RG23 related Entries

[stelco]

Hi,

I have some confusion related RG23 entries. I would like to know in detail regarding RG23 & its various sub-groups if any. As it is related to excise & I have to monthly generate the said entries.

Pl. guide how it works…

[stelco]

Hi…

What I forget to mention that it for Navision 4 & related to Indian system.

[dbd]

Hi,

I try to give an overview of the Excise Tax Law System in India and How Navision configures it.

As per Indian Law, For all manufactured Items , Excise is supposed to be paid upon removal of such goods from the Finished Goods Ware house of the company.

So, I will go step by step in the Docuemntation to be maintained and how it is created in Navison.For Items having Excise Setup,

1. RG-1 : Thie register maintains the account of Qty. of Goods Produced inhouse and removal(sales). Item ledger entry type Output creates an entry in RG-1 account( Or DSA-Daily Stock Account REgister). ILE type Sale/Transfer of the same Item creates a -ve entry in DSA.

2. RG23 A Part 1: The Purchase and Issues Qty. of an Excisable Raw Material is accounted in this register. ( ILE type Purchase with Excise set up on Item and Location updates qty & ILE type Consumption/Transfer deducts Qty.)

3. RG23 A Part II : ILE types will remain the same as part 1 but here the Total Excise amount and Cenvat Credit/Debit amounts are registerd. ( Your Cenvat payable account is associated with this register)( CEnvat Credit which you get here can be utilised while paying for removal of your FG from Factory.)

4. RG23C Part 1 & 2: This is same as RG23A part 1 & 2 but here, the Capital Items and Fixed assets and other specifically defined Item and their CEnvat amounts are accounted.

5. ER-1: This is a monthly account of Total qty. of Goods sold and Duty paid by way of Cenvat/PLA.

Apart from these, For Raw material which you are sending out to your subcontractors falls under Rule 57F. For this< one has to maintain a defined form for sending out such goods without paying Excise and paying the Excise if the converted FG does not reach back within 180 days.

These are standard registers, Still , as per the Excise laws, there are some more registers to be maintained specifically for certain Goods Categories defined by the Department of Excise and Customs. These unique registers are not available in Navison.And there are different records and registers for Exports and Imports as well.

Regards,

DD

[stelco]

Thanks DBD for nice & detailed reply

[David_Singleton]

Hi,

I try to give an overview of the Excise Tax Law System in India and How Navision configures it.

As per Indian Law, For all manufactured Items , Excise is supposed to be paid upon removal of such goods from the Finished Goods Ware house of the company.

So, I will go step by step in the Docuemntation to be maintained and how it is created in Navison.For Items having Excise Setup,

1. RG-1 : Thie register maintains the account of Qty. of Goods Produced inhouse and removal(sales). Item ledger entry type Output creates an entry in RG-1 account( Or DSA-Daily Stock Account REgister). ILE type Sale/Transfer of the same Item creates a -ve entry in DSA.

2. RG23 A Part 1: The Purchase and Issues Qty. of an Excisable Raw Material is accounted in this register. ( ILE type Purchase with Excise set up on Item and Location updates qty & ILE type Consumption/Transfer deducts Qty.)

3. RG23 A Part II : ILE types will remain the same as part 1 but here the Total Excise amount and Cenvat Credit/Debit amounts are registerd. ( Your Cenvat payable account is associated with this register)( CEnvat Credit which you get here can be utilised while paying for removal of your FG from Factory.)

4. RG23C Part 1 & 2: This is same as RG23A part 1 & 2 but here, the Capital Items and Fixed assets and other specifically defined Item and their CEnvat amounts are accounted.

5. ER-1: This is a monthly account of Total qty. of Goods sold and Duty paid by way of Cenvat/PLA.

Apart from these, For Raw material which you are sending out to your subcontractors falls under Rule 57F. For this< one has to maintain a defined form for sending out such goods without paying Excise and paying the Excise if the converted FG does not reach back within 180 days.

These are standard registers, Still , as per the Excise laws, there are some more registers to be maintained specifically for certain Goods Categories defined by the Department of Excise and Customs. These unique registers are not available in Navison.And there are different records and registers for Exports and Imports as well.

Regards,

DD

Hey DD, great post ! I need to check the Indian forums more often.

This is great information about how Indian Excise Duties work. thanks