procedure to create excise invoice(for home consumption).

[Former Member]

Dear Experts,

Please tell us the procedure to create excise invoice(for home consumption).

For e.g.

We are using pipes(finished goods) in construction of shed(self consume) (capital wip fixed assets). So we want to create excise invoice (reduce material from our stock and want to generate accounting entries (excise applicable but sale tax will not applicable).

Thanks & Regards

Jani Shaik

[Lakshmipathi · Accepted solution]

excise applicable but sale tax will not applicable

Just check with Business whether excise registration is different in this case.  To my knowledge, as per excise rules, you can levy duty only if the  material moves from one excise registration to a different excise registration.  Otherwise, it will be treated as a Captive consumption and duty will not be levied.

G. Lakshmipathi

[Former Member]

I am agree with Lakshmipathi,

If its in same excise grp, sales purchase are of no use. You need to consume it and update registers using J1I5.

[Former Member]

Hi,

Usually under normal circumstances, for materials which are consumed internally like materials issued to production planing, we update respective registers by normal process itself using J1I5 (e.g. IIM) for respective criterion. I am not sure why we need to do billing and prising.

[prasanna_kumar4]

Hi

It is similar to your Normal Sales Cycle but the difference is we can't make Commercial Invoice ( Create Pro-forma Invoice).

Better to create Seperate Sales Document type, Delievry Document Type and Billing Document type( Proforma Invoice) and Pricing Procedure if Required

check Below points to client

1. How they are showing this material in RG1 Register ( It is showing seperate Column like Captive Cosnumption or it is showing under Normal Sales)

If they want to show seperate column  in RG1 , it is better to create New movement type ( Copy 601 , 602 movement types)

At the time of fetching the RG1 Report is very easy to fetch the Report

2. Check the client how they want excise Accounting Entries ( like domestic Excise Entry or different Accoutning Entries)

If you required any futher assistance please post here