India Localization Interview Questions - Excise and VAT

1) How many excise registers are there in India localization? What are they?

2) When the shipment of finished goods is done, does it affect PLA register or RG23 Part II register?

3) Excise Invoice number is not generated for a given shipment. Explain any 5 reasons which could lead to this scenario/issue.

5) In RG 23 Part II register, for every receipt there is a debit amount and equal credit amount i.e. the CENVAT credit is getting reversed. Have you faced such a scenario? If yes, what could be the possible reason for this?

6) Is Excise Invoice Generation Setup mandatory in India Localization?

7) What are the difference between 'Excise Flag' and 'CENVAT Flag' while defining Items?

8) What set-up determines whether an organization is Manufacturing or Trading organization?

9) Can we do PO receipt of an item with classification FGIN in Excise Organization? Can we do Misc. Receipt (RG Update)? If no, what is the alternative?

10) Explain three transactions in Oracle which effect RG1 register?

11) Have you faced a scenario where the Excise/VAT invoice is there in Shipment Localized form but not available in Transaction localized in AR? Is it possible to rectify this? Does this kind of issue happen even in case of Billy Only lines (where shipment is not required)? How about RMA transaction?

12) In trading organization, receipts can be matched to shipments. Which form/ report gives details of the receipts matched to shipments? Which India Localization table records this information?

13) From India localization perspective, what needs to be checked before 'Transferring accounting entries' to GL from AR? Is there any tax interface table to be checked?

14) What is meant by RG consolidation? Otherwise referred to as excise settlement?

15) Is it possible to carry-forward negative PLA balances while doing RG Consolidation? If no, is there a work-around? Is is possible to carry-forward positive PLA balances?

16) Can you explain the concept of 'Supplementary Invoices'? What are its uses?

17) Is India Localization VAT settlement process used in your current project? Are there any limitations in the current design? How was the requirement met?

18) What are the two stages where the VAT Credit can be claimed (in PO Receipts process)?

19) Are there any India Localization entries created when 'Ship Confirm' of a SO is done? If yes, there entries are created with the source 'Order Entry' in GL? Or with a different journal source?