This chapter covers the following topics:
This feature is in accordance with the requirements of Income Tax Act. The Act mandates reporting of non-salary deductions through eTDS Returns. These certificates replace the existing Return in the Form 26.
The feature enables generation of eTDS Certificates considering the following information:
TDS deducted on Prepayment Invoices
TDS deducted on Standard Invoices
Payments against Invoices generated for TDS Authorities
Data Generated for Form 16A Certificates
This feature considers TDS Calculations in following situations:
Invoice Validation.
Application of Prepayment Invoice to the Standard Invoice
Unapply of Prepayment Invoice to the Standard Invoice
Invoice Payments
Invoice Cancellation
TDS Deductions under Lower Rates
Users can generate eTDS returns flat file by using the concurrent program India - Program to Generate eTDS Quarterly Certificates.
BOE is a legal document in a prescribed format that needs to be submitted to the Customs Authority by the importer or his authorized agent. BOE contains information of the goods imported to India, value and other relevant details that is required for assessment of Customs duty.
The system does not provide the document in the prescribed format and also do not capture all the information required for BOE format. Further, calculation of customs duty is rigid.
This document helps you understand product capabilities in regards to BOE requirements. For imports the relevant taxes applicable are IGST and Basic Customs Duty which will be settled with Statute.
For the BOE cycle to work in the new GST architecture, setup the following:
Define Regime
Define Tax Types
Define Tax Rates
Define Tax Categories
Define the Specific Functionality
Define Item Classification
Define Claim Term Definition
Define First and Third party Registration
Define BOE Agent
After setting up common setups, described in detail in the Oracle Financials for India Implementation Guide, you must define the specific functionality for Bill of Entry to consider the taxes as custom taxes.
Navigate to the Define Specific Functionality window using (N) Oracle Financials for India > Tax Configuration > Define Specific Functionality
Ensure that the Tax Point Basis is Delivery when defining the tax type. Otherwise, tax type does not show when doing the specific functionality setup for custom tax type.
Note: Define separate Regime created for Customs tax.
Define a Bill of Entry agent by navigating to Agent Information India Localization using (N) Oracle Payables > India Localization > Setup > Others > BOE Agent.
Follow these steps to create BOE Invoice from existing Purchase Order as a reference:
Create BOE Header Details
Capture PO Reference -- BOE Line details
Verify BOE Taxes
Confirm BOE
Payment of BOE Invoice
Create Receipt from BOE
The Bill of Entry India Localization window captures the BOE details and the associated vendor information. It consists of Import Details, Currency, Shipment and Others tabs.
Bill of Entry India Localization Field Refernce
Navigate to Bill of Entry India Localization window using (N) Oracle Financials for India > Transactions > Enter Bill of Entry.
Enter or select the Operating Unit where this import is to be accounted.
Select the BOE status.
Select or enter the Inventory Organization where this import is to be accounted.
Select or enter the Location for that inventory organization where this import is accounted.
Displays the Supplier Name based on the Supplier Number selected.
Select the Supplier Site. This is used for ensuring PO Number, Releases and ASBN are restricted based on the Supplier.
Displays the BOE Number generated.
Enter the BOE Date, which is the system date, used as the AP Invoice Accounting Date.
Enter or select the Import Dept Sl Number allotted by the Import Dept.
Enter the BOE date as specified in the Physical BOE Document in the Import Dept Sl Date option.
Import Date Tab
Select the respective Customs Authority Supplier. Ensure the supplier is defined with Classification as India Customs Authority.
Select the respective Customs Authority Supplier Site.
Select the BOE Type from the list of values based on the transaction.
Enter the Nature of Transaction.
Enter the Agent Code who is dealing this particular Import Shipment.
Select the Port Code Type such as Sea, Air and Land from the list of values.
BOE Amounts Displays. This option displays details of original amount computed Tax wise along with Applied Amount, Written off amount and Remaining Amount.
Select either BOE Without Reference or BOE Item Independent option. You can define a BOE for a Dummy Item and this is used to match the customs liability on any Item.
Amounts Region
Displays the BOE Amount.
Displays the selected Authority Site.
Displays the Written Off Amount, if any. Defaulted from the BOE details.
Displays the Remaining Amount. The system calculates the amount.
Enter the DEPB Amount that indicates credit you can utilize for this import.
Select or enter the Supplier Number. This is used for ensuring PO Number, Releases and ASBN are restricted based on the selected Supplier.
Note: The DEPB credit value captured, it is reduced from the total BOE amount at AP invoice workbench as a negative distributions once the BOE invoice gets generated.
Currency Tab
Customs authority provides an Exchange Rate to use for currency conversion in calculation of customs duty. This rate is not the normal daily buying or selling exchange rate but a different rate that is provided by Customs Authority.
You can either Setup the Custom Notified Exchange Rate, based on the value provided by Customs Authority, using the recording Exchange rates feature or enter the value manually while carrying out BOE Entry.
Feature is provided to capture the Custom Notified Exchange Rate on the BOE that is being matched to PO or release or ASBN so that the Assessable Value is determined using the Custom Notified Exchange rate.
Select or enter the Currency Code.
Enter the Currency Date that is the system date.
Enter the Currency Rate Type that must be used for Determining the Custom Notified Exchange Rate.
Enter the Currency Rate that Determines the Custom Notified Exchange Rate when the Currency Rate Type is used as USER. On query of entered record, this field shows the actual Currency Rate used for the Transaction.
Shipment Tab
Enter the Country of Origin and Code for Reference.
Enter the Country of Consignment and Code for Reference.
Enter the Vessel's Name for Reference.
Enter the Port of Shipment for Reference.
Enter the Bill of Lading Number.
Enter the Bill of Lading Date which is the system date.
Enter the Gross Weight for Reference.
Enter the Number of Packages for Reference.
Others Tab
Enter the License Number for Reference.
Enter the Rotation date allotted by the Import Department.
Enter the Rotation Number allotted by the Import Department.
Enter the IGM Date for Reference.
Enter the IGM Number for Reference.
Enter the MAWB Date for Reference.
Enter the Number associated with MAWB for reference.
Enter the HAWB Date for Reference.
Enter the HAWB Number for Reference.
Displays the accounting of DEPB credit if provided during the BOE creation.
Select the Green Channel Clearance, if allowed.
Once the BOE header details are created and Saved, click on Lines. As the BOE is created with document reference, select the appropriate document type and complete the steps.
Create source document. Following can be source document:
Purchase Order Release Advanced Shipping Billing Notice (ASBN)
Select the Purchase Order reference.
Note: Make sure the Currency Code is same between BOE Invoice and the Purchase order to be able to select the PO details.
Click on Add lines to add PO line details to BOE Invoice.
Enter BOE quantity details.
Click Save to default the Source document item details and taxes. Enter the Customs Tariff code, Customer tariff heading details that are derived from the Item classification setup.
Defaulting of taxes from source document to BOE.
Taxes from Purchase Order are defaulted.
You can override the source document taxes.
Navigate to Tax Category field and select the tax category.
Taxes from Purchase Order are defaulted.
You have the option of defaulting all lines or lines with no tax category.
They can even apply individual taxes here by clicking on the tax tab.
Post clicking on Yes field, the taxes are replaced as per the new tax category selected.
System considers the BOE tax amount for the tax lines that have been added to the Specific functionality for Bill of Entry.
Navigate to Bill of Entry window using (N) Oracle Financials for India > Transactions > Enter Bill of Entry.
Update the BOE until the status is set to Yet to be assessed.
For instance if user wants to give the item description, in that case user need to query the BOE and click on button line details.
Enter a valid value in Description.
Click Save.
Process BOE
Generating AP Invoice for BOE:
Click the Confirm button once BOE details reviewed and validated. Once confirmed, you cannot modify or update the BOE. AP Invoice, Customs Authority, is generates.
View the BOE status changed to Confirmed.
Importing BOE Invoices - Localization (Payables Open Interface Import) is run to import BOE to invoice to invoice workbench:
Calling Payables Approval Localization (India - Auto Invoice Approval)
Payables Approval Localization (Invoice Validation)
Query the BOE invoice from AP Invoice workbench taking the invoice number from previous concurrent request output.
Format of BOE invoice BOE/Invoice/Org_Id/ BOE_Id
On clicking the Distributions option, distributions created. The distribution account is picked up from the expense account defined at the tax type definition level.
Format of BOE invoice BOE/Invoice/Org_Id/ BOE_Id
Raise the payment for the BOE Invoice. Post the payment of the BOE invoice, the status of the BOE becomes Available for Receipt Application.
Create BOE Invoice Flow
Create BOE Header Details.
Capture BOE Line details manually.
Create BOE Taxes.
Confirm BOE.
Payment of BOE Invoice.
Create Receipt from BOE Invoice
Create BOE Invoice
BOE Invoice without reference is used when there are no source document details available and the BOE can be applied against multiple documents like Purchase orders, ASNs so on.
You create BOE Without Reference with Item Independent flag enabled or by selecting the inventory item details while creating BOE.
Capture the BOE Item Details
Assign Tax category details to each BOE line or default the tax category by selecting from the list of values.
Click Yes to default the taxes to the BOE lines.
Capture DEPB credit in the columns DEPB amount column if available. This DEPB credit will be reduced from the total BOE amount at AP invoice workbench in the form of negative distributions once the BOE invoice gets generated.
Click on OK to confirm the BOE.
Once the BOE Invoice is created in Payables, query the invoice as below from AP Invoice workbench BOE Invoice format, BOE/Invoice/Org_Id/BOE_Id.
Click distributions to see the distribution details of invoice. The negative distributions represent the DEPB credit utilized while raising BOE. The account for DEPB line will be defaulted from the BOE Invoice.
Once BOE invoice payment is done, the BOE is available for application on Receipt.
You decide on the BOE application approach. Supports the following options:
Create Receipt from BOE Screen.
Apply BOE when the standard receipt is created
Applying BOE to the Standard Receipt
Apply Receipts Flow
Select the BOE to which the receipt to be created.
Enter PO Information.
Capture Receipt Details.
Verify and Confirm taxes.
Apply BOE to New Receipt
Navigate to BOE Receipt Creation using (N) Oracle Financials for India > Transactions > Enter Bill of Entry >Tools > BOE Receipt Creation.
Select the Purchase Order details for which the Receipt to be created.
Select the BOE for which the receipt is created.
Enter PO Information.
Capture Receipt Details.
Verify and Confirm taxes.
Click on Find and Capture the receipt details.
Click on Tools > India Taxes Details to verify and capture the receipt tax information.
Add any new taxes applicable to the receipts like third party supplier taxes, freight, Insurance applicable to the receipt.
Confirm Taxes if the taxes populated are relevant and complete.
System generates the receipt accounting, The Non-recoverable Customs taxes are transferred to Item cost using Inventory Cost Management. Also, MTL_TRANSACTIONS_INTERFACE, MTL_TXN_COST_DET_INTERFACE tables get updated with non-recoverable tax amount and the same gets added to item cost.
Add on Receipt options are available to use the existing receipt number to apply to BOE.
Using this method, keep the single receipt number against the multiple BOE Invoices. (N) Oracle Financials for India > Transactions > Enter Bill of Entry.
Navigate to Tools > BOE Receipt Creation.
BOE Receipt Creation link is enabled only if BOE amount is available to apply against the receipt.
Using the Add to Receipt option, keep the common receipt number for multiple GRN (Goods Received Note). On selecting Add to Receipt option, you can select the Existing Receipt Number from the window.
Once the Receipt Number is selected, navigate to the PO Number which is attached as the reference document of BOE.
Click the Find option to create Add to Receipt available to apply to BOE. Here you can add and modify taxes. Receipt quantity defaults as the available quantity for BOE application. You can modify the receipt quantity as per your business requirements.
Navigate to Tools > India Taxes Details to validate and confirm the taxes against the receipt.
Note: Return to Vendor and Corrections are not supported for importing Receipts where BOE is applied. The adjustments and reversal tax entries must be handled manually.
When the receipt is created, it is mandatory to apply BOE for the receipt if the receipt has Custom taxes. Follow these steps:
Select PO for which receipt is created.
Capture Receipt details.
Verify Taxes .
Apply BOE.
Select the PO for which the receipt is to be created.
Enter receipt details.
Select PO for which receipt is created.
Capture Receipt details.
Verify Taxes.
Apply BOE.
Goto Tools > India tax details to verify taxes For all custom receipts it is mandatory to apply BOE, otherwise, you cannot confirm the taxes.
Goto Tools > Receipt Header Application/Receipt Line application to apply BOE on the receipt. System will show all available BOEs for application.
Note: If you have selected the Receipt Header Level application, then the List of Available BOEs With reference and Without reference BOEs are shown. Item Independent BOEs are nmpt available for header level application.
Select the BOE to which the receipt Line and Header to be applied. Validate the tax application details. Click Apply.
Save the Receipt .
Handles Insurance, freight and other third party costs involving imported goods.
Create the Purchase Order with item details and the custom taxes applicable.
Create the BOE Invoice and with or without document reference as applicable.
Confirm BOE and complete the payment of BOE to Customs Authority.
Create the Receipt from BOE Invoice > Tools > BOE receipt creation.
Verify or amend taxes to be applied and modify at then at the receipt level.
Confirm taxes.
A set of concurrent programs run. In the request set, the Third party Invoices - Payables open interface Import (Payables Open Interface Import) runs and creates the Third party invoice against the Non –PO vendor.
Check the list of receipt details applied against a BOE Invoice using (N) Oracle Financials for India > Transactions > Bill of Entry > Tools > Receipts Applied. It displays the breakup of taxes applied and or used against the receipt.
If BOE is fully consumed, then the BOE status updates to Closed. There could be scenarios where BOE is not fully consumed and you must writeoff the remaining amount. You do that by using (N) Oracle Financials for India > Transactions > Bill of Entry > Tools > BOE writeoff. Enter the details of write-off amount, date and the reason for the write-off. You can write-off BOE amounts, only when the BOE Status is "Applied". After the write-off is performed, the Write off Accounting is generated and balance amount is reduced.
You can cancel the BOE Invoice when the invoice status is as explained:
Not Yet Assessed: If the BOE is cancelled, then no accounting entry is generated as the accounting entries are generated only after BOE is Confirmed. Navigate to Tools > Cancel BOE to cancel BOE Invoice. After cancellation, Invoice status will be change to Cancelled.
Confirmed: At this stage , Tools > Cancel BOE from BOE form would be disable .However user can cancel the AP invoice that is generated by marking the BOE as 'Confirmed' prior to payment of such invoice .After AP Invoice is cancelled, the BOE status updates to Cancelled.
If the AP Invoice is paid, then void the payment if none of the receipt is applied to BOE. If the Receipt is applied to BOE, you cannot void the BOE Invoice payment.
The Excise liability arising from the removal transactions needs to be settled within 5 days from the end of the Month / Period. The Duty can be discharged on debiting a current account, referred to as Personal Ledger Account (PLA). PLA credit is taken by depositing money in the banks on T.R.6 Challan. Capture PLA feature helps you capturing the information required for the PLA Report to be submitted to the Excise Authorities. This feature helps you in raising Invoice to capture and maintain account for the liability arising from the transaction.
The Capture PLA Payments feature in Payables helps you manage the Excise Duty liability settlement process. Using this feature, you can:
Capture the information required to update the PLA Register
Account for the liability arising from the transaction
Control on updation of PLA Register
Important: An AP Invoice would be generated on saving the Capture PLA Payment transaction.
Major features of PLA are mentioned below
The net Excise Duty liability arising during the Month / Period has to be settled by a payment made through TR 6 Challan. The PLA Register would be hit when the payment is actually made to the Excise Authority and the user acknowledges this payment from the 'PLA Invoices' Screen. The Capture PLA Payment feature captures the information required for the updation of the PLA Register.
An AP Invoice with status 'Validated' would be automatically created for the Total Amount on the Capture PLA Payment lines. This would take care of accounting the liability arising from the transaction.
The PLA Register would be updated only when the PLA Payment is acknowledged. The Acknowledgment is allowed only when the AP Invoice created for this transaction is fully paid.
The reduced rates of Sales Tax are applicable based on issue of declaration forms to the Supplier. These forms would be as specified in the applicable Sales Tax Regime. For this you will have to keep track of the transactions that would qualify for concessional rate of Sales Tax. Further, you will have to keep track of details of Forms Issued and the Invoices included in each of the Forms.
Sales Tax Issue tracking helps you manage the issue of Issue of declaration forms in order to avail concessional rate for Sales Tax. Using this feature you can perform the following tasks:
Setup Declaration Form names that have to be issued to avail the concessional rate of Sales Tax.
Assigning Form Names to appropriate Tax Codes while defining these Taxes.
Keep track of Purchase Invoices against which Sales Tax Declaration forms have to be issued to the Supplier.
Facilitate recording details of Forms Issued and the Invoices included in issue of form.
Provides with a facility to query Issued Forms and view Form details and the Invoices included in these Forms.
Taxes and charges that are incurred on a transaction but are not paid to the Supplier of Goods are defined as Third Party Taxes in Oracle Financials for India. Third Party Taxes applicable to a transaction would depend on the Shipment terms. The terms used commonly are Ex-works and FOB. In cases where the terms of Shipment is Ex-works, the Seller delivers the goods at his premises. All costs incurred after this stage has to be borne by the Buyer. In case of Inland purchases, the cost components would be Freight, Insurance, Octroi and Entry Tax. In case of Imports the Third Party Taxes would be Freight, Insurance, Landing Charges, Inland Freight, Installation Charges and would also involve Basic Customs Duty, CVD and Customs Clearance Charges. On such transactions there is a good possibility of having multiple Third Party Vendors and Tax Authorities. Also, the amount paid would be consolidated by Third Party Vendor and Vendor Site.
Of these Tax Types, except for the Countervailing Duty, all others are Non-Recoverable Taxes. These have to be added to the Item Cost. In case of the Raw Material Purchases, the Average Cost has to be updated and in case of Capital Goods, the amount should be added to the Asset Cost.
Oracle Financials for India automates transfer of Third Party Taxes to Fixed Assets.
This feature automates transfer of following taxes/expenses to Fixed Asset Cost:
Third Party Taxes: Costs that are not billed to the PO Supplier but are incurred in the course of the transaction.
Non-Recoverable Customs Duty: Customs Duties that are paid to the Customs Authorities through Bill of Entry (BOE).
TCS Authority needs to be defined for settlement of TCS Taxes and payments. You can identify a TCS authority by assigning the Supplier Type as India TCS Authority. To classify a supplier as a TCS Authority, access Supplier window from India Local Payable > Supply Base > Suppliers.
This Section elaborates on the effect of TDS setup on Actions applied to an Invoice. You can see the impact on the Supplier Liability, Accounting and generation of TDS Certificates.
When you create an AP Invoice, the TDS gets calculated based on the TDS Threshold Setup done.
Usage of earlier Invoice Distributions Descriptive Flexfield has been discontinued and the same functionality has been implemented through India Distributions Global Descriptive Flexfield.
The users should ensure that at least one segment of this India Distributions Global Descriptive Flexfield is marked as 'Enabled'. The users should not make any of the segments as 'Required'.
Following are the details of the Global Descriptive Flexfield:
Application: Regional Localizations
Title: JG_AP_INVOICE_DISTRIBUTIONS
Context Field Values:
Code: JA.IN.APXINWKB.DISTRIBUTIONS
Name: Invoice Distributions
Description: Asia/Pacific Invoice Distributions Information
Apart from the above, there are no changes from a user perspective in the TDS functionality due to migration of the Descriptive Flexfield to Global Descriptive Flexfield.
This document describes support for descriptive flexfields. Descriptive Flexfields help you capture additional data while processing a transaction that is often used in customizing the reports.
Use the Descriptive Flexfield Segments window to define Oracle Financials for India descriptive flexfield structure.
Use the Descriptive Flexfield Segments window to define descriptive flexfield structures, and the descriptive information and validation information for each segment in a structure.
Before you can use the TDS feature on Invoices, you should have completed the mandatory setup defined in the Setup Documentation.
The TDS calculation and creation of the TDS related Invoices would take effect, during the Validation of an AP Invoice, with either TDS Code attached in Invoice Distributions or with a TDS Tax Name attached in the TDS Thresholds Setup
When you validate a Standard Invoice or a Prepayment, the Supplier would be debited to the extent of Tax Deducted by means of a Credit Memo, while the Balance of Tax Authority would be increased by means of a Standard Invoice.
Thus, balance due to the Supplier would be net of the Credit Memo created on Validation. You should take adequate care to consider such Credit Memos while making the Payment to the Supplier.
When you apply a Prepayment to a Standard Invoice, both are subject to Tax Deduction, Invoices would be created for the reversal of the TDS deducted on the Prepayment. This is done by creating:
Standard Invoice for the Supplier
Credit Memo for the Tax Authority
You need to ensure that Prepayment with multiple distributions, each having a different TDS Section applicable, should not be applied to a Standard Invoice. To deal with such cases, you have to create a Separate Prepayment Invoice for each of such Payments.
The following are
On applying a Prepayment to a 'Validated' Standard Invoice, considering both have TDS, the TDS calculated on Standard Invoice is reversed.
When the Standard Invoice has multiple lines each with a different TDS Codes and it is partially applied to a prepayment then, the lines considered for TDS reversed will be on a FIFO basis.
Where some of the lines have to be reversed, you have to ensure that the Prepayment is applied only after you have reversed the lines that you wish to reverse.
Reversed lines, Reversal lines and Prepayment lines are not considered for TDS Calculation.
When you un-apply a Prepayment to Standard Invoice, both of these subject to Tax Deduction, Invoices would be created to reverse the effect of the Invoices created on application of the prepayment. Standard Invoice would be created for the TDS Authority and a Credit Memo would be created for a Supplier.
On canceling a Standard Invoice for which Tax has been deducted, the Invoice created for the Tax Authority would be canceled and a Standard Invoice to the extent of the Tax Deducted an Standard Invoice would be created for the Supplier.
However, there would not be any effect on these Invoices if the Invoice for the Tax Authority is already paid.
You have an option to cancel the Supplier Invoice while you are voiding the Payment for the Invoice. In such cases, Invoices to Tax Authority would also be cancelled. However, it is necessary that the Tax Authority Invoice is not yet paid.
Navigation: India Local Payables - India Localization - Others - India TDS Challan
In this screen, the user can capture the information of TDS payment details. This screen would list all Payments made to TDS Authorities where the Challan information has not been entered. The user would then be able to enter the attribute information for these payments.
The user will create an AP Invoice in the base application for payments to be made to the TDS Authorities. After creating the AP Invoice, the user will query this Invoice in the India Local TDS Payments screen and update the Additional Information here.
Find TDS Parameters field wise description.
| Field Description | Type | Action | Description |
|---|---|---|---|
| Tax Authority | EDIT, PICK | User needs to select the Tax Authority Name from the LOV. | |
| Tax Authority Site | EDIT, PICK | User needs to select the Tax Authority Site Name from the LOV | |
| From Date | EDIT, PICK | Enter the date range | |
| To Date | EDIT, PICK | Enter the date range | |
| Clear | BUTTON | Pressing this button will clear the screen. | |
| New | BUTTON | Pressing this button will take the user to the next screen wherein the user can select different TDS Invoice payments and enter the Challan Number details. | |
| Find | BUTTON | Pressing this Button, system will find all the TDS Challan Details, which are created earlier. |
Field wise details of TDS Challan Details Screen
| Field Description | Type | Action | Description |
|---|---|---|---|
| Tax Authority | EDIT, PICK | User needs to select the Tax Authority Name from the LOV. | |
| Tax Authority Site | EDIT, PICK | User needs to select the Tax Authority Site Name from the LOV | |
| Check Number | DISPLAY | System will query the existing data. | |
| Check Date | DISPLAY | System will query the existing data. | |
| Currency Code | DISPLAY | System will query the existing data. | |
| Amount | DISPLAY | System will query the existing data. | |
| Check Deposit Date | EDIT | The Date on which the Check has been deposited into government treasury needs to be entered for TDS Payments being made & printed on the TDS Certificates / Returns | |
| Challan Number | EDIT | User should enter the value of Challan issued by the Income Tax Department that has to be submitted along with the remittances of TDS Amounts. This information is used in TDS Certificates issued to the Vendor and at time of Tax Returns | |
| Bank Name | EDIT, PICK | Enter the value of Bank in which, the TDS payment / Challan is deposited. |
You can generate TDS Certificate to be issued as per the Income Tax Act. Based on the TDS Section and Tax Authority, you should first generate the TDS Certificate. One TDS Certificate can be issued for all the TDS deductions for a Vendor based on the transaction range or individual TDS Certificates can be generated for each TDS Deduction.
Navigation: India Local Payables - India Localization - Others - Generate TDS Certificates
| Field Name | Type | Action | Description |
|---|---|---|---|
| TAN Number | (Required) | The user should pick the value from the LOV. | |
| Operating Unit | Select the appropriate value from the LOV | ||
| Certificate Period | (Required) | You need to specify the period the period for which he wants to generate the TDS Certificate. These dates will be compared against the Invoice Dates of the Invoices generated for TDS Authority. |
|
| Section | (Required) | EDIT HELP PICK | You need to specify the TDS Section for which he wants to generate the TDS Certificate. |
| Tax Authority | (Optional) | ENTER | You can specify a particular Tax Authority Name for whom he wants to generate the TDS Certificate. |
| Vendor Name | (Required) | ENTER | You need to specify a particular Vendor Name for whom he wants to generate the TDS Certificate. |
It is a pre-requisite to run the 'Generate TDS Certificates' to view the data in 'India - TDS Prescribed Rates Report' and ;India - TDS Lower Rates Report'.
TDS Certificates would be generated only for those Invoices where TDS deducted has been remitted to the Tax Authority. Payments to the Tax Authorities can be done either by paying the TDS Invoices (generated on validation of Supplier Invoice) or by applying a Prepayment Invoice to the TDS Invoice.
You can generate eTDS Returns using 'India - Program to Generate eTDS Certificates' Concurrent program. Prior to that you should completed validating Supplier Invoices and made payments to Invoices generated for TDS Authorities.
The concurrent program should be run for a Particular TAN Number for a given Financial Year.
As the output would be flat file, the users would be provided with an option to generate the file with separators and Headers. The file can be generated in this format by checking 'Generate Headers' parameter of the Concurrent request. Using this file user can check the records and the appropriate values. On finding that the data is correct, you can choose select the file with same parameters, without headers. The file would be saved at the path specified in the 'utl_file_dir' parameter of the Database.
To generate eTDS Returns, navigate to 'India - Program to Generate eTDS Certificates' as follow:
India Local Payables - View Requests (M) - Submit New Requests.
This request facilitates
Specifying Query Criteria
Entering Information that would be included in the Report.
Generating the Return in a readable format for the user to decipher and verify the information
Specifying the File Name
The user should specify following information in the following parameters
TAN Number: User should select the value from the LOV. The User should select the TAN Number value for which, the return is to be generated.
Financial Year: User has to select the Financial Year value for which, the returns have to be generated.
Organization: Select the value of Organization for which, the returns have to be generated.
Tax Authority: Select the Income Tax Authority for which the TDS Invoices have been generated and paid.
Tax Authority Site: Select the Vendor Site code of the Income Tax Authority.
Deductor Name: Enter the Name of the Deductor.
Deductor State: Select the appropriate value for the State from the LOV.
Address Changed Since Last Return? : Select the value 'Yes/No' from the LOV.
Deductor Status: Select the appropriate value from LOV.
Person Responsible for Deduction: Enter the Name of the Person Responsible.
Designation of Person Responsible: Enter the Designation of Person Responsible for deduction.
Challan Start Date: Enter the From date range .
Challan End Date: Enter the To Date Range
File Path: Select the Default value from the LOV. This value will be selected based on the util_file_dir parameter value of the database.
File Name: Enter the Name of the flat file name and the eTDS returns flat file will be generated with this name.
Generate Headers: Select the values 'Yes/No' from the LOV.
If the value 'Yes' is selected, then system will generate a flat file including Headers (columns).
If the value 'No' is selected, system will generate a flat file which can be validated against the file validation utility of NSDL.
This document explains changes made to Tax Deducted at Source (TDS) architecture and support for Direct Tax Code.
The following modifications have been made to TDS repository and architecture:
Define Section Code Mapping
Populate repository table in the new TDS architecture
Generate eTDS flat file in the new TDS architecture
Migrate old transactions into new TDS repository
Generate eTDS flat file for old transactions in the new TDS architecture
Defining Section Code Mapping
A new window, Code Mapping, is added for mapping old section code to revised tax deducted at source section code to use in eTDS file.
Attach the mapping definition at the regime level is used only by the TDS regime.
Map old section code to the new tax deducted at source section code which to use in eTDS file.
Define date range for each mapping. At any time point, a section code is unique to each section mapping.
Enhancement to India TDS Challan
The Indian Tax Deducted at Source Challan window has been enhanced to maintain TDS payment information and challan information in the new TDS repository table. Whenever challan information is updated the TDS repository is updated.
Modifying India Tax Category Definition
A new column, EFFECTIVE_TDS_RATE is added to the jai_cmn_tax_ctgs_all table to store effective rate for tax deducted at source tax categories.
Defining Tax Category
A new field, tax_category_id, is added to the JAI_AP_TDS_INV_PAYMENTS table. The tax deducted at source transaction table uses tax category details.
Modifying TDS packages
A new package, jai_ap_tds_pop_rpst_pkg, is added to maintain the tax deducted at source repository table.
Populating TDS Repository
The tax deducted at source repository is populated whenever the following events take place:
An invoice for TDS vendor is validated
Threshold transition to first cumulative slab or surcharge slab occurs.
An invoice for TDS vendor is cancelled.
Payment Details are created or updated for a TDS Invoice.
New eTDS
The eTDS (electronic Tax Deducted at Source) is added and performs the following:
eTDS extracts data base on TDS repository.
The new TDS invoice is created based on tax category.
Migration Script for eTDS
The script migrates existing transactions from the old TDS to support new eTDS and the data is extracted into the TDS repository.
This topic explains changes made to Tax Deducted at Source (TDS) architecture and support for Direct Tax Code. NSDL (National Securities Depository Limited) has released a new file validation utility for quarterly filing of tax deducted at source (TDS) and tax collected at source (TCS). If the filing is done after 16-Oct-2012, then India Localization customers must use the same file validation utility. The changes released are for both salaries and non-salaries.
The new File Validation Utility 3.6 has tracking of payments to software vendors, new Tax Deducted at Source sections, and new items for Tax Collected at Source.
Importing a Challan file
Importing a Challan file is now mandatory for the assessee to upload the flat file along with the challan file downloaded from the NSDL site. This challan file is in encrypted format and NSDL performs validations on this file.
Addition of two new TDS sections
In Federal Budget 2012, two Tax Deducted at Source (TDS) sections are added in Income Tax Act for widening the TDS net and to cover areas that are not being taxed now. These two new sections are basically for the foreign transactions-related items.
The two new sections are:
Section 194 LC - Income by way of interest from Indian company
Section 194 LB - TDS on interest payable on infrastructure debt fund to a non-resident or a foreign company.
These two sections are part of the 27Q.
Addition of two new items for TCS
Two new items have been added to the list of items on which Tax Collected at Source (TCS) are collected as per section 206 (C) of Income Tax Act 1961.
These two new items are:
J – Sale of minerals
K -- Cash sales of cash of Bullion and Jewelry.
They are also added for generation of 27EQ.
Flagging of Payments made to Software Vendors
Payments made to software vendors fall under Section 194 (c) and these payments are tracked separately and reported in Form 26Q. It is similar to how transporter payments are recorded and submitted. Use TDS Vendor Classification to classify a supplier as transporter.
Navigation, India Local Payable > India Localization > Invoice Entry > PLA Invoices
Field wise details for the PLA Invoice / Payment is given below
| Field Description | Type | Action | Description |
|---|---|---|---|
| Payment_Id | (Defaulted) | This is the system generated Payment_Id after entering data and save this form. | |
| TR6 Challan No/Date | (Required) | ENTER | The user can enter TR6 Challan Number and Date through which the PLA Payment will be made. |
| Inventory Organization | (Required) | EDIT HELP PICK | The user defined Inventory Organization need to be picked up here from LOV. |
| Location | (Required) | EDIT HELP PICK | Location for that Inventory Organization is to be picked up from LOV. |
| Acknowledgment Block | The Acknowledgment Flag will be enabled after the PLA Payment is made and the user can update the Acknowledgment Date. Only after Acknowledgment is received and the Acknowledgment Flag is enabled the PLA Register will be updated. | ||
| PLA Amount | (Displayed) | This is the displayed total line amount of Excise Duty proposed to pay. | |
| Authority | (Required) | EDIT HELP PICK |
Select the respective Vendor Name or Commissioner of Excise from the LOV. |
| Site | (Required) | EDIT HELP PICK |
Select the Site for the above selected Vendor from the LOV. |
| PLA Details Block | (Required) | ||
| Item Tariff | ENTER | Enter Item Tariff under which this PLA payment will be made. | |
| Item Sub Heading | This is defaulted field as per the Item Tariff. | ||
| Basic Amount/Additional Amount/Other Excise | (Required) | ENTER | The user has to specify how he wants to pay in Basic, Additional, and Other Excise Duty through this TR6 Challan. |
Note: You can view the GL Driildown Accounting lines by clicking Shows Transactions on the Tools menu in PLA Register manual entry India Localization form
On saving the transaction, a PLA Invoice will be automatically generated, validated and ready for payment. This Invoice Number has a prefix of 'PLA'. The payment for this Invoice may be made through regular Oracle Payables functionality.
Only after entering the Acknowledgment Date, PLA Register balance will be updated.
Acknowledgment for a PLA Payment is not received and Flag is not enabled, then there will be difference between GL Balance and PLA Register till such time of receipt of Acknowledgment. The Acknowledgment Flag needs to be enabled by Opening the PLA Invoice screen itself.
Purchases made by Registered Dealers, from Registered Dealer would be eligible for Concessional Rate of Sales Tax. This would require identification of transactions that are eligible for such rates. Also, the Declaration Form to be issued in order to avail such rate has to be tracked.
You can issue Sales Tax declaration forms for each of the transactions. Oracle Financials for India provides you with a feature to define Form Names, Define Taxes with Declaration Forms attached, Tracking Invoices for which these Forms have to be issued, Record details of Forms issued and query and view the Form details.
Prerequisites
Before creating the Transactions with Concessional Rates of Sales Tax, following setup needs to be done:
Define Form Names
Define Taxes with Form Names attached
Define Supplier Additional Information
Define Tax Categories with this Tax Code
Define Item Categories with this Tax Categories
Before recording details of Concessional Forms to be issued to Supplier, following needs to be done:
Complete Purchase Orders/Receipts with Sales Taxes with Form Names attached
Create Invoices for these PO's / Receipts
Ensure that Invoice Distributions are created to account for Localization Taxes.
Validated the Invoice.
Submit 'India - ST Forms Issue Processing'
To record details of Sales Tax Declaration forms, navigate to 'Define Sales Tax Form Details' window as follows
India Local Payables - India Localization - Suppliers - Issue ST Forms
In 'Find ST Form Details' screen, enter the Supplier Name, Supplier Site and Form Type in order to query for Invoices against which Forms are not yet issued. You can enter other query criteria to find specific invoices
Details you enter in each of the fields would form criteria for the records fetched.
| Field Description | Type | Action | Description |
|---|---|---|---|
| Issue/Receipt | (Display only) | This field gets populated as Issue / Receipt based upon the Application chosen. Issue in case of Payables and Receipt in case of Receivables. |
|
| Party Name | Party Name as defined in the ST form related data. Compared against the Party Name as available in the Invoices to which Sales Tax Forms is applicable. | ||
| Party Site | Party Site as available in the Invoices to which Sales Tax Forms is applicable. | ||
| Form Type | Form Type's which are applicable to the Sales Tax attached to the Invoices | ||
| Invoice from Date | Invoices having Invoice Date starting from this date onwards would form a part of the query criteria for matching. Viewing matched records. Should be a valid date in 'DD-MON-YYYY' format | ||
| Invoice To Date | Invoices having Invoice Date till this date would form a part of the query criteria for matching. Viewing matched records Should be a valid date in 'DD-MON-YYYY' format | ||
| Fin Year | Financial Year as applicable to the ST Form related data. | ||
| Form Number | Form Numbers that are issued to the Supplier, Supplier Site and Form Type. | ||
| Issue/Receipt Date | Enter a Date, which might match with the Issued Form's Transaction Date. | ||
| View Forms Button | Button, which upon being clicked invokes the 'View Sales Tax form Details' Screen | ||
| Issue/Receive Forms Button | Button, which upon being clicked invokes the 'Define Sales Tax form Details' Screen |
On clicking the 'Issue/Receive Forms' button, the system fetches the Invoices to be matched. This information would be displayed in 'Define Sales Tax Forms Details' screen.
This screen has Header and Detail Sections
This section allows you to record Form details such as Financial Year, Form Number Form Amount, Form Date and Transaction Date. These details can be entered for a combination of Supplier Name, Supplier Site, Form Type and Operating Unit.
The Supplier Name, Supplier Site and Form Type are populated as the context information from the Query Find Screen.
Its mandatory to enter Financial Year, Form Number Form Date and Transaction date fields before proceed to the detail section to select Invoices.
You may choose to key in the Form Amount and proceed to the detail section for selecting Invoices to match the Form Amount. Else, you can leave the form amount to be automatically populated upon save, based on the sum of all Invoice level Form Amounts.
On checking Match All field, the system Automates matching based on the header form amount.
The Match all Checkbox is unchecked, by default.
Un-checking the checkbox causes the detailed Invoice level form amount to be set to zero.
Queried Form Amount fields displays the total Form Amount that can be matched across all unmatched Invoices.
This is a display only field and cannot be modified.
This section displays unmatched Invoices in Issue Tab Page. The records would be grouped based on the combination of Invoice and Purchase Order
The sum of all invoices level Form Amounts entered is displayed at the bottom in the Total Form Amount display field.
It is mandatory that the sum of detail level Invoice Form Amounts match with header Form Amount. This is applicable only when you enter the Form Amount.
In case of Invoices with negative tax target amounts the form amount entered should exactly be equal to that of the Tax target amount.
On saving the entered details, the Header Block is refreshed and the Form details are set to blank. Also, the Detail block is refreshed and only unmatched and partially matched records are fetched. The cursor returns to the header.
Issued Forms can be viewed through the 'View Sales Tax Form Detail' Screen. This is invoked by clicking on the 'View Forms' option in 'Finds ST Form Detail' window.
| Field Description | Type | Action | Description |
|---|---|---|---|
| Define Sales Tax Form Header Block (Matching Header) | |||
| Party Name | (Display only) | Context Information carried over from Query Find Screen | |
| Party Site | (Display only) | Context Information carried over from Query Find Screen | |
| Form Type | (Display only) | Context Information carried over from Query Find Screen | |
| Fin Year | Required | User defined Financial Year Value to be selected from list of values as defined in the Tax Year Setup | |
| Form Number | Required | Sales Tax Form Number to be defined by the user. This needs to be unique for Form Type and Fin year combination |
|
| Form Amount | Required | The form Amount needs to exactly match with the sum of all Invoice level detailed form amounts. | |
| Form Date | Required | Should be a valid date in 'DD-MON-YYYY' format | |
| Transaction Date | Required | Should be a valid date in 'DD-MON-YYYY' format | |
| Match All | Default Value 'N' | Requires a valid value for Fin Year, Form Number, Form Amount, Form Date and Transaction Date when checked. Matches the entire Invoice level records based on the form amount value. When unchecked, sets all detail level Invoice form amount to 0. |
|
| Queried Form Amount | (Display only) | Displays Total Form Amount that can be matched across all unmatched Invoices This amount would be Sum of Matched Amounts reduced from Sum of Tax Target Amounts. |
|
| Sales Tax Form Detail Block (Matching Detail) - Issue Side | |||
| Invoice Number | (Display only) | To be filled | |
| Invoice date | (Display only) | To be filled | |
| Po/Requisition Num | (Display only) | To be filled | |
| Document Type | (Display only) | To be filled | |
| Tax Target Amt | (Display only) | To be filled | |
| Matched Amt | (Display only) | To be filled | |
| Form Amount | In case of + ve invoices sum of invoice level form amount and Matched amount cannot be greater than Tax target amount. In case of - ve invoices the form amount needs to be exactly same as that of tax target amount. |
||
| Total Form Amount | (Display only) | Sum of all invoice level Form amounts. |
You can view the Sales Tax Forms Issued by clicking on the 'View Forms' button on the 'Find ST Forms Details' window. This would open 'View Sales Tax Form Details' window.
You will have to enter Supplier, Supplier Site and Form Type Details before you query for the Issued Forms.
This window has three sections Header, Details and Sub-Details.
The section shows Supplier Name, Supplier Site and Form Type. These details are populated as the context information from the Query Find Screen.
This section displays Form details based on the query criteria specified in the Query Find screen.
This section displays all matched Invoices grouped by combination of Invoice Number and Purchase Order.
For each Invoice the Tax Target amount verses the Matched Amount is displayed based on the above grouping.
| Field Description | Type | Action | Description |
|---|---|---|---|
| View Sales Tax Form Header Block | |||
| Party Name | (Display only) | Context Information carried over from Query Find Screen | |
| Party Site | (Display only) | Context Information carried over from Query Find Screen | |
| Form Type | (Display only) | Context Information carried over from Query Find Screen | |
| View Sales Tax Form Detail Block | |||
| Fin Year | (Display only) | Fin Year as created from the match detail screen. | |
| Form Number | (Display only) | Form Number as created from the match detail screen. | |
| Form Date | (Display only) | Form Date as created from the match detail screen. | |
| Transaction Date | (Display only) | Transaction Date as created from the match detail screen. | |
| Form Amount | (Display only) | Form Amount as created from the match detail screen. | |
| View Sales Tax Form Sub Detail Block - Issue Block | |||
| Invoice Number | (Display only) | This is the Transaction Number | |
| PO / Requisition Amount | (Display only) | This field displays the Purchase Order Number | |
| Document Type | (Display only) | This field displays the Document Type. | |
| Tax Target Amt | (Display only) | This field displays Tax target amount. | |
| Matched Amount | (Display only) | This field displays Matched Amount |
Invoice Details required for issuing Sales Tax Forms would be generated by submitting 'India - ST Forms Issue Processing' concurrent program.
This concurrent program is available in India Local Payables Responsibility. This request would check for all Invoices that have Sales Tax with concessional Form applicability. Only validated Invoices would be considered for processing. The Invoice would be considered for Processing only if it was not processed earlier. Processed Invoices would be considered conditionally based on the changes to the document.
You can submit this request from India Local Payables Submit Requests 'India - ST Forms Issue Processing'.
| Field Description | Type | Action | Description |
|---|---|---|---|
| Operating Unit | (Display only) | Value determined from the Profile values | |
| Process for All Operating Units? | If you select 'Yes' in this field, then, the program would process Invoices corresponding to all Operating Units defined in the system. Else, only those related to the Operating Unit determined from Profile would be processed. | ||
| From Date | Mandatory | Low Value of Invoice Date to filter the Invoices. | |
| To Date | Mandatory | High Value of Invoice Date to filter the Invoices. | |
| Supplier | If you would like to process records for a specific Supplier then, select a Supplier Name in this field. | ||
| Supplier Site | This will be used to filter the data related to given Supplier Site, otherwise all Supplier Site's related data is processed. | ||
| Re Process not issued invoices | This would consider all Invoices in the selected date range for processing. Also, those Invoices that have been processed earlier would be re-processed. Hence, all revised actions and status on Invoices would be considered for re-processing. Invoices for which Forms are already issued would be left unprocessed. |
||
| Enable Trace | On selecting 'Yes' in this field, a Raw Trace File would be generated for this request. It is a pre-requisite to have 'Enable Trace' checked for 'India - ST Forms Issue Processing' Concurrent Program. |
After creation of Receipts, user should submit request for creation of Payables Invoices for the Third Party taxes that are included in the receipts. Meanwhile, user would create the Payables Invoices for the PO Vendor (Base Invoice). These Invoices would be either created manually or automated by submitting 'Pay on Receipt Auto Invoice' program for the receipt.
Once a Receipt matched AP Invoice is validated, approved and accounted, they would qualify for FA Mass Additions. User can schedule Mass Additions Create program to carry these lines to Fixed Assets. This program would only process base Invoices. As soon as this program completes successfully, 'India - Mass Additions Creation' program would be submitted automatically. This request would scan for all Third Party Taxes and Customs Duties applicable to the purchase. In cases where the Receipt includes any such Tax, this program would create one line per Receipt Tax line in Fixed Assets Mass Additions.
The user can view these requests in 'Prepare Mass Additions window. These lines will carry the Invoice and PO Numbers of the First Party Invoice. The user can either create New Assets or Add these lines to an existing Asset or Merge them to another line.
'India - Mass Additions Creation' program can also be submitted explicitly. This can be used in exceptional scenarios where the third party tax lines are not transferred to FA.
This request can be invoked from 'India Local Payables View Submit Requests - India Mass Additions Create'.
As per Indian Central Excise Act and Income Tax Act, the Excise duty and TDS amount will be rounded off to the nearest Rupee and in effect the AP Invoices, the Header Amount and the Distribution Amount will have minor difference. Base Applications Invoices feature places an hold on Invoices that have difference between Header Amount and Distribution Amount.
Invoice Tolerance feature provided by Oracle Financials for India allows you to setup the Tolerance Percentages and Amounts. Wherever a hold is placed on Invoices due to difference in Distributions Total and the Invoice Header, then, the system would check for the tolerance limits setup for Organization. If the difference Amount falls within the specified limit, then this inserts an Additional Invoice Distribution line for the Difference Amount and the Invoice is Approved. This line would have the line type as ' Miscellaneous' and the charge Account would be as specified in the Invoice Tolerance Setup for the Organization.
In cases where you are Re-Approving the Invoices, the system would check for the existence of an Distribution line for Rounding Amount. If one exists, then the amount of this line would be updated with the revised difference.
India Local Payables - India Localization - Setup - Others - Invoice Tolerance
Operating Unit
User can select the Operating Unit value from the LOV.
Enable Percent Tolerance Flag
You need to enable this Flag if you want to allow Percentage based Tolerance limits. This Percentage would be applied on the Header Amount. On activating this flag, you will have to specify the Upper Percentage Value and Lower Percentage Value.
Enable Amount Tolerance Flag
You need to enable this Flag if you want to allow Amount based Tolerance Limits. On activating this flag, you will have to specify the Upper and Lower Value.
Important: Where you have specified both Percentage and Amount Tolerances then both will be applied on the Invoice and the Minimum of the two is considered as the Tolerance Limit.
Tolerance Charge account _ Id
You need to specify the GL Account to which the Rounding amount should be debited/credited.
The concurrent 'To insert tax distributions for pay on receipt' for processing of tax Lines for ERS Invoices created based on Purchase Receipts runs in batch mode. Whenever, some of the tax lines remain unprocessed due to some error, the error message is captured by localization. This feature provides with an option to view these error records and corresponding messages and mark them eligible for Reprocess. You would also have an option to delete these records.
To view the error records, navigate to India Local Payables - India Localization - Other - India - Resubmit Taxes for Pay on Receipt.
The form shows Invoice Number, Number of distribution Lines, Invoice Date, Error Date, Invoice Amount, Vendor Name, Vendor Site Code and Error Message for all Tax Lines (grouped by Invoice Number) that have ended in an error during 'India - To Insert Taxes For Pay On Receipt' program.
The user can check the records for resubmission either one or all at a time. If you would like to resubmit only one record then, you have to check the Re-Submit checkbox on the line. In you wish to resubmit all records, and then check the 'Re-Submit All' checkbox.
Check 'Re-Submit' for the Invoices that need to be resubmitted. Alternatively, Re-Submit All can be checked to resubmit all error Invoices.
Click on 'Submit' button.
Submit the concurrent 'India - To Insert Taxes For Pay On Receipt' for these Invoices to get processed.
Check 'Delete' for the Invoices that need to be deleted.
Click on Submit button.
The form would merely make the Invoices eligible for reprocessing. You have to explicitly run the concurrent 'India - To Insert Taxes For Pay On Receipt' for these Invoices to get processed.
This topic describes support for importing taxes to Payables and Receivables. After data is imported into Receivables or Payables table, you can run the new India – Interface Tax Import to AP and India - Interface Tax Import to AR concurrent processes to import taxes into Receivables and Payables along with the standard their transaction. For all imported tax, you cannot modify or delete the tax.
New Interface Data Mapping window is added for imported data mapping to Oracle E-Business Suite setups. When you import tax data from external system into E-Business Suite, the importing data must comply with EBS definition. Taxable event must be specified in the mapping window based on Operating Unit, you can determine if the imported data could be recalculated by OFI or not by this setup.
If there are no mapping setup or source data is incorrect, an error displays and the import process stops. Right information is imported as Receivables transactions with Completed status or Payables invoice with Need Validation status. Incorrect information is stored in the Interface table and you can correct the data manually and import it again submitting the India – Import OFI Interface Tax concurrent process.
Receivables
Before running the import OFI tax, perform the following:
Define external application's tax code mapping to E-Business Suite's Oracle Financials for India tax code in the Interface Date Mapping window.
Import transaction data to AR interface table, you define particular column in RA_INTERFACE_LINES_ALL with specific value and the same value is populated in the Oracle Financials for India Interface table.
Upload OFI interface table along with base interface table when updating data from the external system.
Run Auto Invoice concurrent process.
Submit the India - Interface Import Tax to AR process after the import is complete.
Import Taxes to OFI Taxes Interface Table
Imported application is Receivables. Ensure that Taxable Event is External or Standard. If the value is External, then add credit accounting of external system's tax generating and add Excise and VAT invoice number to interface. If the value is Standard, then taxes are recalculated in E-Business Suite along with accounting, invoice number.
Update and Confirm OFI Taxes
You can import data in Oracle Financials for India Taxes Interface window for both External or Standard taxable events. Run the, India – Interface Import Tax to AR, concurrent process to import Financials for India taxes into receivables transaction. If the process errors, then view the error log, correct the data in the OFI Taxes Interface table. Rerun the India – Interface Import Tax to AR concurrent process until the process completes successfully.
Create accounting
Confirm the imported OFI Taxes in EBS
Accounting:
When Taxable Event is External, all of interface exclusive tax accounting is copied to Receivables parent transaction's distribution. when Taxable Event is Standard, taxes are recalculated, accounting is generated for Exclusive taxes in Receivables parent transaction's distribution and for accounting is generated for Inclusive taxes in General Ledger.
Payables
Before running the import OFI tax, perform the following:
Define external system's tax code mapping to E-Business Suite application's OFI tax code in the Interface Date Mapping window.
Import invoice data to Payables interface table. Upload OFI interface table along with base interface table when updating data from the external system.
Run concurrent process, Payables Open Interface Import, to import Payables invoice from the interface table.
Submit the India - Interface Import Tax to AR process after the import is complete.
Import Taxes to OFI Taxes Interface Table
Imported module is Payables. Ensure that Taxable Event is External or Standard. If the value is External, then add debit accounting of external system's tax generating and add Excise and VAT invoice number to interface. If the value is Standard, then taxes are recalculated in E-Business Suite along with accounting, invoice number.
Update and Confirm OFI Taxes
You can import data in Oracle Financials for India Taxes Interface window for both External or Standard taxable events. External or Standard taxable events. Run the, India – Interface Import Tax to AR, concurrent process to import Financials for India taxes into receivables transaction. If the process errors, then view the error log, correct the data in the OFI Taxes Interface table. Rerun the India – Interface Import Tax to AR concurrent process until the process completes successfully.
Create accounting
Confirm the imported OFI Taxes in EBS.
Accounting:
When Taxable Event is External, all of interface exclusive tax accounting is copied to Payables invoice distribution line type of Miscellaneous. When Taxable Event is Standard, taxes are recalculated, accounting is generated for Exclusive and Inclusive taxes in invoice distribution and for Miscellaneous line type.
A new window, Interface Tax Lines India, is created for previewing interface tax lines in the India Local Receivables responsibility, under the Transactions menu. The interface data that are not imported into Receivables or Payables successfully due to validation errors also display here.
Field Reference
Operating Unit – Select or enter the operating unit. This field is mandatory.
Organization – Enter or select an organization.
Location – Enter or select a location.
Import module – Select either Payables or Receivables.
Error Exists - This is View only field.
Batch Source Name – Enter the name of the batch source.
Taxable Event – Select the value as External or Standard. If you do not enter this field, then the system defaults value form tax code mapping window.
Taxable Basis – This field is mandatory only for Standard event. The value is Line Amount or Assessable Value. If this is being used with Payables as the Import Module, then select Line Amount as the value. Excise and VAT import are not supported.
Transaction Number - If Receivables is used as the Import module, then tax data is inserted into the transaction number. If Payables is used as the Import module, then tax data is inserted into the transaction number
Transaction Line – Enter the transaction line.
Transaction ID – Enter the transaction ID to distinguish the record.
Exclusive Tax Amount – Enter the value for exclusive tax amount.
Inclusive Tax Amount – Enter the value for inclusive tax amount.
VAT Invoice Number – Displays the VAT invoice Number if available for External event.
Excise Invoice Number – Displays the Excise invoice Number if available for External event.
Reference – Displays the document numbers that are generated in the import from modules or external system.
Party Name – Enter the Supplier or Customer name. This field is mandatory.
Party Site Name – Enter the site for the supplier or customer. This field is mandatory.
Tax Category – Enter tax category for Standard event.
Service Type – Enter the service type. If you do not enter a value in this field, then the system gets default value from Supplier Additional information setting. If no values are setup in the Supplier Additional information, then the Tax Import process displays an error.
New Concurrent processes, India – Interface Tax Import to AR and India – Interface Tax Import to AP are created to import taxes from interface table to Receivables and Payables.
In Receivables, the Import process is submitted following the AutoInvoice process. In Payables, the Import process is submitted following the Invoice Validation process. When Payables Open Interface Import process completes, run the Invoice Validation concurrent process to validate imported Payables invoices.
Field References
Following are the common parameters for the Receivables and Payables Interface Import Tax process:
Operation Unit – Enter or select the operating unit.
Organization – Enter or select the organization associated with the operating unit.
Location – Enter or select the location for the organization.
Supplier Name (Payables) or Customer Name (Receivables) – Enter or select the supplier name for Payables and customer name for Receivables.
Supplier Site (Payables) or Customer Site (Receivables) – Enter or select the supplier site for Payables and customer name for Receivables associated with the Supplier and Customer respectively.
Transaction Number From – Enter or select the transaction number to start from.
Transaction Number To – Enter or select the transaction number to end with.
Taxable event is External
Validated tax data and tax accounting are imported to tax detail and transaction distribution line. All eligible data is imported into Receivables and Payables transaction table and OFI taxes table without changes. You can modify the incorrect data in the interface table.
Taxable event is Standard
All eligible taxes are recalculated based on tax defaulting rules. You can modify the incorrect data in the interface table.
A new concurrent program, India - Interface Tax Purge Program, is added to purge all data in the interface table.
Field Refernce
Import Module – Select the import module, AR or AP.
Operation Unit – Enter or select the operating unit.
Organization – Enter or select the organization associated with the operating unit.
Location – Enter or select the location for the organization.
Party Name – Enter the Supplier or Customer name. This field is mandatory.
Party Site Name – Enter the site for the supplier or customer. This field is mandatory.
Source Invoice Number From – Enter or select the source invoice number to start from.
Source Invoice Number To – Enter or select the source invoice number to end with
Line Status – Select the line status, All, Error, or Success.
This section provides overview and detailed descriptions of the following reports:
Form 16A Report
TDS at Prescribed Rate Report
India Cash/Bank Book Report
India-Creditors Ledger Report
India-Creditors Trial Balance Report
India-Statement of Account for Suppliers
India - BOE Write Off Report
India - TDS Related Invoices Report
India VAT Returns Template
India - BOE Detail Report
Use Form 16A Report to print Form 16A (As per Statutory Format) for sending it to Vendors. 'ORIGINAL' is printed on the Form when printed for the first time and 'DUPLICATE' will be printed for subsequent prints of same Certificate.
If some problem occurs during printing of Certificate for first time (e.g. Printer Paper jam etc.), then navigate to 'View TDS Certificate - India Localization ' Form in AP Module and set the 'PRINT FLAG' of corresponding certificate to 'N', then the next Print will print 'ORIGINAL' on the Certificate.
Report Submission
Use the Submit Requests (India Local Payable Module only) form and enter India TDS Certificates in the Name field to submit the report.
Report Parameters
TAN Number (Mandatory)
Select the value from the LOV.
Financial Year (Mandatory)
System will display all the Financial Years from the LOV Based on the transactions will be processed.
Organization (Optional)
Select the value from the LOV. System will use this Organization details for printing the address on the report.
Certificate Nos. From (Optional)
India Localization prints all the Certificates starting with the Number you enter for this parameter.
Certificate Nos. To (Optional)
India Localization prints all the Certificates up to the Number you enter for this parameter.
Certificate From date (Optional)
India Localization prints all the Certificates starting From the Date you enter for this parameter.
Certificates To date (Optional)
India Localization prints all the Certificates up to the Date you enter for this parameter.
Vendor (Optional)
India Localization prints the Certificates for this Vendor only, if you enter a value for this parameter.
Name of the Signee (Optional)
India Localization prints this Name in Full Name field of Certificates
Designation (Optional )
India Localization prints the Designation of the Signee on the report.
Place (Optional)
India Localization prints this Name in Place field of Certificates
Report Headings
Report Headings provide you with general information about the contents of the report. India Localization prints Certificate Number and Sheet Number of certificate on all pages, along with report heading.
Also on the first page of the Certificate Name & Address of the Company Deducting the Tax, Tax Deduction A/c No. of the Deductor, PAN / GIR No. of the deductor, TDS circle where Annual returns are filed u/s 206, Name & Address of the Person in whose a/c it is credited, PAN / GIR no. of Payee & the period are printed.
Also at the end of each certificate Total amount of tax deducted for the particular vendor (for the period) is printed in Words.
Column Headings
Invoice Date
Date of Invoice.
Amount Paid or credited (Rs.)
Invoice amount.
Amount of Income tax
Amount of Tax Deducted at source.
Challan Number and Date
Challan Number and Date on which tax was deposited to Central Govt. A/c.
Name of bank where tax is deposited
Name of bank where tax was deposited.
Report Order
Report is printed in the order of Invoice date for a certificate.
Use TDS at prescribed rate Report to calculate Tax deducted at source for a company or others for various TDS categories like Rent, Technical / Professional Services, and Payments to Contractors/Subcontractors etc.
Report Submission
Use the Submit Requests (India Local Payable Module Only) form and enter India TDS at prescribed rate Report in the Name field to submit the report.
Report Parameters
Organization TAN Number (Required) PICK
Select the value from the LOV.
FIN Year (Required) PICK
Select the value from the LOV.
Organization (Optional) PICK
Select the value from the LOV.
TDS Payment type (Required) PICK
Enter a TDS Payment type, you wish to take the TDS at prescribed rate Report for.
Supplier Organization Type (Required) PICK
Enter a Supplier Organization type (Company or others), you wish to take the TDS at prescribed rate Report for.
Period of Report (Optional)
Report Headings
Report headings provide you with general information about the contents of the report. Oracle lists Organization information based on User parameter input.
Column Headings
PAN Number of the Company
PAN Number of Company for which TDS has been deducted.
Name of the Company
Name of Company for which TDS has been deducted.
Address of the Company
Address of Company for which TDS has been deducted
Amount Credited or Paid
(Invoice) Amount paid or credited whichever is earlier.
Date on which Amount Credited or Paid whichever is earlier
(Invoice) Date on which Amount paid or credited whichever is earlier.
Amount of Tax Deducted
Amount of Tax Deducted for the Invoice
Date of Deposit
Date on which Tax was deducted for the Invoice.
Date on which Tax was paid to the Credit of the Central Government
Date on which Tax was paid to the credit of the Central Government.
Tax Deduction Certificate Number
TDS Certificate Number which was sent to the Supplier informing him the TDS details.
Date of furnishing of TDS Certificate to Company
Date on which TDS Certificate was sent to the Supplier Company.
Report Totals
Invoice Amount Total and TDS Amount Total for the report.
Report Order
Report is printed in the order of Vendor Name, Certificate Number and Invoice Number for the selected Organization.
The Cash/Bank Book can be printed as per user requirement for a range of period.
Report Submission
Use the Submit Requests (India Local Payable & India Local Receivables Module) form and enter India-Cash/Bank Book Report in the Name field to submit the report.
Report Parameters
Bank Name (Required) PICK
Account Number (Required) PICK
Account Number of the Above Bank for which the User wants to take the Bank Book for a given period.
Book Type (Required)
Either 'B' meant for Bank Book or 'C' meant for Cash Book can be selected by the User from the LOV
Start Date (Required)
End Date (Required)
Report Headings
Report headings provide you with general information about the contents of the report. Oracle lists Company Name based on User parameter input.
Column Headings
GL Date
GL Date for the transaction will be reported.
Voucher No & Date
Voucher Number and Date will be reported
Check Number & Date
Check Number and Check Date will be reported
Supplier Bill Number and Date
Supplier Bill No & Date will be reported
Vendor Name/Customer Name
In the Case of Payments, the Vendor Name will be reported. In the Case of Receipts, the Customer Name will be reported. For charges in the Bank Book , this field won't be having any details.
PO Number. & Date
PO Number for the respective purchase will be reported
Remarks/Narration
Remarks / Narration appearing in the Receipts and Payments Vouchers will be reported
Account Code
GL Account for the respective Receipts and Payments will be reported
Description
Description of the GL Account for the respective Receipts and Payments will be reported.
Receipts
Receipts Amount will be reported into this column
Payments
Payments Amount will be reported into this column.
Balance
Balance Amount in the Cash/Bank will be reported into this column.
Use this Report to get Creditors Sub-Ledger with complete details of Invoices, Debit Memos and Payments.
Use the Submit Requests (India Local Payable modules Only) form and enter India-Creditors Ledger Report in the Name field to submit the report.
Report Parameters
Vendor Name (Optional) PICK
If the User wants Creditor Ledger for a specific Vendor, then he need to enter Vendor Name here otherwise Sub Ledger for all the Vendors for a given period will be reported.
Vendor Number (Defaulted) PICK
Vendor Number of the above Vendor will be defaulted here.
Vendor Type (Optional)
If the User wants Creditor Ledger for a specific Vendor Type, then he need to enter Vendor Type in this field otherwise Sub Ledger for all the Vendors for a given period will be reported
Chart of Accounts
Enter the chart of accounts details.
Account Code
Enter or select the account code.
Operating Unit
Enter or select the operating unit to which you have access.
As of Date
Enter the date on which the balances want to be computed and shown. It must not be a future date. It must be system date or lesser than system date.
From Date (Required)
To Date (Required)
Vendor Site (Optional) PICK
Report Headings
Report headings provide you with general information about the contents of the report. Oracle lists Company Name based on User parameter input.
Column Headings
GL Date
GL Date for the transaction will be reported.
PO No
PO Number will be reported
Organization Name
Name of the Organization Location where in the transaction taken place will be reported.
Batch Number
Batch Number for the transaction will be reported.
Invoice Type
Invoice Type will be reported
AP Invoice No / Date
AP Invoice Voucher No and Date will be reported
Supplier Bill No / Date
Supplier Bill Number will be reported
Payment voucher No / Date
Payment Voucher / Invoice No and Date will be reported
Check No and Date will be reported
Description
Description appearing in the Invoice or Payment Voucher will be reported
Account Code
GL Account for the respective transaction will be reported
Currency
Transaction currency will be reported
Exchange
Foreign Currency Dr
Debit amount in a foreign currency transaction will be reported.
Foreign Currency Cr
Credit amount in a foreign currency transaction will be reported.
Rupee Equivalent Dr
Rupee equivalent for the Debit amount will be reported.
Foreign Currency Cr
Rupee equivalent for the Credit amount will be reported.
Use the Submit Requests (India Local AP modules Only) form and enter India- Creditors Trial Balance in the Name field to submit the report
Report Parameters
If the User wants Creditor Trial Balance for a specific vendor, then he need to enter vendor name here otherwise Trial Balance for all the vendors for a given period will be reported.
Vendor Number of the above Vendor will be defaulted here.
Vendor Type (Optional)
Vendor Type will be shown in this column.
Account Code (Optional)
CL Account code will be printed here
As of Date (Required)
Enter the date on which the balances want to be computed and shown. It must not be a future date. It must be system date or lesser than system date.
Vendor Name From and To
Enter the vendor name range for which the report displays the trial balance details.
Vendor Number From and To
Enter the vendor number range for which the report displays the trial balance details.
Vendor Type Lookup Code
Enter the values of the lookup code.
Chart of Accounts
Enter the chart of accounts details.
Account Code
Enter or select the account code.
Operating Unit
Enter or select the operating unit to which you have access.
Report Headings
Report headings provide you with general information about the contents of the report. Oracle lists Company Name based on User parameter input.
Column Headings
Sl.No
Serial Number of the Trial Balance will be reported.
Vendor Type
Vendor Type will be reported
Vendor Name
Vendor Name will be reported.
Vendor Code
Vendor Code (Number) will be reported
Currency
The Transaction currency will be reported.
Entered Amount
Closing Balance of a vendor in Foreign currency will be reported.
Rupee Amount
Rupee equivalent of a vendor will be reported
Total : Total Vendor Balances in INR
Total for the Vendor is shown in RS
Order by : Liability Account wise
This statement of account of Creditors shows Invoice wise outstanding to a Vendor
Report Submission
Use the Submit Requests (India Local Payable modules Only) form and enter India- Statement of Accounts for Suppliers in the Name field to submit the report.
Report Parameters
Vendor Name (Optional) PICK
If the User this Report for a specific Vendor , then he need to enter Vendor Name here otherwise Statement of accounts for all the Vendors for a given period will be reported.
AS on Date (Required) PICK
Up to a Specific Date
Aging interval like 30 days or 15 days can be entered by the User
Number of Interval (Optional)
Report Headings
Report headings provide you with general information about the contents of the report. Oracle lists Company Name based on User parameter input
Column Headings
AP Voucher No
AP Voucher No will shown here
Bill no
Supplier Bill Number
Bill date
Supplier Bill No
Vendor Name
Vendor Name will be reported.
Amount
Amount of the Bill
Remarks
Remarks will be shown here
This Reports gives the Details of Written off Bill of Entry for a given period
Report Submission
Report Parameters
BOE Number From (Optional)
BOE Number To (Optional)
BOLE Number will be shown here
From Date (Required)
Start Date will be shown here
To Date (Required)
End date will be shown here
Report Headings
Column Headings
The following field will be reported
Account Code
Displays Account code.
Bill no
Supplier Bill Number
Bill date
Vendor Name will be reported.
Amount
Outstanding Invoice Amount will be reported.
Remarks
Remarks like 'Partly Paid' will appear for Partly paid Invoice.
This Report provides with the list of All Invoices for which TDS has been calculated. For each such Invoice, all TDS Related Invoices generated for the Invoice are shown.
Event
Invoices shown
On Validating a Standard/Prepayment Invoice
Credit Memo generated for the Supplier
On Applying Prepayment Invoice to a Standard Invoice
Invoice generated for the Supplier
On UnApply Prepayment Invoice to a Standard Invoice
Credit Memo generated for the Supplier
On Cancellation of Standard Invoice
Standard Invoice generated for the Supplier
Report Submission
Report Parameters
Operating Unit defaults from the one specified for the Responsibility
From Date (Defaulted) PICK
Enter a Date here. This date is compared against the Invoice Date of the Invoices for which Tax is Deducted at Source.
To Date (Optional)
Enter a Date here. This date is compared against the Invoice Date of the Invoices for which Tax is deducted at Source
Report Headings
Report headings displays name of the Report and the Period for which this Report is generated.
The Report Details Section has two parts. One that shows the details of the Base Invoice for which TDS is calculated and the next, which lists out all TDS Invoices, related to the Base Invoice.
Column Headings
Invoice Name
This field displays the Type of Invoice and the Invoice for which this is generated.
Invoice Number
This field displays the Invoice Number
Invoice Amount
This field displays the Invoice Amount.
Invoice Currency
This field displays the currency applicable to the Invoice
Vendor Name
This field displays the Vendor Name.
Vendor Site
This field displays the Vendor Name.
TDS Section
This field displays the Income Tax Section under which TDS is calculated
TDS Tax Name
This field displays the Name of the TDS Tax.
TDS Tax Rate
This field displays the Rate.
India – VAT Returns Report provides data related to sales and purchases, which can be used to fill state-specific VAT return forms. Use the Submit Requests / Other Reports form (India Accounts Payable / India Accounts Receivable) and enter India VAT Returns Report in the Name field to submit the report.
Report Parameters
| Field Description | Type | Action | Description |
|---|---|---|---|
| Registration Number | Required | PICK | The Registration number for which the report is being generated. |
| Organization Number | Optional | PICK | The Inventory organization for which the report is being generated. |
| Location | Optional | PICK | The Inventory Location for which the report is being generated. This needs to be left blank if all locations are to be printed. This gets enabled only if the Inventory Organization is selected. |
| From Date and To Date | Required | Start Date and End Date for which the report is being run. |
A new report, India Localization - BOE Details Report, is added. You can submit this report from the tools menu of the BOE Lines window or though the normal report submission. In this report, you can see the bill of entry lines based on the bill of entry item lines or grouped by customs Tariff Code.
When you submit this report as a request, you must specify the bill of entry Number. All taxes are shown for each line of the bill of entry along with the Assessable Value for the tax if available.
Report Parameters
Organization Name – Select the Inventory Organization to see data for the selected Inventory Organization.
Location Name – Enter or select the location for the selected inventory organization.
BOE Number – Select the bill of entry number. If this field is not entered, then the report is generated for all the bill of entry numbers.
Status – Select the bill of entry status. The following are the BOE Invoice status
Applied
Available for Receipt Application
Cancelled
Closed
Confirmed
Not Yet Assessed
Group By Customs Tariff Code + UOM – Enter the customs tariff code to group by. You can select Yes or No as the values.
The standalone AP invoice is an invoice created manually by a user in Oracle Account Payables module that does not matches either to a purchase order or a receipt. The support for standalone AP Invoice functionality allows the India localization users to compute taxes such as service tax on standalone AP invoices. Primarily standalone AP invoices are raised for non-item based expense or service activities.
Value Added Tax (VAT) or Sales Tax (ST) can now be attached to invoices where item information is not critical. You can also add non-recoverable taxes of 'Any Other' type to standalone invoices. You can also use the non-recoverable tax type to add other miscellaneous charges to the invoice.
You can compute taxes on standalone AP invoices in the following two ways:
You can assign a tax category directly to a supplier site for defaulting of taxes on standalone invoices. You can do this by defining the tax category on the Supplier Tax Information India Localization window.
Tax defaulting to Standalone AP invoices happens only if a tax category is assigned at supplier site used in the invoice and when you have the invoice line in the AP Invoices workbench.
You can also add a tax category or tax lines manually if these were not attached at the supplier site level. You can also modify the defaulted taxes on this window. To add a tax category or tax lines, perform the following:
Navigate to the invoice.
Select the Lines tab.
Select the invoice line.
Select Tools > IL Tax Details from the menu to navigate to the India Localization Taxes window.
Select the tax category at the header level, the taxes associated with this category are shown in the tax lines.
Alternatively, you can also add each tax line and add precedences accordingly.
The Pay on Receipt invoices, Tax Detail India Localization will be shown in a View Only mode
TDS Invoices - you cannot add any taxes to these invoices.
Third Party Invoices: you can add taxes to these invoices.
Project Invoices:
If a service tax is attached to a standalone invoice line and is recoverable, then such recoverable service tax is created as a separate tax line (miscellaneous type) with the appropriate accounting code combination specified in the service tax recovery setup at the time of saving the invoice.
On validation of the invoice, the recoverable portion of the service tax is populated to the service tax repository.
Till recent, Oracle Financials for India did not allow picking the exchange rate at the time of application of the receipts. It used the Exchange rate available while entering the Invoice. The current enhancement complies with the service tax regulations and the service tax liability on foreign currency transactions is accounted based on the exchange rate applicable on the receipt date. Oracle Financials for India passes an accounting entry to bridge the rate difference between the invoice date rate and the receipt date rate.
The Service Tax interim liability is squared off based on the differential rate and the liability is not counted as part of P&L but deposited to government treasury.
All the following service tax recovery reports include the service tax information on standalone invoices.
India - Service Tax Credit Register report
India - Service Tax Pending Recovery report
India – Service Tax ST3 report
ER1 report