How to raise invoice when manufacturer provide job work

priyanka (accountant) (74 Points)

16 March 2013  

Dear All,

whether ABC corporation. is a registered Importer and registered as a dealer With excise, ABC corporation want to Job work for import raw material and mateiral endoreced in the name of XYZ Ltd. manufacturer co., now XYZ Provides finished goods to ABC corporation :


My query is how to manage accounting by xyz Ltd.:


> How to prepare sale Invoice, would this be normal invoice as prepare other sale Invoice (if yes then supplyer will pay only job work charges but Invoice will prepare with finished goods value + job work charges + All Taxes value


i.e. job work charges -    50000/-

Finished goods value -  20,00,000

All taxes                   -        30,000  )


> On which amount  excise duty will be applicable ?


> Can ABC Corporation decide MRP for the finished product, on which excise duty will be charge on invoice?


> for the transaction we will have to maintain any other records.