6 Processing the Model 340 VAT Report in Spain

This chapter contains the following topics:

6.1 Understanding the Model 340 - Generate VAT Tape File Program

You run the Model 340 - Generate VAT Tape File program to generate a text file that you submit to the government for VAT reporting. The system writes records to the flat file for posted invoices and vouchers and certain other intracommunity VAT transaction for transactions that:

  • Exist in the Taxes table (F0018).

  • Have a GL date that is within the period and year specified in the processing options.

    You can specify either a month or a quarter as the reporting period.

The text file is divided into separate blocks, or record types, of information. The record types included are:

Record Type Description
Record Type 1 (A) The text file includes only one record type 1. This record includes information about the reporting company, the reporting period, and so on.
Record Type 2 (B) (continued in next row of table) The text file includes three types of transactions in record type B:

  1. Record type B.1 (emitted invoice register) includes:

    • Emitted invoices that are not for intracommunity VAT that have a batch type of IB when the value for the Description 2 field of the document type set up in UDC 74S/RL is a value other than P or it doesn't exist in UDC 74S/RL, and the value in the Description 2 field of the tax rate area set up in UDC 74S/RT is a value other than P or it doesn't exist in UDC 74S/RT.

    • Emitted invoices with a batch type of G when the value for the Description 2 field of the document type set up in UDC 74S/RL is C, or the value in the Description 2 field of the tax rate area set up in UDC 74S/RT is C. If the document type doesn't exist in UDC 74S/RL, then the system looks at UDC 74S/RT. If neither UDC table includes the appropriate setup, the transaction is not included.

    • The positive line amount for VAT for a reverse charge transaction.

  2. Record type B.2 (received invoices register) includes:

    • Accounts payable records (received invoices) for which the tax rate area is not set up for special intracommunity transactions and for which the batch type is V (voucher entry) or W (manual checks without match).

    • Received invoices with a batch type of IB or G when either the value for the Description 2 field of the document type set up in UDC 74S/RL is P, or the value in the Description 2 field of the tax rate area set up in UDC 74S/RT is P. The system looks for the document type first. If it doesn't exist in UDC 74S/RL, then the system looks for the tax area at UDC 74S/RT. If neither UDC table includes the appropriate setup, the transaction is not included.

    • The positive line amount and the zero-rate line amount when the Enter the tax rate area line for received with amount 0 processing option is not blank for a reverse charge transaction.
Record Type B (2) (continued)

Note: The reporting of fixed assets subject to prorata VAT is not supported by the JD Edwards EnterpriseOne software. These fixed asset transactions are not included in the Model 340 VAT report. You specify in the Tax Areas - Tag File Maintenance - ESP program whether a tax rate area is used for fixed asset transactions. Transactions that use the specified tax rate areas are excluded from the report.

The system writes the text file generated by the Model 340 - Generate VAT Tape File program to the Text Processor Header table (F007101) and Text Process Detail Table (F007111). You then use the copy function in the Text File Processor program (P007101) to copy the text file to the media that you use to submit the file to the government.

See "Working with the Text File Processor" in the JD Edwards EnterpriseOne Applications Financial Management Fundamentals Implementation Guide.


Note:

To assure that the final text file that you submit does not include errors, you should run the report in proof mode, send the file for validation, correct any errors, then run the report in final mode before sending the final text file.

You can include transactions with a batch type IB or G in the received invoice register of Model 340 VAT report, by completing this setup in the 74S/RL and 74S/RT UDC tables:

Batch Type Conditions
IB or G
  • The document type exists in UDC 74S/RL and Description 2 is equal to P.

  • The document type (DCT) does not exist in UDC 74S/RL, the tax area (TXA1) exists in UDC 74S/RT, and Description 2 is equal to P.

You can include transactions with a batch type IB or G in the emitted invoice register of Model 340 report, by completing this setup in the 74S/RL or 74S/RT UDC tables:

Batch Type Conditions
IB
  • Document type (DCT) exists in UDC 74S/RL and Description 2 is not equal to P.

  • Document type (DCT) does not exist in UDC 74S/RL and tax area (TXA1) exists in UDC 74S/RT with a value which is not equal to P in the Description 2 field.

  • Document type (DCT) does not exist in UDC 74S/RL and tax area (TXA1) does not exist in UDC 74S/RT.
G
  • Document type exists in UDC 74S/RL and Description 2 is equal to C.

  • Document type (DCT) does not exist in UDC 74S/RL, the tax area (TXA1) exists in UDC 74S/RT, and Description 2 is equal to C.


Note:

For both the received and emitted invoices, the address number (AN8.F0018) must be other than 0.

6.1.1 Understanding Model 340 - Generate VAT Tape File Program for Suspended VAT (Release 9.1 Update)

Due to the new Spanish law effective January 1, 2014, that allows deferring the VAT amounts, the Spain Model 340 VAT report includes the details for tax recovered at the time of payment on vouchers received at the time from suppliers that opted for cash basis method.

The Record type 2 (B.2) - Received Invoices records under positions 350-405 now inform VAT according to reclassification date and amount and more details in case of processing suspended VAT records.

When you run the Spain Model 340 VAT report in final mode for reclassified suspended vouchers, the system selects vouchers from the F704200 table based on reclassification date. Then, it groups documents by tax area, tax explanation code, and reclassification number. Then, the system updates the Suspended VAT Declaration Mark table (F74S342) for reclassified suspended VAT operations already paid or payable on or before December 31st of the next year. For suspended VAT records, the Spain Model 340 VAT report selects vouchers in this way:

  • In the period the voucher is received, it selects records with voucher date, displays deductible tax amount as 0, and does not provide payment details.

  • In the period the voucher is reclassified, it selects records with reclassification date, displays deductible tax amount equal to the reclassified tax amount, and provides payment details.

  • If voucher is received and reclassified in the same period, the system reports it only once.

6.1.2 What You Should Know About Intracommunity Transactions and Reverse Charges

You should be familiar with the following information regarding intracommunity transactions and reverse charges:

Topic Description
Intracommunity transactions Invoices related to intracommunity services transactions. These are stored in the Tax areas - Tag Table EMEA - S (F744008) table.
Reverse Charge A transaction is a reverse charges transaction, if it satisfies the following conditions:

  • Tax rate area is set up in the F744008 table.

  • The transaction is not a special intracommunity transaction as set up in the Tax Areas - Tag File Maintenance - ESP program (P74S408).

  • Either the value for the Description 2 field of the document type set up in 74S/RL is X, or the value in the Description 2 field of the tax rate area set up in 74S/RT is X. During the process, the system searches for the document type in 74S/RL. If the document type does not exist in the 74S/RL UDC table, then the system searches for the tax rate area in the 74S/RT UDC.

Transactions that you identify as intracommunity transactions in the Tax Areas - Tag File Maintenance program (P744008) but not identified as special transactions in the Tax Areas - Tag File Maintenance - ESP program (P74S408) are included in the emitted invoices and received invoices section of the Model 340 VAT report.

The received invoices register includes the positive line amount and the zero-rate line amount for VAT for a reverse charge transaction. The emitted invoices register includes a positive line amount for VAT for a reverse charge transaction.
Special intracommunity transactions Transactions that exist in the F744008 and F74S408 tables and that do not have the value X in the Description 2 of either 74S/RL or 74S/RT UDC tables, are considered as special intracommunity transactions. Special intracommunity transactions are stored in the intracommunity transactions register and not included in the emitted invoices or received invoices registers.
Processing options for processing reverse charges You use processing options for reverse charges to specify which tax rate line in the Tax Areas table (F4008) the system uses to get the amounts from the Taxes table (F0018) to write to the fields for the tax in the received invoices and emitted invoices registers.

6.1.3 What You Should Know About the Model 340 - Generate VAT Tape File Program

Before you generate the text file, you should be familiar with this information:

Topic Description
Compatibility with the VAT Report by Tax Rate/Areas program (R74S450) You must report the same transactions in the annual VAT Report by Tax Rate/Areas report as you report in the Spain Model 340 VAT report. The Model 340 VAT report enables you to include general ledger transactions that the VAT Report by Tax Rate/Areas report does not include.

If you set up your system to include the additional general ledger transactions in the Model 340 VAT report, you must customize your VAT Report by Tax Rate/Areas report to include those transactions. Oracle does not support customizations to your VAT Report by Tax Rate/Areas report.
Report output In addition to the text file, the Model 340 - Generate VAT Tape File program generates a PDF file that you can use to review the transactions. You can run the report in proof mode, review the PDF file, correct errors, and then run the report in final mode to update tables.

The PDF file includes the information that appears in the Record Type 1 block of information, such as the reporting period, declarant name and NIF (Numero de Identificacion Fiscal), and so on.

The report also lists the totals for the emitted and received invoices, and the special intracommunity VAT transactions, as well as a warning if the number of records exceeds the maximum allowed number for electronic transmissions.

Note: If the records exceed 5,000,000, you must submit the file using a DVD-R or DVD+R.
Currency All amounts in the text file are retrieved from domestic amount fields. The currency is the euro.
Formatting of values in the text file Numeric fields are adjusted (aligned) to the right and padded with zeroes to the left. Numeric values are displayed without signs (+ or −). If the system does not write a value to a numeric field, the system completes the position of the field with zeros.

Alphabetic and alphanumeric fields are adjusted (aligned) to the left and padded with blanks to the right. The text appears in capital letters and without accent marks, except that the characters Ç and Ñ are included. Alphabetic and alphanumeric fields for which the system does not write values are left blank.
System actions in proof, reprocess, and final modes The system uses values for the processing mode and for the type of submission (original, complementary, or substitute) to determine how to process records.

In final mode, if the report finished without errors or warnings, the system:

  • Saves the data for the processed transactions to the V.A.T. Declaration Mark File table (F74S340).

  • Updates the declaration number in the F74S340 table.

You run the report in reprocess mode only if the report, while running in final mode, did not finish due to technical issues.
Errors and warnings The system reports errors and warnings in the Work Center. The PDF report includes text referring you to the Work Center. The system codes the text file in the F007101 and F007111 tables with the code for corrupt/outbound if the report ends with an error and codes the text file with the code for unprocessed if the report ends with a warning.

If the tax rate area line processing option for a received invoice with tax amount equal to zero has tax rate other than 0, then the report generates a warning, indicating that this processing option must include a tax rate equal to 0.
Exclusions The Model 340 - Generate VAT Tape File program does not process fixed asset transactions subject to prorate VAT.

6.2 Prerequisites

Before you perform the task in this section:

  • Use the Tax Areas - Tag File Maintenance - ESP program (P74S408) to specify additional information that is required for the Model 340 VAT report.

  • Use the Address Book - Additional Information - ESP program (P74S101) to specify additional address book information that is required for the Model 340 VAT report.

6.3 Running the Model 340 - Generate VAT Tape File Program

Select Tax Declaration Processes - Spain (G74S80), Process 340 — Spain, Model 340 - Generate VAT Tape File.

6.4 Setting Processing Options for Model 340 - Generate VAT Tape File (R74S340)

Processing options enable you to specify default processing values for programs and reports.

6.4.1 Process (Release 9.1 Update)

1. Report By Country
Country for Company Information

Enter a value from UDC table 00/EC to specify the country for which you want to run the report. The system retrieves company information with address number defined in the Company Address Number for Tax Reports program (P00101) for the country that you specify in this processing option. If you leave this field blank, the system retrieves the company information from address book related to company in the Companies program (P0010) and the system does not enable the country processing.

Tax Rate/Area Processing

Specify whether to process tax rate/areas for the country specified in the Report By Country processing option. Values are:

Blank: Prevent tax rate/areas additional filtering.

1: To enable an additional filter excluding the tax rate/areas which were not identified for that country in the Alternate Tax Rate/Area by Country program (P40082).

6.4.2 Presentation

Enter the Company who is sending the declaration.

Specify the address book number of the company that is sending the declaration report. You must complete this processing option.

Enter the Declaration Year (4 Digits).

Specify the 4–digit declaration year. You must complete this processing option.

Enter the Declaration Period (Required)

Enter a value from the Declaration Period (74S/DP) UDC table to specify the declaration period. You can specify a code for a month or a quarter. You must complete this processing option. Values are:

01: January

02: February

03: March

04: April

05: May

06: June

07: July

08: August

09: September

10: October

11: November

12: December

1T: First quarter

2T: Second quarter

3T: Third quarter

4T: Fourth quarter

Declaration Type

Enter a value from the Declaration Period (74S/DT) UDC table to specify if the declaration is the current, complementary, or substitute declaration. Values are:

Blank: Current

C: Complimentary. Select this value if the declaration is an addendum to the original declaration for the period.

S: Substitute. Select this value if the declaration is a substitute for the original declaration.

Enter previous Declaration Number

Enter the previous declaration number for the period if you specified that the declaration type is complementary or substitute.

Media Type

Enter a value from the Media Type (74S/MT) UDC table to specify how you submit the declaration report. Values are:

C: You submit the declaration on a DVD-R or DVD+R.

T: You submit the declaration electronically.

Enter a consecutive sequential number to assemble the Declaration Number

Enter the declaration number to assign to the report. You must use consecutive sequential numbers.


Note:

The system does not validate the value that you enter. You must ensure to enter a consecutive sequential number.

Starting Sequence Number for Records

Specify the starting number for the sequential numbering of the records. You can enter any positive number. If you leave this processing option blank, the system uses 1 as the starting number.

6.4.3 General

Mode

Specify the mode in which you generate the declaration. Values are:

Blank: Proof mode. The system processes the records and generates a PDF report and text file, but does not assign the declaration number.

1: Final mode. The system processes the records and generates a PDF report and text file, and assigns the declaration number. It also populates the V.A.T. Declaration Mark File table (F74S340) with information about the transactions processed and the declaration number.

(Release 9.1 Update) For reclassified suspended VAT operations already paid or payable on or before December 31st of the next year, the system updates the F74S342 table.

2: Reprocess mode. Regenerate a text file for a declaration that ran in final mode, but did not complete the process due to technical issues.

Line Number to get the Contact Name

Specify the line number from the Who's Who record that is associated with the address book of the declaring company. For example, if the person to list as the contact is listed on the second line of the Who's Who record, the system prints the information for that person as the contact name in the VAT report. If you do not complete this processing option, the system uses the information from line 1 of the Who's Who records.

VAT Electronic Code

Enter the 16-character code that is generated by the Spanish Fiscal Authority (AEAT [Agencia Estatal de Administración Tributaria]).

Cash Amount Received Limit

This processing option allows the user to define the threshold amount for cash amount received per customer or supplier. If left blank, the system uses 6000 EUR as value by default. If the accumulated amount for a customer per year does not reach this configured value, the Amount Received in Cash value is not informed.

6.4.4 Taxes

Tax Rate line number for Intra-Community Vat

Enter the line number for the tax rate area that corresponds to intracommunity VAT. You set up the tax rate areas in the Tax Rate/Areas program (P4008). Values are:

Blank: Intracommunity VAT is set up on the second line of the tax rate area.

1: Intracommunity VAT is set up on the third line of the tax rate area.

6.4.5 Reverse Charge

When you include reverse charges in the Model 340 VAT report, the system must generate a line with a positive amount in the received invoices register and a line with a positive amount in the emitted invoices register. An additional line with a zero amount is included in the received invoices register. You use these processing options to specify which tax rate line in the Tax Areas table (F4008) and the system uses to get the amounts from the Taxes table (F0018) to write to the fields for the tax in the received invoices and emitted invoices registers.

Enter the tax rate area line for received with amount 0.

Specify the tax rate area line that the system uses to write the zero-amount line to the register. You must enter the number for the line that you have set up for 0 percent tax. Values are:

  • 1: System uses the tax rate area line TXR1.F0018 and STA1.F0018 to write the zero amount line to the register.

  • 2: System uses the tax rate area line TXR2.F0018 and STA2.F0018 to write the zero amount line to the register.

  • 3: System uses the tax rate area line TXR3.F0018 and STA3.F0018 to write the zero amount line to the register.

  • Blank: The system does not print the zero amount line.

The system generates a warning message if the value that you enter is not associated with a zero-rate line.

Enter the tax rate area line for received with percent (%).

Specify the tax rate area line for which the system writes a positive amount to the tax fields in the received invoices register. You must enter the number for the line that you have set up to generate a positive value.

  • 1: System uses the tax rate area line TXR1.F0018 and STA1.F0018 to write the positive amount line to the register.

  • 2 or blank: System uses the tax rate area line TXR2.F0018 and STA2.F0018 to write the positive amount line to the register.

  • 3: System uses the tax rate area line TXR3.F0018 and STA3.F0018 to write the positive amount line to the register.

Enter the tax rate area line for emitted with percent (%).

Specify the tax rate area line for which the system writes a negative line to the tax fields in the emitted invoices register. You must enter the number for the line that you have set up to generate a negative value.

  • 1: System uses the tax rate area line TXR1.F0018 and STA1.F0018 to write the negative amount line to the register.

  • 2: System uses the tax rate area line TXR2.F0018 and STA2.F0018 to write the negative amount line to the register.

  • 3 or blank: System uses the tax rate area line TXR3.F0018 and STA3.F0018 to write the negative amount line to the register.