| # CENVAT credit Manufacturers can claim credit on the excise duty paid for raw materials, capital items and service tax paid on input services. The credit can be utilized to pay duty on final products and also on service tax of output service. CENVAT credit is claimed against the excise invoice (Goods pass out document) or bill of entry or any authorized document, indicating the payment of duty. You can use the Display Credit Balances (tctax9535m00l) session to check the CENVAT credit balances. CENVAT cross utilization CENVAT credit can be utilized for payment of excise duty payable and service tax payable, subject to the restrictions imposed by law. Handling taxes at purchase receipt You can use the Accounts Payable module in the Financials to process the updated claimable taxes. Infor ERP LN populates the data in Financials with the tax details of the order relating to both claimable and non-claimable amounts. You can also maintain invoice tax lines based on the order data and create tax postings for the tax codes in the aggregate tax code. ER1 Report Form ER1 (Excise Return 1) is a document submitted to excise authorities, every month. It is a report of the excisable goods and the utilization of CENVAT credit for the month. The document comprises of the following details: Company, ECC number PLA account manufactured goods, type of duty, rate of duty and duty payable. Amount of duty paid, challan number, challan date and so on. CENVAT credit availed, utilized, the opening balance and the closing balance of all types of indirect taxes. |