1. Procure to pay
- For Goods Receipts without QA check, Transaction code – MIGO
Inventory Account Dr.
To GR/IR Clearing Account Cr.
To Freight Clearing Account Cr.
To Customs duty clearing account Cr.
- Goods Receipt with QA check, Transaction code - MIGO
No Accounting entry
- Excise Invoice posting, Transaction code – J1IEX
CENVAT Input BED A/c Dr.
CENVAT Input ECS A/c Dr.
CENVAT Input SHE A/c Dr.
To CENVAT Input clearing A/c Cr.
- Service Entry sheet, Transaction code – ML81N
Expense A/c Dr.
To GR/IR Clearing a/c Cr.
- Invoice verifications, Transaction code - MIRO
GR/IR Clearing Account Dr.
CENVAT Input clearing A/c Dr.
VAT Input Account Dr.
To Vendor Account Cr.
- Payment made through bank, Transaction code – F-53/F-58
Vendor Account Dr.
To Bank Account Cr.
- Payment to foreign vendor, Transaction code – F-53/F-58
Vendor A/c Dr.
To Bank Account Cr.
Exchange Fluctuation A/c Dr./Cr.
2. Production Related Entries
- Goods Issued to Production , Transaction code – MIRO , Movement type 261
Material Consumption A/c Dr.
To Inventory A/c Cr.
- Goods Reciept to Warehouse from process order, transaction code – MIGO, Movement type 101
Inventory A/c Dr.
To Charge in Inventory Cr.
- Variance Calculation on Production order settlement, Transaction code – KO88, This is month end process
Price Difference A/c Dr./Cr.
Change in Inventory Cr./Dr.
- WIP Calculation , Transaction code – KKAX, This is month end process
WIP Account Dr.
To Change in WIP A/c Cr.
3. Order to Cash
- Goods Delivery to customer , PGI(Outbound Delivery) , Transaction code – VL01N
Cost of goods sold A/c Dr.
To Inventory A/c Cr.
- Raising of Sales Invoices, Transaction code – VF01
Customer A/c (Accounts Receivable) Dr.
To Sales A/c Cr.
To CENVAT Output clearing A/c Cr.
To VAT Payable A/c Cr.
- Excise Invoices, Transaction code – J1IIN
CENVAT Output Clearing A/c Dr.
To Excise BED Payable A/c Cr.
To Excise ECS Payable A/c Cr.
To Excise SHE Payable A/c Cr.
- Sale of Scrap , Transaction code – VF01
Customer A/c (Accounts Receivable) Dr.
To Income from Scrap sale A/c Cr.
To CENVAT Output Clearing Cr.
To VAT Payable A/c Cr.
To TCS – Scrap sales Cr.
- Excise Invoices for Scrap, Transaction code – J1IIN
CENVAT Output Clearing A/c Dr.
To Excise BED Payable A/c Cr.
To Excise ECS Payable A/c Cr.
To Excise SHE Payable A/c Cr.
- Receipt of Amount from customer, Transaction code – F-28
Bank Account A/c Dr.
To Customer A/c Cr.
- Receipt of Amount from Foreign customer
Bank A/c Dr.
To Customer A/c (Accounts Receivable) Cr.
4. Sub Contracting
- When Goods Issued to Sub Contractor – No Accounting entry
- Goods Receipt from Sub Contractor
Material Consumption A/c Dr.
To Inventory A/c Cr.
Sub Contracting charges A/c Dr.
To GR/IR Clearing A/c Cr.
Inventory Semi finished/Finished Goods Dr.
To Charge in Inventory A/c Cr.
- Invoice Verification Job work , Transaction code – MIRO
GR/IR Clearing A/c Dr.
Service Tax unpaid A/c Dr.
To Vendor A/c (Accounts Payable) Cr.
- Payment to Vendor, Transaction code – F-53/F-58
Vendor A/c (Accounts payable) Dr.
To Bank Account A/c Cr.
5. Service Tax Entries
- FI invoice booking with Service Tax, Transaction code – FB60
Expense A/c Dr.
Service tax unpaid A/c Dr.
Service tax ECS unpaid A/c Dr.
Service tax SHE unpaid A/c Dr.
To Vendor A/c (Accounts Payable) Cr.
- Transfer of service tax unpaid to Service tax paid, Transaction code – S_AC0_52000644
Service Tax paid A/c Dr.
Service tax ECS paid A/c Dr.
Service tax SHE Paid A/c Dr.
To Service Tax unpaid A/c Cr.
To Service Tax ECS Unpaid A/c Cr.
To Service Tax SHE unpaid A/c Cr.
- Service tax utilization, transaction code – J2IUN
Excise BED Payable A/c Dr.
Excise ECS Payable A/c Dr.
Excise SHE Payable A/c Dr.
To CENVAT Input BED-RG23A A/c Cr.
To CENVAT Input ECS-RG23A A/c Cr.
To CENVAT Input SHE-RG23A A/c Cr.
To Service Tax paid A/c Cr.
To Service Tax ECS Paid A/c Cr.
To Service Tax SHE Paid A/c Cr.
To PLA BED A/c Cr.
To PLA ECS A/c Cr.
To PLA SHE A/c Cr.
6. CIN/Excise Entries
- Inward Excise invoice posting – Goods Receipt, Transaction code – J1IEX
CENVAT Input BED A/c Dr.
CENVAT Input ECS A/c Dr.
CENVAT Input SHE A/c Dr.
To CENVAT Input clearing A/c Cr.
- Invoice Verification, Transaction code – MIRO
GR/IR Clearing A/c Dr.
CENVAT Input clearing A/c Dr.
VAT Receivable A/c Dr.
To Vendor A/c (Accounts Payable) Cr.
- Sales invoices, Transaction code – VF01
Customer A/c (Accounts Receivable) Dr.
To Sales A/c Cr.
To CENVAT Output clearing Cr.
To VAT Payable A/c Cr.
- Payment of excise duty in PLA, Transaction code – F-53
PLA Hold A/c Dr.
To Bank A/c Cr.
- Updation of TR6, transaction code – J1IH
PLA BED A/c Dr.
PLA ECS A/c Dr.
PLA SHE A/c Dr.
To PLA Hold A/c Cr.
- Monthly Utilization , Transaction code – J2IUN
Excise BED Payable A/c Dr.
Excise ECS Payable A/c Dr.
Exicse SHE Payable A/c Dr.
To CENVAT Input BED-RG23A A/c Cr.
To CENVAT Input ECS-RG23A A/c Cr.
To CENVAT Input SHE-RG23A A/c Cr.
To Service Tax Paid A/c Cr.
To Service Tax ECS Paid A/c Cr.
To Service Tax SHE Paid A/c Cr.
To PLA BED A/c Cr.
To PLA ECS A/c Cr.
To PLA SHE A/c Cr.
- Inward Excise invoice posting – Asset receipt ,
CENVAT Input BED RG23C A/c Dr.
CENVAT Input ECS RG23C A/c Dr.
CENVAT Input SHE RG23C A/c Dr.
CENVAT Hold RG23C A/c Dr.
To CENVAT Input Clearing A/c Cr.
- Outward Excise Invoice posting – Asset sale
CENVAT Output Clearing A/c Dr.
To Excise BED Payable A/c Cr.
To Excise ECS Payable A/c Cr.
To Excise SHE Payable A/c Cr.
- Raising of Sales Invoices – for Asset, Transaction code – VF01
Customer A/c Dr.
To Clearing A/c – Sale of Assets Cr.
To CENVAT Output clearing A/c Cr.
7. Other Transactions
- Advance Payment to Vendors, Transaction code – F-48
Vendor A/c (Advance payment vendor) Dr.
To Bank A/c Cr.
- Advance receipt from customers, Transaction code – F-29
Bank A/c Dr.
To Customer A/c (Adv pmt from customer)Cr.
8. BRS Transactions
- Outgoing Checks, Transaction code – FF67
Outgoing checks A/c Dr.
To Main Bank A/c Cr.
- Incoming Checks, Transaction code – FF67
Main Bank A/c Dr.
To Incoming A/c Cr.
- Direct Deposit in Bank, Transaction code – FF67
Main Bank A/c Dr.
To BRS A/c Cr.
- Bank Charges, Transaction code – FF67
Bank Charges A/c Dr.
To Main Bank A/c Cr.
- Interest Received , Transaction code – FF67
Main Bank A/c Dr.
To BRS A/c Cr.
9. Other Inventory Transactions
- Stock Transfer from plant to plant, Transaction code - MIGO
Inventory A/c (Receiving Plant) Dr.
To Inventory A/c (Sending Plant) Cr.
Price Difference A/c* Dr./Cr.
*due to any difference between the standard costs between the two locations
- Revaluation of Stock, Transaction code – MR21
Inventory A/c Dr./Cr.
Gain/Loss from Revaluation A/c Dr./Cr.
- Physical verification / Shortages and excesses, Transaction code – MI07
Inventory A/c Dr./Cr.
Inventory Difference A/c Dr./Cr.
- Goods issue for sampling, Transaction code – MIGO, Movement type – 333
Material Consumption A/c Dr.
To Inventory A/c Cr.
- Goods Issue for Scrapping , Transaction code – MIGO, Movement type 551
Scarp loss A/c Dr.
To Inventory A/c Cr.
- Goods Issue for Scrapping through Quality inspection , Transaction code – MIGO, Movement type 551
Scarp loss A/c* Dr.
To Inventory A/c Cr.
*Needs to assign cost center
- Goods issue to cost center, transaction code – MIGO, Movement type - 201
Material consumption a/c Dr.
To Inventory A/c Cr.
10. Asset transactions
- Asset Receipt , Transaction code – MIGO , Movement type – 101
Capital Expenditure A/c Dr.
To GR/IR Clearing A/c Cr.
- Settlement of Internal Order, Transaction code – KO88
Capital work in progress A/c Dr.
To Capital Expenditure A/c Cr.
- Settlement of Internal Order, Transaction code – KO88
Asset A/c Dr.
To Capital work in progress A/c Cr.
- Depreciation posting, transaction code – AFAB
Depreciation A/c Dr.
To Accumulate Depreciation Cr.
- Asset transfer plant to plant, transaction code – ABUMN
Asset A/c Dr.
To Asset A/c Cr.
* Here cost center/ profit center / plant will be changed
- Retirement of Asset, Transaction code – ABAON
To Asset A/c Cr.
Accumulate Depreciation A/c Dr.
Clearing A/c – Sale of assets Dr.
Profit / Loss on sale of asset Dr./Cr.
- Sale document
Customer A/c Dr.
To Clearing A/c- sale of assets Cr.
To CENVAT Output clearing A/c Cr.