Project Chanakya

Configuration Design Document

CIN EXCISE MODULE

DOCUMENT CONTROL
Version Comments Date Revised By Reviewed By
1.0 Initial Draft 28.3.2007 V. Parthasarathy
Table of contents

1.0 Basic Configuration

1.1 Register ID
1.2 Company Code Settings
1.3 Plant Settings
1.4 Excise Group
1.5 Series Group
1.6 Sub-transaction Types

2.0 Determination of Excise Duty

2.1 Tax Calculation Procedure

2.2 Maintain Excise Defaults

3.0 Account Determination

3.1 GL Account for Taxes

3.2 Excise Accounts per Excise Transaction
3.3 G/L Accounts per Excise Transaction

4.0 Number Range

5.0 Masters

5.1 Chapter ID
5.2 Material Chapter ID Combination
5.3 Vendor Excise Details
5.4 Customer Excise Details
5.5 Excise Indicator for Plant
 Excise Customization

1.0 Basic Configuration

1.1 Register ID

It is a unique key to store Excise Registration No./ ECC No. of a

plant / depot registered with Central Excise as Manufacturer or a
Dealer.

To define applicable excise duties for a registered plant (e.g., BED,

SED, AED etc) and also to control maximum no. of line items in an
outgoing excise invoice.

1.2 Company Code Settings

To maintain the data relating to the company codes e.g., a separate

document types for the Cenvat credit and Utilization. These
document types should be of type GL and should exist in FI.

1.3 Plant Settings

To maintain excise information relating to the plants e.g., whether

the plant / depot is a Manufacturing Plant or Depot registered with a
Central Excise as a Dealer or Both.

1.4 Excise Group

Excise Group is a two digit numbers/characters, allows to maintain

a separate set of Excise Registers and Excise Accounts. DSA,
PLA, RG23A, RG23C, & RG23D serial numbers are created for an
Excise Group. It is also possible to control creation of various
excise invoices (e.g., auto excise invoice creation during billing;
create excise invoice and posting in single level etc).

1.5 Series Group

Series Group is also a two digit number/characters which indicates

the group under which the serial number for Excise Statutory
Document is grouped (E.g.., Rule 11 Invoice Serial / Rule 11 (7)
invoice Serial, Job Work Challan etc)
 Series groups allow to maintain multiple number ranges for the
outgoing excise documents. Based on excise regulations and
exemptions from the authorities you can maintain multiple number
series for outgoing documents. But each of these series has to be
declared to the excise authorities.

1.6 Sub-transaction Types

To post the excise related FI entries other than a normal GL

accounts. It is also used for Sub-contracting transactions.

2.0 Determination of Excise Duty

2.1 Tax Calculation Procedure

To specify which tax procedure needs to be used for determining

excise duties and sales taxes on input materials in India.

Condition-based excise determination: Tax procedure TAXINN.

Formula-based excise determination: Tax procedure TAXINJ.

NB: Once started using a tax procedure, cannot be switched over to

another one, otherwise client will not be able to display old
documents.

2.2 Maintain Excise Defaults

To define which tax procedure and pricing condition types are used
in calculating excise taxes using formula-based excise
determination.

3.0 Account Determination

3.1 GL Account for Taxes

To assign an account to each of the posting keys.

The accounts for VS1, VS2, and VS3 are used as clearing
accounts during excise invoice verification.
 3.2 Excise Accounts per Excise Transaction

To maintain which excise accounts (for excise duty and CENVAT)

are to be posted to for the various transaction types. Enter all the
accounts that are affected by each transaction type

Example

Excise TT DC ind Account name

GRPO CR CENVAT clearing account
GRPO CR RG 23 BED account
GRPO DR CENVAT on hold account

3.3 G/L Accounts per Excise Transaction

To assign the excise and CENVAT accounts to G/L accounts.

GL Account is assigned based on the Transaction Type which will

uniquely identify with the Excise Transaction. It is used to determine
the GL A/C that is applicable for the various excise transaction
types. . In case of sub-transaction types, enter the accounts for
each sub-transaction type as well.

While executing the various transactions, the system determines

which G/L accounts to post to by looking at the:

4.0 Number Range

4.1 Required for maintaining running Sl.No. for Excise

Registers / Invoices

5.0 Masters

5.1 Chapter ID

All materials that are required for manufacturing and subsequently

those which are manufactured are classified under the Central
Excise Law into Chapters. These Chapters are further sub-divided
into Headings and Sub - headings, which together form the
Chapter-ID.

5.2 Material Chapter ID Combination

To maintain exact and accurate chapter id for a material of a plant.
Also, for giving an indicator for Sub-Contracting, Material Type etc.

5.3 Vendor Excise Details

To maintain Excise / Tax registration details of Vendors.

5.4 Customer Excise Details

To maintain Excise / Tax registration details of Customers.

5.5 Excise Indicator for Plant

To maintain Excise / Tax registration details of Plants.