Purchase Cycle

1) When we procure materials from the Vendor

MIGO Inventory RM Dr 110000
GR/IR Clearing A/c Cr
Freight Clearing A/c Cr
J1IEX Excise Department has to take the Excise benefit through J1IEX
RG23A BED Dr 8000
RG23A E Cess Dr 160
RG23A H E Cess Dr 80
Cenvat clearing Cr
MIRO When bill received to finance department - Bll Passing
GR/IR Clearing A/c Dr 100000
Freight Clearing A/c Dr 10000
Cenvat clearing Dr 8240
VAT Receivable Dr 4729.6
Vendor Cr
After Completion of Purchases the following excise balances will be lying in the excise books of accounts
RG23A BED Dr 8000
RG23A E Cess Dr 160
RG23A H E Cess Dr 80
To get the balances into excise register J2I5 has to be executed to extract balance to excise books
to see the register J2I6 has to be executed
Sales Cycle
Billing Document-VF01
Customer A/c Dr 220800
Sales Revenue Cr
ED Collected Cr
E Cess Collected Cr
H E Cess Collected Cr
Excise invoice Posting through-J1IIN
Excise Duty paid Dr 20800
BED Payable Cr
Ecess Payable Cr
HE Cess Payable Cr
When the value is not sufficient in the RG accounts, this will be filled with PLA
First post PLA Deposit through the following entry
FB50
PLA TR6CPAY CLG Dr 20,000.00
PNB Hsr-CC-4075-MAIN Cr
J1IH-TR 6 Challan
PLA H. ECESS 1% Dr 2,000.00
PLA EXCISE-BED DEPOSIT ACCOUNT Dr 16,000.00
PLA ECESS Dr 2,000.00
PLA TR6C PAYMENT CLEARING Cr
At the end of the month Excise liability has to be redeemed with balance in RG23 & PLA
Transaction Code J2IUN
BED Payable Dr 16000
Ecess Payable Dr 3200
HE Cess Payable Dr 1600
RG23A BED Cr
RG23A E Cess Cr
RG23A H E Cess Cr
PLA H. ECESS 1% Cr
PLA EXCISE-BED DEPOSIT ACCOUNT Cr
PLA ECESS Cr
With this, at the end of the month liability is being cleared and RG accounts shows net balance
J1IH Scenarios
Material Written Off : When the material written of from the company, liability will be generated through Material written off
Matl non-Prod : If the material is used for non production purpose, libility will be generated through Matl Non-Prod
Additional Excise: Subsequent benefit of RG Accounts can be taken through Additional Excise
100000
10000
8240
122969.6
After Completion of Purchases the following excise balances will be lying in the excise books of accounts
To get the balances into excise register J2I5 has to be executed to extract balance to excise books
200000
16000
3200
1600
16000
3200
1600
20000
20,000.00
8000
160
80
1,520.00
8,000.00
3,040.00
With this, at the end of the month liability is being cleared and RG accounts shows net balance
Material Written Off : When the material written of from the company, liability will be generated through Material written off
Matl non-Prod : If the material is used for non production purpose, libility will be generated through Matl Non-Prod
Additional Excise: Subsequent benefit of RG Accounts can be taken through Additional Excise
Credit Memo Through MIRO
21 VSAILBI01 steel authority of India Ltd. 214,612.86
96 1901100 GR/IR-R.matl - DOM -198,750.86
50 1981000 Cenvat Clg Gen Acct -15,400.00
50 1981000 Cenvat Clg Gen Acct -308
50 1981000 Cenvat Clg Gen Acct -154
J1IS, Excise Invoice, Through MATD
40 1981000 Cenvat Clg Gen Acct 154
40 1981000 Cenvat Clg Gen Acct 15,400.00
40 1981000 Cenvat Clg Gen Acct 308
50 2710330 H.E.Cess (Sales) 1% 154.00-
50 2710090 EXC DUTY PAY (SALES) 15,400.00-
50 2710130 ECess Payable-Sale2% 308.00-
Finance Department:
FI Journal Voucher for Debit note: -FB60
Material Consumption A/c Dr 25000
Excise Paid Account Dr 1000
To Vendor A/c 26000
Excise Department :
Excise JV, Through J1IH-Additional excise
RG 23A BED 900
E Cess 80
H E Cess 20
To Excise Duty Paid 1000
First post PLA Deposit through the following entry
FB50
Cr 1351100 2,500,000.00- PNB Hsr-CC-4075-MAIN
Dr 2710070 2,500,000.00 PLA TR6CPAY CLG
0
J1IH
Cr 2710070 2,500,000.00 PLA TR6C PAYMENT CLEARING
Dr 2710320 500,000.00 PLA H. ECESS 1%
Dr 2710050 1,500,000.00 PLA EXCISE-BED DEPOSIT ACCOUNT
Dr 2710120 500,000.00 PLA ECESS
74,472.00
10,896.00
J1IS Entry for Sales Debit Memo
40 6101100 Excise Duty Pd 2
40 6101100 Excise Duty Pd 200
40 6101100 Excise Duty Pd 4
40 206
50 2710330 H.E.Cess (Sales) 1% -2
50 2710090 EXC DUTY PAY (SALES) -200
50 2710130 ECess Payable-Sale2% -4
50 -206
J2IUN Utilization for Debit Memo
40 2710090 EXC DUTY PAY (SALES) 200
40 2710130 ECess Payable-Sale2% 4
40 2710330 H.E.Cess (Sales) 1% 2
40 206
50 2710000 RG23A BED -200
50 2710100 RG23A ECess -4
50 2710300 RG23A H.Ecess 1% -2
50 -206
Correct If in case Excise Inv. Needs to be CANCELLED, then it must be Cancelled through J1IH
Cancellation Entry:
Cancellation must not be done from J1IS, otherwise it will give improper results. Moreover, while
cancelling through J1IS, system will generate one more Excise Invoice No.
Wrong Entry
Excise Invoice for Sales Debit
Memo, T. Code J1IS, user must
needs to enter Sub Transaction
Type as 21 otherwise all Excise
entries will go WRONG.
40 2710330 H.E.Cess (Sales) 1% 8
40 2710090 EXC DUTY PAY (SALES) 800
40 2710130 ECess Payable-Sale2% 16
40 824
50 6101100 Excise Duty Pd -8
50 6101100 Excise Duty Pd -800
50 6101100 Excise Duty Pd -16
50 -824 Total
Total
74,472.00
10,896.00
133,005.00
10,318.00
673,203.00
423,538.00
563,559.00
1,888,991.00 1,888,991.00 3,393,532.00 1,504,541.00
1,938,061.00
563,559.00
1,338,107.00
29,507.00
752,423.00
4,621,657.00
If in case Excise Inv. Needs to be CANCELLED, then it must be Cancelled through J1IH
Cancellation must not be done from J1IS, otherwise it will give improper results. Moreover, while
cancelling through J1IS, system will generate one more Excise Invoice No.