Excise Tax Setup In Navision

How to setup Excise Tax in Microsoft Dynamics NAV (Navision)?

To setup Excise Tax in Navision you have to complete following steps.

• Duties
• Business
• Product
• Posting Setup
• E.C.C. Nos.

• Duties

1. Open Duties Form (Financial Management –> Setup –> Excise –> Duties)
2. Code Field: Here you can enter a code for the excise duties. You can enter a maximum of 20 characters, both numbers and letters.
3. Description Field: Here you can enter a description for the excise duties . You can enter a maximum of 30 characters, both numbers and letters.

• Business

1. Open Business Form (Financial Management –> Setup –> Excise –> Business)
2. Code Field: Here you can enter a code for the excise business posting group. You can enter a maximum of 10 characters, both numbers and letters.
3. Description Field: Here you can enter a description for the excise business posting group. You can enter a maximum of 50 characters, both numbers and letters.

• Product

1. Open Product Form (Financial Management –> Setup –> Excise –> Product)
2. Chapter No. Field: Here you can specify the chapter no. for the Item/ Fixed Asset category.
3. Heading No Field: Here you specify the heading no. for the Item/ Fixed Asset category.
4. Sub Heading No. Field: Here you can enter a code for the excise Product posting group. You can enter a maximum of 10 characters, both numbers and letters.
5. Description Field: Here you can enter a description for the excise business posting group. You can enter a maximum of 50 characters, both numbers and letters.

• Posting Setup

1. Open Posting Setup Form(Financial Management –> Setup –> Excise –> Posting Setup)
2. Excise Bus. Posting Group Field: Here you select from the Excise business posting group master. To see a list of available codes, click the Assist Button in the field.
3. Excise Prod. Posting Group Field: Here you assign the excise product posting group.
4. From Date Field:Here you enter the date from which this combination of excise product posting group and excise business posting group along with different duties will be applicable.
5. SSI Field: If this field is ticked than the various duties will be applicable for small scale industries only.
6. Cenvat Cr. Receivable Account Field:Here you assign the GL account where excise value be credited during inward movement of excisable goods.
7. Excise Payable Account Field:Here you assign the GL account in which excise value will be accumulated during outward movement of excisable goods.
8. Cenvat Cr. (Deferred) Account Field:Here you can assign GL account for cenvat Cr. (Deferred) where the value of cenvat credit will be accumulated.
9. BED Calculation Type Field:Specify how BED duty will be calculated for purchases or sales of items with this particular combination of Excise business posting group and Excise product posting group.
10. BED % Field:Enter the relevant Excise rate for this combination of Excise business posting group and Excise product posting group.
11. BED Amount Per Unit Field: Specify this option if basic excise duty is to be calculated as some amount per unit of item for the particular combination.
12. AED(GSI) Calculation Type Field:Specify how AED (GSI) will be calculated for purchases or sales of items with this particular combination of Excise business posting group and Excise product posting group.
13. AED(GSI) % Field: Enter the relevant AED (GSI) %/Amount for this combination of Excise business posting group and Excise product posting group.
14. SED % Field: Enter the relevant SED %/Amount for this combination of Excise business posting group and Excise product posting group.
15. SED Calculation Formula Field: Here one can specify how the duty component will be calculated for purchases,sales or transfer of items with this particular combination of Excise business posting group and Excise product posting group for a given Calculation Type selected for the duty component of Excise.
16. CESS % Field: Enter the relevant CESS %/Amount for this combination of Excise business posting group and Excise product posting group.
17. CESS Calculation Formula Field:Here one can specify how the duty component will be calculated for purchases,sales or transfer of items with this particular combination of Excise business posting group and Excise product posting group for a given Calculation Type selected for the duty component of Excise.
18. NCCD % Field:Enter the relevant NCCD %/Amount for this combination of Excise business posting group and Excise product posting group.
19. ADET % Field:Enter the relevant ADET %/Amount for this combination of Excise business posting group and Excise product posting group.
20. ADET Calculation Formula Field:Here one can specify how the duty component will be calculated for purchases,sales or transfer of items with this particular combination of Excise business posting group and Excise product posting group for a given Calculation Type selected for the duty component of Excise.
21. eCess % Field:Enter the relevant eCess %/Amount for this combination of Excise business posting group and Excise product posting group.
22. eCess Calculation Formula Field:Here one can specify how the duty component will be calculated for purchases,sales or transfer of items with this particular combination of Excise business posting group and Excise product posting group for a given Calculation Type selected for the duty component of Excise.
23. Setoff available Field: Credit of Education Cess can be utilized only for payment of Education Cess on final goods, hence wherever the setoff is available for cess, include a check mark in the column ‘SetOff Available for eCess’ in Excise Posting Set-Up.