

saurabh

[Former Member]

hi

Depot is treated as a plant in SAP. Transfer from Manufacturing plant to depot is inter plant or intra plant ( depends on the company code these two belong to)

Sale from Depot is same as sale from Manufacuturing plant. Usually sales odocument types are used to differentiate betweeen the plant sale and depot sale.

A unit, in India, that is dedicated to the storage and sale of goods, as opposed to a manufacturing plant. Depots:

Do not participate in the CENVAT scheme

Are required to keep a register of all goods receipts and goods issues (register RG 23D)