(ITA) Processing VAT for Italy

This chapter provides overviews of Italian value-added tax (VAT) processing, deferred invoices, and summary VAT, and discusses how to:

• Enter VAT-only vouchers and for the customs authority (Bolle doganali).

• Process annual VAT reports.

• Print annual VAT control reports.

• Revise annual VAT information.

• Generate the year-end VAT tape.

• Print annual VAT reports for customers and suppliers.

• Process suspended VAT.

• Generate suspended VAT amounts.

• Work with the VAT ceiling.

• Enter VAT ceiling information.

• Monitor the VAT ceiling.

Understanding Italian VAT Processing

If you work with Italian VAT, you should understand these terminology and principles:

VAT Returns

VAT returns must be completed for each month on a special form and filed with the local tax office on the 20^th of the month.

You must pay any excess output VAT over input VAT at the time of filing.

VAT Exemptions

To be exempt from VAT, the business must work within these guidelines:

• Goods must be physically moved to another EU-member country.

• Customers must have VAT identification codes.

• Invoices must display applicable VAT numbers.

• Goods cannot be of a special category, such as vehicles.

Understanding Deferred Invoices and VAT

A VAT law (DL 29/9/97 n. 328) that has been in effect in Italy since September, 1997 concerns deferred invoices in which the shipment date is prior to the invoice date. For deferred invoices, the VAT payable on sales should be declared with reference to the shipment date, not the invoice date. An example of deferred invoices is a product that is delivered daily and invoiced monthly.

The two types of deferred invoices are:

• The invoice date and shipment date are in the same reporting period, but the shipment date is prior to the invoice date.

• The invoice date and the shipment date are not in the same reporting period, and the shipment date is prior to the invoice date.

The second type of deferred invoice impacts summary VAT reporting. The VAT should be accounted for in the Print VAT Summary Reports (R74093) for the month of the shipment if that month is prior to the month of the invoice. To accomplish this task, the system evaluates the shipment date of a sales order to determine if it is prior to the invoice date. This evaluation is performed during the Sales Update process (R42800) through the use of a country server. If the shipment date is prior to the invoice date, the system updates the Service/Tax Date field in the F03B11.

When you run the Print VAT Summary Reports and select transactions by tax rate, the system uses the service/tax date, rather than the GL date, for deferred invoices.

Understanding Summary VAT

In Italy, the government requires businesses to report VAT on accounts receivable and accounts payable transactions. You can meet this reporting requirement by assigning a register type and class to each transaction.

Assigning register types and classes lets you group VAT information on the summary VAT report. The summary VAT report groups information based on register class, then register type, and then tax rate. For example, the information that is grouped under the registration class for sales might include register types for sales that are VAT-taxable and sales that are VAT-exempt. Information within those register types is summarized by tax rate.

To report summary VAT, you must complete these steps:

1. Set up the VAT Register Class (74/01) and VAT Resister Type (74/02) user-defined codes (UDCs).

2. Use the Register Type & Class Setup program ( P74091) to link document types, tax rates, and registers.

3. Use the VAT Balances Revisions program (R74092) to establish an initial VAT balance.

When you post invoices and vouchers, VAT information is written to the F0018. You can then run the summary VAT report, which retrieves information from table F0018.

See (ITA) Establishing an Initial VAT Balance.

Entering VAT-Only Vouchers for the Customs Authority (Bolle doganali)

This section provides an overview and discusses how to set up Bolle Doganali.

In Italy, goods imported from outside the EU are subject to VAT. The Italian Customs Authority assesses VAT on goods imported from outside the EU at the relevant Italian domestic rate. To pay the required VAT, set up the Customs Authority as an address book record with a person/corporation code of 5 (customs authority). You can pay this type of VAT by creating VAT-only vouchers for the Customs Authority.

Normally in Italy, different document types are used for VAT-only vouchers and standard vouchers. The same next numbers are used for both types of vouchers, and both are printed sequentially on the AR - AP IVA Tax Report - Italy (R004051). Alternatively, you can print VAT-only vouchers separately on the AR - AP IVA Tax Report - Italy and with a separate numbering scheme. To do this procedure, set up next numbers by document type and print the AR - AP IVA Tax Report - Italy by document type.

Set up a special version of the AP Standard Voucher Entry program (P0411) to process VAT-only vouchers. Use the processing options for the program to default a specific document type for VAT-only vouchers.

Note. You do not have to set up a special version of the Voucher Entry program if the company decides to use the same next number (Same As) for VAT-only vouchers and standard vouchers.

When you enter VAT-only vouchers for AP, use the tax explanation code of VT. You can enter the tax amount with the gross amount that is equal to the tax amount for vouchers with a tax explanation code of VT.

You enter two types of VAT-only vouchers:

• Vouchers with VAT payment by Carrier/Customs Agency.

• Vouchers with VAT payment directly to the Customs Authority.

For VAT-only vouchers with VAT payment by carrier or customs agency, the entries are posted as:

For VAT-only vouchers with VAT payment directly to the Customs Authority, the entries are posted as:

Processing Annual VAT Reports

This section provides an overview of the annual VAT reports process and discusses how to:

• Create the year-end VAT table.

• Set processing options for Annual VAT File Build - Italy (R00911).

Understanding the Annual VAT Reporting Process

Businesses in Italy are required to complete annual VAT reports. The report can be submitted to the tax authorities on paper or electronically, but it must conform to the legally required format.

Annual VAT reports include summarized VAT information from customer invoice and supplier voucher records. The information must be summarized by the supplier or customer tax identification number. The system creates a cumulative record for customers or suppliers who have the same tax identification number, as in the case of a parent businesses with subsidiaries.

The system stores summarized VAT information by supplier and customer in the F00900. Table F00900 is based on the F0018, which includes all of the detailed VAT information for invoices and vouchers.

You can distinguish supplier vouchers and customer invoices in the Taxes table by the Batch Type. You distinguish supplier vouchers and customer invoices in table F00900 by Information Type.

The system uses VAT codes (00/IV) to determine whether amounts are considered taxable, nontaxable, or excluded. Records that include VAT codes that are not defined on the table are considered non-VAT. The system does not include these records in table F00900.

Table F00900 includes this information for each customer and supplier:

• Total number of invoices or vouchers.

• Total taxable amount.

• Total tax amount.

• Total nontaxable amount.

• Total nontaxable 8 comma 2 (suppliers only).

You can update the summarized VAT information in the table by using a batch program or by manually entering each record. You can also revise summarized VAT information.

Creating the Year-End VAT Table

To create the records in the F00900, run the Annual VAT File Build - Italy program (R00911). The system summarizes the information in the F0018 by invoice or voucher, based on the current year that you define in the processing options. You can run this program once a year or as many times as you need to update the records in table F00900.

Access Annual VAT File Build from the Italian VAT Processing menu (G00213).

Set Processing Options Annual VAT File Build - Italy (R00911)

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

Year-End VAT

Currency

Printing Annual VAT Control Reports

This section discusses how to:

• Run the Annual VAT Control Reports program.

• Set processing options for Annual VAT Control Reports (R00910).

Running the Annual VAT Control Reports program

Print the Annual VAT Control Report to review a paper copy of the information in the F00900 before you transfer the Annual VAT Report to tape or print the Annual VAT Report on special forms.

You can use the control report to simulate figures as they will be printed on the special form or on a tape. You can also use the report to verify that the amounts in table F00900 correspond to the amounts in the F0018.

Access the Annual VAT Control Reports from the Italian VAT Processing menu (G00213).

Set Processing Options for Annual VAT Control Reports (R00910)

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

Scaling Factor

Revising Annual VAT Information

This section discusses how to revise annual VAT information.

Form Used to Revise Annual VAT Information

Revising Annual VAT Information

In exceptional cases, you might need to revise existing records or create new records in the F00900.

Access the Yearly VAT Revision form.

Generating the Year-End VAT Tape

This section discusses how to:

• Run the Year-end VAT Output File Generation - Italy program.

• Set processing options for Year-end VAT Output File Generation - Italy (R00918).

Running the Year-end VAT Output File Generation - Italy Program

Run the Year-End VAT Tape Creation program (R00918) to transfer information from the F00900 table to a file that you can copy to a tape in the format that is required by tax authorities in Italy. If you decide to transfer the information to tape, you do not have to print the special form reports for suppliers and customers.

From the Italian VAT Processing menu (G00213), select Year-end VAT Output File Generation - Italy.

Setting Processing Options for Year-end VAT Output File Generation - Italy (R00918)

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

R00918

Printing Annual VAT Reports for Customers and Suppliers

This section provides an overview of printing annual VAT reports for customers and suppliers and discusses how to:

• Run the AR Annual Report Customer Format - Italy.

• Set processing options for AR Annual Report Customer Format - Italy (R00916).

• Run the AP Annual Rpt Supplier Format - Italy Report.

• Set processing options for AP Annual Rpt Supplier Format - Italy (R00917).

Understanding Printing Annual VAT Reports for Customers and Suppliers

You can submit print copies of the annual VAT reports for customers and suppliers. You do not have to print paper copies of the annual VAT reports if you submit the reports on tape. To print copies of the annual VAT reports, run the AP Annual Rpt Supplier Format - Italy program (R00917) or the AR Annual Report Customer Format - Italy program (R00916).

The annual VAT reports for suppliers and customers includes this information:

• Supplier or customer name.

• Street.

• Postal code.

• City.

• Province.

• Tax identification number.

• Total taxable amount of vouchers or invoices for the current year.

• Total taxable amount of vouchers or invoices for the previous year.

• Total tax amount of voucher or invoices for the current year.

• Total tax amount of voucher or invoices for the previous year.

• Total nontaxable amount of vouchers or invoices for the current year.

• Total nontaxable amount of vouchers or invoices for the previous year.

Running the AR Annual Report Customer Format - Italy

From the Italian VAT Processing menu (G00213), select AR Annual Report Customer Format - Italy.

Set Processing Options for AR Annual Report Customer Format - Italy (R00916)

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

Dates

A/B

Header

Running the AP Annual Rpt Supplier Format - Italy Report

Access AP Annual Rpt Supplier Format - Italy from the Italian VAT Processing menu (G00213).

Setting Processing Options for AP Annual Rpt Supplier Format - Italy (R00917)

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

Date

Address

Tax Information

Processing Suspended VAT

This section provides an overview of suspended VAT and discusses how to process suspended VAT.

Understanding Suspended VAT

Italian law allows businesses that sell goods to certain government-owned or controlled institutions, such as hospitals and schools, to defer the booking of VAT payable until receipt of complete or partial payment for the invoice. Instead of booking VAT to an active VAT payable account at the time of the sale, the business must hold the VAT in suspense until payment is received. This deferment of VAT payable is called suspended VAT. Typically, invoices that are subject to suspended VAT are for large amounts that are paid in installments over a long period of time.

In Italy, businesses report and remit VAT to the government on a periodic basis. The amount that a business owes is calculated as the difference between the VAT payable (generated in the JD Edwards EnterpriseOne Accounts Receivable system) and the VAT recoverable (generated in the JD Edwards EnterpriseOne Accounts Payable system) amounts.

You must report on suspended VAT, in addition to VAT payable and VAT recoverable. When the suspended VAT is realized, it becomes VAT payable and is reported as such.

Tax Rate Areas for Suspended VAT

To process suspended VAT, you must set up a tax rate with a special GL Offset to post the suspended VAT amounts to a suspense account.

When you receive payment and run the Suspended IVA - Receipts/Rebate Control Reports program (R74076C), the system uses the tax rate for VAT payable to reclassify the suspended VAT amount and to post the recognized VAT to a VAT payable account.

For example, you could set up these tax rates for suspended and payable VAT:

• Tax rate SOSP20 for suspended VAT with a GL offset of SOSP and a tax rate of 20 percent.

• Tax rate IVA20 for VAT payable with a GL offset of VATB and a tax rate of 20 percent.

You must set up the RTxxxx automatic accounting instructions (AAIs) for the GL offsets. For the current example, you could set up RTSOSP for object account 1241 (a suspended VAT account), and RTVATB for object account 4431 (a VAT payable account).

Processing Suspended VAT

Use JD Edwards EnterpriseOne localized software to:

• Identify which transactions are subject to suspended VAT.

• Calculate and print VAT payable at the time of invoicing.

• Hold the VAT payable in a suspense account until payment is received.

• Generate the appropriate accounting transactions when payment is received.

• Report on both VAT payable and suspended VAT.

To process suspended VAT for Italy:

1. Enter invoices that are subject to suspended VAT with a special tax rate/area (for example, SOSP20) and a special document type (for example, Q9) for suspended VAT.

2. Post the invoices.

   The tax amount is posted to a special suspended VAT account.

3. Enter receipts, selecting the invoices that are subject to suspended VAT and have received payment.

4. Post the receipts.

5. Run the Suspended IVA - Receipts/Rebates Control Reports program (R74076C) to create journal entries to reclassify the suspended VAT amount as a recognized VAT in a VAT payable account.

These steps explain the suspended VAT process:

1. Setup

You must set up:

• User-Defined Codes.

• Document Type (00/DT) and Document Type - Invoices Only (00/DI).

  Code	Description
  Q9	Suspended VAT
  Q7	Suspended VAT - Recognized

• Suspended VAT Document Types (74/DT).

  Code	Description
  Q9	Q7

• Suspended VAT Rates (74/SP).

  Code	Description
  SOSP20	IVA20

• Tax Rates/Areas (P4008).

  Tax Rate/Area	GL Offset	Tax Rate
  IVA20	VATB	20 percent
  SOSP20	SOSP	20 percent

• Automatic Accounting Instructions (AAI) (P0012).

  Item Number	Object Account
  RTVATB	4431 (VAT Payable)
  RTSOSP	1241 (VAT Suspense)

2. Customer Ledger Inquiry (P03B2002)

3. General Ledger Post Report (R09801)

For the R09801 program:

• Set processing options to post VAT amounts.

• Verify that the VAT amount was posted to the object account designated in AAI RTSOSP.

4. Receipts of Payment

5. General Ledger Post Report (R09801)

Run the post program.

6. Suspended IVA - Receipts/Rebate Control Report (R74076C)

This report:

• Identifies paid Q9 documents.

• Creates tax file records for paid Q9 documents.

• Creates accounting transactions for taxes payable on those documents.

Euro Considerations for Suspended VAT

The F0018 does not have its own euro conversion program. The records in table F0018 are converted when you run the euro conversion programs for the F03B11, the F0411, and the F0911 tables.

When you run the euro conversion program for the F03B11 table, the system converts related records for the suspended VAT document type (Q9) in the Taxes table as long as the tax amount field (RPSTAM) is populated in the Customer Ledger.

When you run the euro conversion program for the F0911 table, the system converts related records for the suspended VAT-recognized document type (Q7) in the Taxes table.

Multicurrency Considerations for Suspended VAT

The Suspended IVA - Receipts/Rebate Control Reports program (R74076C) was updated to create journal entries with the suspended VAT-recognized document type (Q7) in the CA ledger as well as in the AA ledger when payment is received for an invoice with the suspended VAT document type (Q9).

Generating Suspended VAT Amounts

This section provides an overview of generating suspended VAT amounts discusses how to:

• Run the Suspended VAT Generation program.

• Set processing options for Suspended VAT Generation (R74076C).

Understanding the Suspended VAT Generation

You must identify and account for customer payments that are subject to suspended VAT. To do this procedure, run the Suspended VAT Generation program. When you run this program, the system:

• Selects only records in the F03B11 that are subject to suspended VAT and that do not have corresponding records in the F743B14I. Records in table F03B11 that are subject to suspended VAT have a specific user-defined document type.

• Creates a record in the F743B14I.

• Creates an internal document in the F0018 with a specific user-defined document type for suspended VAT-recognized.

  The program uses the values in UDC (74/DT) to determine the association between the suspended VAT document type and the suspended VAT-recognized document type. The new document uses the tax code to recognize VAT, based on the tax rates and areas that you set up for the system. The program uses the values in UDC (74/SP) to determine the association between the suspended VAT code and the recognized VAT tax code.

• Creates journal entries in the F0911. The journal entries debit the VAT suspense account and credit the VAT payable account.

The system also prints an internal control document that you can use as an audit trail of the new, system-generated entries in the F0018. The control document includes this information:

• Invoice header with supplier address.

• Identifier of the internal document (type, number, and GL date).

• Suspense invoice reference (type, number, and GL date).

• Totals by VAT rate, taxable amount, and tax.

• Internal document totals.

Data Selection

Use data selection on the Suspended IVA Generation - Receipt/Rebate Control - Italy program to select only those documents with the suspended VAT document type.

Prerequisites

Before you complete the tasks in this section:

• Define suspended VAT and suspended VAT-recognized document types in UDC (00/DT) and UDC (00/DI).

• Cross-reference the suspended VAT and suspended VAT-recognized document types in UDC (74/DT).

• Set up a tax rate/area for suspended VAT.

  See (ITA) Establishing an Initial VAT Balance.

• Cross-reference the suspended VAT and VAT payable tax rates on UDC (74/SP).

• Set up automatic accounting instruction RTxxxx for the GL offset on the suspended VAT tax rate.

• Link the customers to the suspended VAT GL Offset account by assigning the suspended VAT tax rate to them.

  See Entering Customer Master Records.

• Post all outstanding transactions.

Running the Suspended VAT Generation Program

Access the Suspended VAT Generation from the Italian Tax Processing menu (G002131).

Setting Processing Options for Suspended VAT Generation (R74076C)

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

As Of Date

GL Date

Doc Generation

Ledger Type

Versions

See Also

R004051 - Monthly VAT Report

Working with the VAT Ceiling

This section provides an overview of the VAT ceiling requirements and eligibility, and discusses how to:

• Run the Calculate VAT Ceiling program.

• Set processing options for Calculate VAT Ceiling (R74412).

Understanding the VAT Ceiling

The VAT ceiling is an annual limit that exempts a company from VAT on the portion of their invoices that is below the limit. Companies that sell more than a specific percentage of their total produce outside of their own country are eligible for the VAT ceiling. Companies that are eligible for the VAT ceiling should notify suppliers not to include VAT on their invoices. When the year-to-date total of the company's invoices reaches the VAT ceiling, the company should notify its suppliers to begin including VAT again.

In some countries, such as Italy, the VAT ceiling limit, as well as eligibility requirements, is set by the government.

Use the JD Edwards EnterpriseOne localized solution for the VAT ceiling to:

• Determine eligibility for the VAT ceiling.

• Calculate the VAT ceiling annual limit.

• Monitor the use of the VAT ceiling during the year.

• Produce a monthly report, which you can use to complete a legal register, if necessary.

• Send a workflow message to the appropriate manager when the VAT ceiling amount that is available at the end of a month is within a threshold percentage that you define.

  The manager can then notify the suppliers to include VAT on their invoices.

  Note. To use JD Edwards EnterpriseOne VAT ceiling features to meet legal requirements, you must use both the JD Edwards EnterpriseOne Accounts Payable and JD Edwards EnterpriseOne Procurement systems. If you are not using the JD Edwards EnterpriseOne Procurement system, you can use a processing option on the Monitor VAT Ceiling - Italy program (R74416) to bypass the JD Edwards EnterpriseOne Procurement system. However, if you bypass the JD Edwards EnterpriseOne Procurement system, the system gives only an estimate of the VAT ceiling use during the year. The amounts are not legally acceptable and should not be entered in a legal VAT ceiling register.

If the organization is divided into different companies within the JD Edwards EnterpriseOne system, you should consolidate those companies under a parent company for purposes of the VAT ceiling. You can use the Default Company processing option on the Calculate VAT Ceiling-Italy program (R74412) and the Company processing option on the Monitor VAT Ceiling-Italy program (R74416) to enter the name of the parent company. If you do not complete these processing options, the system does not consolidate companies and calculates the VAT ceiling for each company within the system.

This flowchart illustrates the VAT ceiling process:

Vat ceiling process

Italian VAT Ceiling Requirements

Companies in Italy that sell more than 10 percent of their total produce outside of Italy can purchase goods and services from their suppliers without having to apply VAT within the limits of the VAT ceiling amount. The VAT ceiling amount is calculated on an annual basis and corresponds to the amount of export operations (goods and services) sold by the company during the previous year.

Legal Reporting Requirements

Italian legislation requires that you enter data in a legal register within the end of the second month following the month on which you are reporting. For example, you can obtain these data by running the Monitor VAT Ceiling-Italy report (R74416) for the month of May at the end of July, run it again for the month of June at the end of August, and so on.

A supplier can send you a voucher by the 20th of the month following the month in which the goods were delivered. For this reason, you should wait until the last days of the two-month-long grace period for registering VAT ceiling data to run the Monitor VAT Ceiling-Italy report in final mode so that you have the most accurate data that is possible. If you wait until this time to run the report in final mode, the Received not vouchered amount should equal zero.

Determining the VAT Ceiling

You can run the Calculate VAT Ceiling report at the beginning of each year to determine if you are eligible for the VAT ceiling, based on the previous year's sales, and to record the VAT ceiling limit for the coming year.

To determine the eligibility, the system uses the information in the F03B11 to perform these calculations:

• The gross amount for all of the invoices between the dates that you specified in the processing options.

• The gross amount for all of the foreign invoices between the dates that you specified in the processing options.

• The percentage of all of the foreign invoices.

The system produces a report that indicates whether you are eligible for the VAT ceiling, based on the percentage of foreign invoices.

If you are eligible for the VAT ceiling, the system calculates the initial VAT ceiling limit. The initial VAT ceiling limit is the total amount of vouchers that will be exempt from VAT.

The system stores the initial VAT ceiling limit in the F74413.

Running the Calculate VAT Ceiling Program

Access the Calculate VAT Ceiling program from the Italian VAT Processing menu (G00213).

Setting Processing Options for Calculate VAT Ceiling (R74412)

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

Display

Use these processing options to specify the GL date range of the invoice records to examine in determining VAT ceiling eligibility.

Default

Use these processing options to specify default values to use in determining VAT ceiling eligibility.

Entering VAT Ceiling Information

This section discusses how to add the VAT ceiling information manually.

Form Used to Add VAT Ceiling Information

Adding VAT Ceiling Information

Rather than having JD Edwards EnterpriseOne software calculate the VAT ceiling automatically, you can manually add VAT ceiling information. For example, if you are converting to JD Edwards EnterpriseOne software mid-year and you know the VAT ceiling limit, you can enter it manually.

Access the VAT Ceiling Revision form.

Monitoring the VAT Ceiling

This section provides an overview of the VAT ceiling program and discusses how to:

• Run the Monitor VAT Ceiling program.

• Set processing options for Monitor VAT Ceiling (R74416).

Understanding the Monitor VAT Ceiling Program

When you run the Monitor VAT Ceiling report (R74416), the system calculates the total amount of vouchers that has been processed during the period that is specified in the processing options. To determine whether you are still within the VAT ceiling limit, the system subtracts the total invoices from the initial VAT ceiling limit.

When the total amount of the invoices has reached the threshold percentage that you specified in the processing options, the system sends a workflow message to the person who is responsible for notifying suppliers to include VAT on their vouchers.

You should run the Monitor VAT Ceiling report frequently in proof mode to monitor the VAT ceiling. During any given month, the Received not vouchered amount should steadily decrease. The amounts that are obtained when you run the report in proof mode give an estimate of the use of the VAT ceiling during the specified period.

You run the Monitor VAT Ceiling report in final mode to record the month's progress toward the limit in the F74413.

You can use the Review VAT Ceiling Limits - Italy program (P74413) to view the information that is provided by the Monitor VAT Ceiling report.

Important! Because the VAT Ceiling Limits - Italy table is updated only when you run the Monitor VAT Ceiling report in final mode, you should run the Monitor VAT Ceiling report in proof mode rather than using the Review VAT Ceiling Limit program if you want to check VAT ceiling information at times other than when you have just run the Monitor VAT Ceiling report in final mode.

Manager Notification

You can use the processing options on the Monitor VAT Ceiling report to specify a threshold percentage. When the remaining VAT ceiling percentage reaches the threshold percentage, the system sends a message to a manager to inform him or her that the VAT ceiling that remains is nearing its limit. For example, if you enter 10, the manager is notified when 90 percent of the VAT ceiling is used and only 10 percent remains. If you wait until the VAT ceiling is reached to inform the suppliers to begin to include VAT on invoices again, you might incur fines.

Running the Monitor VAT Ceiling Program (R74416)

Access the Monitor VAT Ceiling from the Italian VAT Processing menu (G00213).

Setting Processing Options for Monitor VAT Ceiling (R74416)

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

Process

Use these processing options to specify the date range of the fiscal year for which you are monitoring the VAT ceiling, whether you are using the JD Edwards EnterpriseOne Procurement system, and whether to run the report in proof or final mode.

Defaults

Use these processing options to specify default information that is used during processing, such as the threshold percentage and the manager to be notified when the threshold percentage is reached.