Accounting for Retained Goods (Excise for Manufacturer)

When a portion of goods is retained by the manufacturer for self-consumption (for example: testing), the goods are treated by the excise department in the same way as goods that are sold to a third party.

Therefore, for goods being retained, you need to:

1.    Record a sales invoice for self.

2.    Record a payment voucher to pay duty for the retained goods.

To record a sales invoice for self

1.    Go to Gateway of Tally >  Accounting Vouchers > F8: Sales.

2.    Enter Ref. number.

3.    Select the company's name in the field Party's A/c Name.

Note: Create a party ledger for the company under Sundry Debtors.

4.    Select the Sales Ledger.

5.    Select the Name of Item from the List of Stock Items.

6.    Select the duty ledger.

The completed sales invoice screen appears as shown below:

7.    Press Enter to save.

To record a payment voucher to pay duty for the retained goods

1.    Go to Gateway of Tally > Accounting Vouchers > F5: Payment.

2.    Select Cash as the Account.

3.    Select the Customs Duty ledger.

4.    Enter the Amount.

The completed payment voucher screen appears as shown below:

5.    Press Enter to save.