Recording Availment of Partial CENVAT Credit (Capital Goods) - Excise for Manufacturer

When purchasing raw materials (capital goods), the duty amount can be accounted for as an additional expense on the purchase. Later, there may be a need to account it as CENVAT credit. To adjust the duty amount, a journal voucher has to be recorded with the flag Availment of CENVAT Credit (Capital Goods) .

To record the adjustment entry

1. Go to Gateway of Tally > Accounting Vouchers > F7: Journal .

2. Click J : Stat Adjustment .

3. Enter the Type of Duty/Tax , Tax Unit , and Nature of Adjustment in the Stat Adjustment Details screen.

4. Press Enter .

5. Press Enter to accept the Tax Unit .

6. Debit the required duty ledger and enter the required amount to claim.

7. Credit the required duty ledger.

8. Enter the Narration , if required.

9. Press Enter .

The completed adjustment entry is as shown below:

10. Press Enter to save.