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.