Cin p2 p process for raw material

1. RAW MATERIAL PROCUREMENT THROUGH P2P PROCESS
Applies to:
SAP ECC 6.0 EHP:7
RAW MATERIAL
A material or substance used in the primary production or manufacturing of a goods.
Tax credit adjustment
100% tax can be paid by the same year for the raw material.
Procedure
Create a material master – MM01
Create a Vendor master – XK01
Maintain Chapter id & Cenvat determination – J1ID
Create a PR for a material ME51N (Optional)
Create a P.O. for vendor / Material ME21N
Release PO (Optional) – ME29N
Goods receipt Post & Capture the Excise invoice – MIGO (PART I & II)
Post the Excise invoice by using internal excise number – J1IEX (Optional if you are
using capturing option in MIGO you can use the transaction to post the invoice.)
Invoice verification -MIRO
Material Master Creation
Initial Screen for Material Master
Press Enter& Select the following View Basic Data1,Purchasing, General plant
data/Storage1, Accounting1 & press enter.
Give your Plant, Storage Location & press enter.

2. Fill the below details in Basic data1
Press Enter & Fill the below details in Purchasing
Press Enter & Fill the below details in General plant data/Storage1

3. Press Enter & Fill the below details in Accounting
Press Enter & Save you will get the material number.
Vendor Master Creation -XK01
Initial Screen for Vendor Master
Enter the above detail & press enter

4. Press Enter
Press Enter

5. Press Enter
Press Enter & Save Vendor will be created.

6. Maintain Chapter ID & Vendor Excise Details
Here, material and plant combination shall be entered and material type shall be
defined as Raw Material.
Excise vendor details shall be entered in the vendor master excise additional data.
T code for the above process is J1ID
Chapter ID:
Chapter ID is the number given to a material published by the government The material
involved in manufacturing. out going material, input material. The chapter ID shows
how much excise duty is levied on each material.
Select Chapter ID & Click the Maintain Button & Select new entries create the chapter
id for the material

7. Then Click Material & Chapter ID combination & Click the Maintain Button & Select
new entries
Define material as a Raw Material Press enter & Save.
Then Click Cenvat Determination & Click the Maintain Button & Select new entries
Press enter & Save.
Vendor Excise details:
Click Vendor Excise detail & Click the Maintain Button & Select new entries
Press enter & Save.
Then Click excise indicator for plant & Click the Maintain Button & Select new entries
Press enter & Save.
Then Click Excise indicator for plant & Vendor & Click the Maintain Button & Select
new entries

8. Creation of condition records
(FV11) (this one have no path)
Condition type: select BHE1 AP Excise basic
Select key combination button
Select plant /vendor /material radio button
Enter
Plant: BHEL
Vendor: YOUR VENDOR
Material: YOUR MATERIAL
Amount: 10 (Excise rate & Tax rupees)
Valid from: 01.04.CURRENT YEAR
Valid to: 31.03.CURRENT YEAR
Tax code: V8(This Tax Code Will be created in FTXP)
Save & Select back arrow.
Condition type: select BHE2 AP Excise ECESS
Select key combination button
Select plant /vendor /material radio button
Enter
Plant: BHEL
Vendor: YOUR VENDOR
Material: YOUR MATERIAL
Amount: 2 (Excise rate & Tax rupees)
Valid from: 01.04.CURRENT YEAR
Valid to: 31.03.CURRENT YEAR
Tax code: V8(This Tax Code Will be created in FTXP)
Save & Select back arrow.
Condition type: select BHE3 AP Excise HSEC
Select key combination button
Select plant /vendor /material radio button
Enter
Plant: BHEL
Vendor: YOUR VENDOR
Material: YOUR MATERIAL
Amount: 1 (Excise rate & Tax rupees)
Valid from: 01.04.CURRENT YEAR
Valid to: 31.03.CURRENT YEAR
Tax code: V8(This Tax Code Will be created in FTXP)
Save & Select back arrow.
Condition type: select BHE5 AP VAT
Select key combination button
Select plant /vendor /material radio button

9. Enter
Plant: BHEL
Vendor: YOUR VENDOR
Material: YOUR MATERIAL
Amount: 10 (Excise rate & Tax rupees)
Valid from: 01.04.CURRENT YEAR
Valid to: 31.03.CURRENT YEAR
Tax code: V8(This Tax Code Will be created in FTXP)
Save & Select back arrow.
Creation of Purchase order (ME21N)
In item detail click the invoice tab give your tax code & click the Tax button below
screen will appear.

10. This Tax calculation is based on the tax calculation procedure we created and assigned to
our Country.
Select back arrow button & Save & your PO is created.
GOODS RECEIPT
Goods receipt shall be done with respect to purchase order reference. We need to enter the
purchase order number.
Based on the purchase order system shall fetch the data automatically.
Once item OK checks over, we need to enter the excise invoice no & date.
In this way, Goods receipt and Excise invoice capturing have been done for subsequent
process.
T code for the above process is MIGO – Goods receipt.
In Excise Invoice Tab we have option like below
1)Capture & Post the Excise Invoice
2)Only Capture the Invoice
If we select the option 1 means PART I(Quantity Up dation)& PART II(Accounting
Documents are captured here itself)
If we select the option 2 we need Post the invoice separately in TCODE- J1IEX.
Here i go with the Option 2.
Click the Check button you received message the document is OK & SAVE.

11. Accounting Entries
T code for the above is Goods receipt – Display
In Document info tab CLICK the FI Documents & click accounting document, you
will get the below entries
Finding internal excise number for the excise posting
After Goods receipt done, we need to take the internal excise number generated
during goods receipt process.
T code for the above is Goods receipt – Display
Here, by displaying material document number, we shall find out the internal excise
number.
This internal excise number shall be used for further posting of excise invoice.
After posting MIGO in Display mode you will find the Internal Excise Number
in Excise Invoice tab under Excise item under PART1 tab.

12. Posting Excise invoice
Excise invoice shall be posted by using J1IEX T code. Internal excise number which
has generated during Goods receipt.
Before posting any excise invoice it is advisable to see the simulation of excise
invoice for correct posting of “Cenvat on hold” and “Cenvat avail” part.
Press Enter you will get the following screen.
PART1 Updated in line item level
Simulate Excise invoice:
Before posting the excise invoice, we need to simulate the same. For that the
“Simulate Cenvat” tab shall be used.

13. While posting the excise invoice, the respective part I and part II entries shall be
Updated. The following screen shows the details.
Press Enter.

14. Invoice verification for Raw Material(MIRO)
After excise invoice has been posted, subsequently the vendor invoice shall be
verified. By using T code MIRO, the vendor invoice shall be verified and posted. The
following screen illustrates the details. After invoice verification done, one can pay
the vendor payment.
Before posting invoice need to stimulate below Screen will appear Check
Check your entries & Save Post the invoice.
From the menu Invoice Document Select Display button to view the Accounting
Document.