This session covers the common tips and tricks for logistics processes using India

localisation solution for capturing excise, VAT or service tax.

After completing this session, you will be able to:

Get an overview of the commonly asked queries related to India localisation logistics
integrated processes.
Get quick resolution points on resolving the day to day operational problems when
working with CIN.

This sessions covers FAQ and issue resolution points across the following topics.

Tips and Tricks for Master data in Logistics.

Q1 The most commonly used master data in CIN are Material, customer and
vendor master. As you know as of Enterprise version CIN is integrated with R/3. The
result of this is that you are now able to maintain the CIN details for the above
master data during master data creation itself. However there are screen settings
that need to be made for CIN details tab to open in the master data. This means that
any user who needs access to CIN details in the master data needs to be assigned
to the screen sequence. The note 1559101 explains a work around where you would
not need to maintain every user ID in order to give access to the CIN details tab in
material, customer or vendor master.
Q2 A material can be defined as Cenvatable or not, depending on the purpose or
source of procurement. Incase of TAXINJ, this can be handled directly using the tax
code (deductible or non deductible). This is not possible for TAXINN (assuming you
are using access sequence JTAX and maintaining condition record through tables
other than 003). In such cases, create two different material or vendor to handle the
different scenarios.
Q3 In the recent versions/support packs, there is a validation for vendor excise
details. An error message is programmed to be issued if the vendor excise details
are not maintained during MIGO. If these details are known then please fill it and
then proceed with EI capture. Else, maintain any dummy values such as or * to
work around the error.
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Q4 There have been instances where the EI status shows as Posted but there is
no part 2 or the duty values are not fetched in MIRO. On display, the excise invoice
shows the duty values under the Credit due column instead of Credit availed
column. The most common reason for this is because, users change the vendor
Excise invoice number or excise invoice date when referring the same during MIGO.
This results in incorrect link being formed and the table J_1igrxref does not get
updated with duty values. The notes 1285986,1346926 & 1406505 prevents the
users from changing the excise invoice number or date of the excise invoice at
header after the Excise invoice has been referred in MIGO.
Q5 This is seen only after the Excise invoice is posted and hence the root cause
cannot be determined. The user exit J_1I7_MIGO_SAVE helps in putting in a
validation to check if the GR vendor and the EI vendor are one and the same and it
also helps as a point in issuing error incase the two are different, thus preventing
incorrect vendor updation in the excise invoice.
Q6 There have been many cases where the GR/IR valuation does not match that
of PO or any other expected calculation. The most common reason found for this is
indiscriminate use of MRP indicator, subtotals 2, 4 and 6 all of which have a direct
impact on the GR/IR value.

Q7 This is seen in two instances

1.

When a goods receipt document number is updated in CIN tables but the document
itself is not saved because of update termination errors. A new material document
number is updated once again when GR is attempted a 2nd time. This results in a
dummy entry creation in the CIN tables & the resultant duty values in MIRO are split
because only one of the GRs are available for invoicing. The 1st GR is not even
updated in the database. You are advise to use the exit J_1I7_MIGO_SAVE. The
note 1363367 also gives a sample code. The sample code provided in the note
enables the creation of a log during the update of excise invoice related details in
the tables J_1IPART1 and J_1IGRXREF at the time of excise invoice capture or
refer of EI during goods receipt through the transaction MIGO. This log will only be
created if the excise invoice which is being captured for the GR has already been
referred earlier during a goods receipt for which the material document does not
exist in the system. The log will contain information such as material document
number and the captured excise invoice number. The purpose of this log is to trace
the update of excise invoices related data while capturing with respect to goods
receipt in MIGO.

2.

The second reason is when the excise invoice is not cancelled after cancellation of
the GR which it is linked to & is reused for a 2nd GR without cancellation.

Q8 A few states have introduces additional VAT for various reasons. There is no
standard condition or condition name to classify these non standard conditions. For
customers using TAXINN, this prevents correct recalculation of this additional VAT
based on changed base or excise. There are two work around solutions available.
1.

Use the exit - J_1I7_USEREXIT_PROCESS_TKOMV to define the Z condition & put

in a logic to recalculate the additional vat based on changed duty values.

2.

Classify the conditions using condition names assigned to JIPC, JIPS and JIPL which
are not used anymore (replace the standard conditions with the Z conditions in table
J_1iexcdefn).
There are many other FAQs which cannot all be covered in this session. Please refer
to the FAQ note 1559145 for details on more topics related to procurement in logistics
with CIN.

Procurement from a Depot.

Q1 Excise invoice is not defaulted when GR with non deductible excise for a Depot
is used for excise invoice creation in J1IG. This has now been rectified through note
1429004
Q2 When excise invoice is created in J1IG with reference to a Goods receipts
made for partial PO quantity, the system default the full excise invoice instead of
prorating it based on the GR quantity. This has been rectified through note 1274524.
Q3 There are multiple issues for creation of incoming excise invoice for material
with batches in J1IG. This includes direct procurement with batch split at GR or STO
from factory. Most of the issues are handled through the notes 1344687, 1439878 &
1369788 .
Q4 Issues in relation to creation of Depot excise invoice during goods receipts for
material with batches in MIGO are handled through note 1225318.

Q5 An userexit J_1I7_USEREXIT_IMPORT_INV_DUTY has been introduced to

allow users to continue having one pricing procedure for imports (into both factory
and depot). The userexit allows customers to put in their own logic to make the
system Inventorise the CVD duties even when the standard J conditions used in
factory for set off are also used in a Depot.
Q6 System fills excise base value in the table J_1iexcdtl for an outgoing excise
invoice created through J1IIN only when it can find a non statistical conditions
defined with condition category as H. For customers using TAXINN, it is not possible
to have such a condition (because UTXJ is also not used) in an stock transfer
proforma invoice. The userexit J_1I7_USEREXIT_CALC_EXC_BASE helps
customers to define their own conditions from which the system has to take the base
value to populate in the excise detail table. This will in turn be passed on to the
Excise invoice captured in receiving factory/depot.
More tips and tricks can be found in the note 1559145.

Subcontracting
Q1 The error 8I 572 is issued when the system cannot find PO reference for the
541 document with which the subcontracting challan was created. To avoid this error
PO reference was made mandatory for 541 O. This however does not allow use of
certain standard options such as ME2O. The note 1475783 allow the error message
to be made into a configurable message so that individual customers have freedom
to decide whether or not they want to refer PO during 541.
Q2 When challans are reversed, the system gives a message saying that part2
and accounting are created whereas it does not. The reason for this is non
maintenance of subtransaction type 01 for subcontracting related excise transaction
types in table J_1itrnacc (SPRO > Logistics general > Tax on Goods movement >
India > Accounting > Maintain transaction accounts).
Q3 During subcontracting challan is to be reversed, no duty values are calculated
even though the base value exists. This is because of non maintenance of condition
record using condition table 357 for excise tax conditions in case of TAXINN and in
case of TAXINJ it is non maintenance of rates for the chapter ID in J1ID.
Further queries on subcontracting are covered in the FAQ note 1559145.

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Sales from factory

Q1 System gives the error Reference document is not a delivery document when
you try to create excise invoice with reference to a billing document which is based
on a sale order or contract etc and does not involve delivery at all or at least not in
SD. This has now been allowed by providing customers with an userexit that can be
used to work around the error. The details are given in the note 1498611. The
userexit J_1I7_USEREXIT_EXCISE_BEF_SAVE required to be used. The
message 8I 681 can now be configured to be a warning or information message
instead of an error message.
Q2 On upgrade to SP18 for ECC600 or 60408 for EHP4, the system starts
creating excise invoice in VF01 even when the excise group is not activated for
background creation of excise invoice. This has been resolved through note
1508103.
Q3 System does not allow selection of invoice type automatically. You would need
to check if the setting for default excise/series group is in place and apply the note
1500389 which enables this.

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Q4 Excise values become zero, when creating an export invoice with reference to a
billing document that has all the duty values. This is because the system recalculates
and makes the duty values zero because of export indicator. Set the value X for
parameter Suppress_calculation in the userexit
J_1I7_USEREXIT_DUTY_IN_EXPORT in order to allow calculation & stop
recalculation.

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Q5 When an excise invoice in local currency should result in creation of export

invoice (other than deemed) then please use the userexit
J_1I7_REDETERMINE_INVOICE_TYPE to set the export indicator as required by
business.
Q6 The accounting interface has been revamped to prevent update issues during
accounting document creation. As a result the system now issues a general error
RW100 which does not give specific details of what the error actually is. In order to
find out why this error is triggered, set breakpoint at MESSAGES_COUNT in
include LSMSGU07). Reason for error is shown in internal table XMSEG.
Q7 There are often queries on how the systems allows RG1 updation through J1I5
without considering if the excise invoice linked to this entry is for domestic or export
sales. The classification selected in the initial screen of J1I5 is simply meant for
updation and not for validation. If you want to restrict the system from updating any
classification relevant for the register type, then put in your own logic in the userexit
J_1I7_USEREXIT_J1I5_VALIDATE to validate the excise invoice type against the
classification used for Rg1 update.

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Q8 System does not allow updation of Rg1 register for issues. It gives a Red signal
indicating that the entry cannot be updated in the register. This happens when
quantity in cumulative receipts in table J_1irgsum is less than the quantity for which
the RG1 register is to be updated for. Update receipts first and then issues.

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Sales from Depot

Q1 In J1IJ no mother excise invoice is listed during invoice selection function even
though they exist. This could be because of various reasons, the primary one being,
a mismatch of storage locations (receipts & issue SLOCs). The note 1413497
prevents storage location validation. The note 1168642 gives an enhanced selection
criteria for selection of invoices based on the exact requirement of the customer.
Q2 During batch selection of RG23D invoice through program J_1IJCHK there is
no way to check if the batch selected by the system is correct. You can use the exit
J_1I7_USEREXIT_BATCH_CHK_FLAG to ensure that the receipts and issue batch
are matched.
Q3 During J1IJ, when a mother excise invoice which contains non deductible
excise is selected, the duty values are not copied to the outgoing invoice. This has
been corrected through note 1344067.
More queries on Sales from Depot are addressed in the FAQ note 1559435.

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Service tax
Q1 The error Tax code may only contain one assignment line is issued when the
requirement routine is not assigned to conditions other than the basic service tax
that are active in a Deferred or target service tax code.
Q2 Please refer the note 1400874 for issues faced when processing invoices for
which down-payment clearing and payment are made at the same time.
Q3 The note 1304228 has specific instructions and a Z program to help in
migrating from the India specific tables for deferred tax of 46C ECC500 systems to
the standard tables of ECC600 and above.

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Q4 System does not post all the line items of a selected document when the post
transfer document is used when running the report with the selection parameter as
test or Do not update.
Q5 The notes 1364069 and 1534409 extends all the features of the standard
report RFUMSV50 to the India specific deferred tax report J_1I_RFUMSV50 used by
46C to ECC500.
Q6 The note 1551381, this gives details of the process to be followed to correct
the documents posted incorrectly or that which dont get listed at all.

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VAT
Q1 Alternate G/L account determination for VAT does not work in FI invoices
because the system does not recognize the plant even when it is input at the line
item level. The exit J_1I7_GET_BUSINESS_PLACE helps achieve this through tax
code or G/L account which are readily available and read by the FI interface.
Q2 System does not generate official VAT document number, this is very
dependant on the correct data maintained at customer and plant (VAT registration
ID). The userexit - J_1I7_check_customer_VAT can be used to check whether a
customers VAT registration ID has been maintained or not.
Q3 If you want the system to generate VAT or BOS document number for zero
value invoices, then please set the indicator for Force numbering in table
V_T003_B_I which links the accounting document type to the VAT document class.

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These are the list of userexits available for use for India localization.

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