Frequently Asked Questions

Goods and Services Tax

How does a customer configure EBS for addressing India GST compliance requirements?

Oracle has enhanced the E-Business Suite India localizations (Oracle Financials for India), that enables you to map India Goods and Services Tax (GST) requirements through flexible user configuration. With the new flexible user-configuration approach, you can configure the GST regime, different tax types proposed under the new GST regime, applicable tax rates, define and default applicable taxes to specified transactions and account the tax liability and input tax credit.

How do you plan to implement the changes in software in the existing clients?

Customers must configure their GST and other transaction tax requirements using the new India Localization GST solution. Using the new GST solution, customers can configure their GST requirements. GST brings in significant process changes to the compliance requirements and the flexibility provided by the new software solution that enable customers to configure their GST requirements.

Would separate license be required to be purchased to apply GST patch?

No, as a product legislative update, the GST patch works for all Oracle E-Business Suite versions that are on premier or extended support as of the date of the release of patch (for example, 12.1.x and 12.2.x). GST feature is not available for any release versions that are in sustaining support (for example, 11.5.10).

What is the minimum version of Oracle EBS that will be supported by the patch?

The India GST patch is available for Oracle E-Business Suite application release version 12.1.1 onwards. India GST is a product legislative update patch made available per the Oracle support policy for release versions in Premier or Extended support.

What are the key changes in functionality delivered by this patch?

There are major functional and design changes for the GST solution. Some of that includes:

Would there be any changes in India localization functionality other than indirect tax (for example, TDS, TCS, BOE, outside processing transactions, and so on)?

No functionality changes on TDS and TCS except the way in which TDS and TCS taxes are defined or configured. Bill of Entry (BOE) design has minor changes. Outside Processing solution supports calculation of GST on the value addition and availing input tax credit on GST.

Will all tax reporting requirements be met through GST patch or will new custom reports need to be developed?

The E-Business Suite GST patch makes the reporting data through unified repositories and extracts. The electronic transmission of returns to the GSTN portal must be routed through appointed GSPs (GST Suvidha Provider).

What would be the impact on current master data and tax register balances data?

You need to configure the master data like the First party registration, Third party registration, Item classification, service classification in the new patch. The GSTN fetches the closing balance of input tax credit from the last returns filed under the existing tax regime and carries forward as an opening balance under the GST regime.

Can I configure the India GST solution if I did not previously implement India localizations?

Yes. There is no requirement that India Localizations must be implemented first before configuring the GST solution. The final patch for India GST replaces all previous India localization functionality. To use the final patch for India GST, you must configure the GST solution as per the requirements and complete all mandatory setups including configuring GST, GST, existing transaction taxes that are not going to get subsumed by GST for specific industries.

Is it mandatory to use the E-Business Suite GST patch?

Yes. With the transition to India GST, use of the E-Business Suite GST legislative update patch is mandatory for enabling compliance with India localization requirements. The current India localization solutions will be de-supported once the transition to GST regime is complete. Support for India localization is available only for the new solution. To get continued support, it is mandatory for customers to upgrade to the India GST patch.

How is the management of co-existence of different tax regimes handled as GST is not applicable in the case of some of the exempted goods (for example, petroleum products).

You can configure this requirement by using the new GST solution. For example, two different regimes can be created and these regimes can be used for transactions.

Is there going to be anything available in Oracle patch to capture GSTN number for Customer or Dealer and Vendor master and HSN/SAC number for item master?

The GST registration number of the organization, supplier and customer need to be captured using the Oracle Financials for India First party and Third party registrations. The GST solution support captures the registration details of all the parties involved in the supply of goods or services.

Is any utility going to be provided to update the Customer or Dealer, Vendor, or item masters?

No. There are no utilities to upload the master data information. You are expected to update the master data for the GST regime manually or build custom utilities for mass data upload.

There is a specific window for capturing the GST registration information for the organization, customers, suppliers, and item or service classification.

Is there going to be anything in the Oracle India GST patch for computing and accounting GST on stock-transfers happening using the sub-inventory?

Yes. IRISO transactions across operating units are supported.

Will the India localization around GRN be maintained as it is, or will it change? Will multiple tax lines for the item (for SGST, CGST and IGST) be allowed on the GRN?

There are many changes to the existing solution. Receipt and tax recovery related features are completely re-engineered to enable compliance to the GST requirements and for better computation. Multiple taxes are allowed.

How will the AP ERS invoices deal with multiple tax lines for an item (for example, SGST and CGST)?

Taxes confirmed on receipt are imported to Accounts Payable.

Is Oracle patch going to come up with new tax codes for GST?

Yes. The GST solution provides complete flexibility to configure the regime to rate flows. The set up procedures are very different in the new GST solution.

Is the GST patch covering the functionality for TDS of Indirect taxes?

Specifications on requirements for TDS under GST are not yet available. Any important requirements related to TDS for GST will be considered once the final specifications are available.

How will the IGST on imports be handled in the patch?

The BOE functionality supports computation of IGST on imports and the application of customs type of taxes and IGST paid on import.

Is Oracle building an out of the box interface to send data to the government website?

No, the interface for electronic submission to GSTN and from GSTN back to company systems will be done through intermediaries call GSPs. GSTN is in the process of finalizing work with GSPs and we expect additional information on selected or approved GSPs to be available soon.

Oracle Purchasing

Following are the frequently asked questions in Purchasing area.

Purchase Orders

1. How do I use Supplier Merge effectively?

a. Setup Supplier Additional Information window for the new Supplier before running Supplier merge report.

b. After completing the setup Run Supplier Merge

If you do not do the above, Supplier Merge Report ends with an Error.

2. Which Purchasing tables are updated in the course of Purchase transaction created with Taxes?

Data will be stored in jai_tax_det_factors and jai_tax_lines which is common across all entities

For PO

For Reciepts

To check accounting entries.

Data will be populated in jai_tax_journal_entries and gl_interface

where det_factor_id --> gl_interface.reference23

tax_line_id -->gl_interface.reference24 material transation is not changed and it is as is as before

3. How do taxes default on a Purchase Orders?

India Localization Tax Configuration follows 3-way defaulting methodology for Tax Defaulting. This feature automates defaulting of Taxes that would be applicable to the Transactions. Below are the actual setups required to default the taxes:

  1. Based on Common Configuration the system considers Rule Basis or Item Category Basis. If it is an item category basis we will check whether there is any active Item category and we will default if we find one.

    1. a. First level considers the Item Category list attached to the Supplier and Site.

    2. b. In the absence of Item Category list for Supplier and Site combination, the Item Category for the null Site of the Supplier is considered.

  2. If neither of the above returns any Tax Category, the same is fetched based on the Item Class assigned to the Item. Tax Category and Item Class relationship are set in the Tax Category window.

  3. If it is rule basis, then the system matches transaction level data to current rules and if any matches, then it is defaulted. If more than one transaction is matched, the precedence of rule and default tax category are considered.

In all the cases, after arriving at the Tax Category, the taxes defined thereof are defaulted. You can make changes to the taxes that are defaulted.

Where all levels of defaulting fail, you would have an option to assign Taxes to the Shipment lines manually.

4. Can we change taxes on an Approved PO?

Yes, you can modify taxes if Approver Can Modify option is enabled for the PO in the Document Type page. It can be modified only before approving the Purchase Order. When you modify the taxes in Purchase Order Financials for India windows and attempt to save it, a message confirms if you wish to save the updates.

5. What is the impact on taxes on changing quantity on a PO Release?

Whenever you change Quantity, taxes are calculated based on new Quantity upon saving the release.

Purchase Orders - Errors

6. How to avoid the Error: Currency conversion rate not defined in the system, when the PO was amended?

This error occurs when PO is created or updated.

Verify if the inventory organization on that date is in foreign currency for the PO.

This happens only when Inventory Organization is not attached to the Ship To Location

To resolve this:

Attach the Inventory Organization to Ship To Location by navigating through

India local Inventory - Setup - Organization - Location.

Quotations

7. How is Per landed cost calculated for a quote that includes localization taxes?

Per landed cost = Unit Price + [Sum (non cenvatable taxes ) / qty ]

You can view Per Landed Cost through Quote Analysis window by navigating through

Oracle Purchasing RFQ and Quotations Quote Analysis

8. How do we make the Supplier available in the Supplier LOV on a Quotation?

Please set HOLD_FLAG attribute of the supplier to N in the Supplier window.

Navigation - Oracle Purchasing - Supply base - Supplier.

Receipts

9. What happens to RTP when the taxes are not confirmed at Reciepts?

RTP errors out when Confirm option is not enabled. You must confirm the taxes before saving the receipt. For Direct Delivery, you must confirm before saving and it is mandatory. For Other routing methods, you need not save the receipt but if the transaction has child events, such as Inspect, Accept, Transfer, or RTV, then you must confirm before saving.

10. How does average costing work with localization taxes?

When material with non-recoverable taxes are attached, non-recoverable amount is populated into Value_Change column of Mtl_Material_Transactions_Temp (MMTT).

Inventory transaction worker fires and pulls the record from Mtl_Material_Transactions_Temp and puts it into Mtl_Material_Transactions table.

You can identify the record where transaction_ID = 1001 and Value_Change Column is populated in MMTT for the Rcv_Transaction_Id.

The next Average cost update worker Request that is submitted picks up all the records from Mtl_material_transactions that are not costed and add to the item cost.

11. How do we handle third party taxes included in a Purchase transaction?

Pre-requisite Setup: Creating a Third Party Tax

Transaction

After saving the receipt submit India Concurrent for Third party Invoices concurrent program from India local Purchasing. This concurrent runs, in turn, submit Payable open interface to generate the third party Invoices.

12. What are the impact of changing Taxes on Receipts?

The standard applications, Receiving Transaction Processor, needs to be completed before the localization window reflects the taxes.

On Receipt, all modifications are permitted if the TPB (Tax Point basis) is set to Delivery.

hey can change the Taxes only if the TPB is Delivery and flowwing changes are allowed. 1. Deletion 2. 3.4.

Following changes are allowed:

Once the Receipts window is closed, concurrent for passing accounting entries program is submitted. This concurrent updates GST Registers - RG 23A-C Part II, RG23D based on Manufacturing or Trading Organization respectively. In a Manufacturing Organization, these entries are passed only when the Claim CENVAT on Receipts Flag is set to Y.

This request also posts Delivery entries if the Receipt Routing is Direct Delivery.

You can check for the successful completion of the above concurrent program by navigating through View - Request.

13. Which Costing methods does Oracle Costing support?

oracle Costing supports Average and Standard costing methods.

14. What is the process to recover Recoverable amount on Receipts ?

All recoverable taxes can be recovered in the Process Claim window by querying a particular transaction.

15. How does Receipt Quantity Corrections impact Localization Taxes?

For Corrections, taxes are copied from Receipt and are calculated as per thecorrected Quantity.

16. How to handle Receipts for which GST Invoice is not received or is missing?

For these types of transactions, navigate to the Process Claims window. Set these transactions not eligible for recovery and these are accounted as Expense.

17. Is Partial Recovery allowed?

Partial recovery is allowed only if the recovery percentage is less than 100 at Tax rate level. For example, if the tax rate per Recoverable is 50%. If Total tax is 100 for a transaction, then 50 is recoverable and 50 is non-recoverable. Only 50 is available from the Process claims window.

18. Why are Receipts not appearing for recovery on receipt window to avail claims credit?

Receipts are considered for recovery only when the following conditions are satisfied.

  1. Tax should be Recoverable.

  2. FP details should be populated at Transaction Level.

  3. TPB should be set to Delivery.

You can verify this using the following queries:

a. Select * from JAI_INV_ITM_SETUPS where inventory_item_id = & item_id and organization_id = & organization_id

b. Select * from mtl_system_items where inventory_item_id = & item_id and organization_id = & organization_id

19. What conditions should be satisfied in order to claim GST Credit?

Following conditions should be satisfied so as to claim recovery Credit:

  1. Organization or Location should be defined as a Manufacturing Organization

  2. GST and Modvat options should be set to Yes for the Organization Item in the item setup.

  3. Goods should be received into a Bonded Subinventory.

  4. The Receipt should carry GST Type of Tax for which the Credit Percentage has been set to 100. You can also use Additional Customs (CVD) Taxes to claim Recovery.

  5. Claim Recovery on Receipt option should be set to Yes for the Receipt. Else, the Recovery Claim is deferred. Recovery on such deferred receipts are claimed through Claim Recovery On Receipts window.

20. Which Taxes are recoverable? How are such taxes accounted?

In the case of tax types other than GST and Additional Customs, you can specify the percentage of tax that can be recovered. The recoverable portion are accounted in the tax account defined. The non-recoverable portion is added to the Item Cost.

Returns

21. How should we treat Recoverable on Capital Goods when these goods are returned in the year of purchase?

100% Recoverable credit has to be availed before carrying out the Return To Vendor transaction. This should be through the Process Claim on Receipts window.

In case you return the material without claiming Recovery, the To Handle Deliver RTR RTV runs into error. This impacts the reversal of Accounting and GST Register Entries.

The error message would be, ORA - 20010: The RTV Quantity is equal to Receipt Quantity and the remaining 50% Recovery is not availed.

To process these error records, run the India Program to Execute Pending Records.

22. How is a separate GST Invoice Series is setup for Purchase Returns Transaction?

Setup for Return To Vendor transaction type needs to be set in Additional Organization Info screen for a given Organization, Location combination. Else the default GST Invoice Number sequence is considered.

23. How are Duty Registers impacted on RTV?

GST Registers are updated on a Return transaction only when you set the Generate GST Invoice option to Yes in the Existing Return to Vendor window in Actions columns. You enter Yes or No each for GST or GST indicating whether he wants to generate GST or GST Invoice Numbers respectively.

GST Register entries for RTV is passed only when the value entered is Yes, otherwise GST Register entries are not updated. The default value is No.

In the case of Manufacturing Organizations, the Duty Registers selected depends upon the preferences set up done in the Additional Organization Info window.

If PLA is set as the last preference and the item returned is a capital good (CGIN Item) then, balance in RG 23C Part II would be considered first. PLA would be updated only if there is no adequate balance in RG 23C Part II. However, balance in RG 23A Part II registers is not considered.

RG 23D Register would be updated for Trading Organizations.

24. How to generate GST Invoice for a Return Transaction?

Fill RMA Number in the field provided in Returns window and select, generate GST Invoice No = Y. Run India Return To Vendor report for the given RMA Number.

25. How to ensure that PLA is debited on RTV when sufficient balances are not available in RG?

PLA register is debited depending upon the Allow negative PLA option. If allow negative flag is set to N, and if the balance is not available in PLA, then the system raises the application error as there are no available balances in registers, if sufficient balance is available in PLA then PLA Register is debited.

26. How to return the material at different GST rate for Small-scale industry?

If you have to return the material received from SSI, then at GST rate of 16% though the material is received at 9.6% rate.

In order to achieve this, please create the Return To Vendor transaction from Return to Vendor-India and change the GST rate from 9.6 to 16% in Return To Vendor-India taxes window.

When the tax is applied the difference of 6.4% tax amount entries are reversed.

Returns - Errors

27. Why does To Handle RTR/RTV ends with Error: RTV Expense account not found?

This error occurs when the RTV Expense Account is not defined in the Additional Organization Information.

28. What should I do when, To Handle RTR/RTV ends with Error: 'RTV Expense account not found?

  1. Define the RTV Expense Account in Additional Organization Information.

  2. Run the India Program to Execute Pending records for this Receipt.

Accounting

29. Does Oracle Financials for India support Accrual on Receipt or period end Accrual?

Yes, Oracle Financials for India supports only for Accrue on Receipt.

30. How do we pass Accounting or Register entries when they are not generated on Receipts, Claim CENVAT or on Return Transactions?

Schedule the India program to execute pending records concurrent program to generate accounting entries for all unprocessed records. You should ensure that there are no online receipt transactions when this program is submitted.

Optionally, you can submit it for a given Receipt Number. Submit this record by navigating through (N) Oracle Financials for India > Purchasing > Report > Run India program to execute pending records.

31. What journal categories populated into GL for local Tax entries?

32. How to track local tax entries while reconciling GST Registers with General Ledger?

Unposted Entries: Check the following fields in Gl_Interface

Posted Entries: Check the following fields in GL_JE_Lines

Description: Description

Period End

33. What caution must be taken before closing the PO and AP Period?

If there are any such Receipts then you need to run India Program to execute pending records to clear these.

34. How do I Reconcile differences between the GST Register Entries and General Ledger entries?

Reconciliation of the General Ledger with the Subledger data provided by India tax shall be done as per the following process:

You need to have the india tax queries to complete the reconciliation process.

Step 1

Import all the records pending in interface table and ensure that there are no pending transactions in the interface. Compare the GL account balances with the India Tax subledger balances to verify whether the balances are tallying. The following are the India Tax reports that could be used for this purpose:

Step 2

If any differences are observed in these balances, the queries provided by India Taxes shall be run to find out the exceptions. The list of queries are given below:

Receiving Entries:

Modvat Entries:

Delivery Entries:

Return to Receiving Entries:

Return to Vendor Entries:

AP Accrual:

  1. APaccrualreconciliation.zipQuery to find the total tax amount to be passed for AP Accrual account generated for Receiving and Return to vendor transactions.

  2. DuplicateRecieving_apaccrual.sqlQuery to identify multiple entries generated for receiving entries for AP Accrual account.

  3. SumofAmounts_Receiving_APaccrual.sqlQuery to identify total tax amount to be passed to the AP Accrual account at the time of Receipt.

  4. SumofAmounts_RTV_APaccrual.sqlQuery to identify total tax amount to be passed for AP Accrual at the time of Return to Vendor.

  5. SumofCreditnotequaltoSumofDebit_RTV.sql

  6. NoReceivingQueryAPAccrual.sqlQuery to give total tax amount for AP Accrual where the tax entries are not generated.

  7. Discrepancy_invoices.sqlQuery to identify Cases of discrepancy, invoice distribution and the corresponding tax amount in Receipt/PO.

Query to find the transaction wise tax amount:

  1. SumofTaxesTransactionTypewise.sqlQuery to give total sum of the taxes based on transaction type from JAI_RCV_JOURNAL_ENTRIES.

The reconciliation shall be done based on the output of these exception queries. This shall be in the form of rectification entries, if the exception has proved to be a one-off case.

Step 3

If the exception thrown up in the earlier step is found to be of a repetitive or replicable nature, the issue has to be taken up with India Tax for a necessary code fix or data fix. India Tax shall treat such issues with highest priority so that the month closing activities are not hampered in any way.

Oracle Inventory

Following are the frequently asked questions for Inventory module

Inventory Transactions

35. How to upload the opening balance GST Quantity Registers?

Use Miscellaneous Issue (RG Update) and Miscellaneous Receipt (RG update) type of Inventory transactions to update RG23A/C part I Registers and RG 1.

36. How do we upload opening quantity to RG-1?

There are no interfaces available to upload local tax data.

You can upload Quantity Balances to RG-I using RG 1 Register Entry screen or using Miscellaneous Receipt (RG Update) Inventory transaction.

37. What Inventory transactions are supported by local tax data in the Inventory module?

Following Transaction Types are supported by updating the GST registers:

Setups

38. What basic india local tax setup is required for a Manufacturing Organization?

Organization Setup

  1. Additional details setup for Organization and Location should fall under Manufacturing and this is achieved when GST region with ECC CODE is filled.

  2. Fill all the Accounting details from Accounting Tab and make sure that the information is filled though not required in some cases as per business requirement. For example, if there are no Bill of Entry (export) related transactions, still you need to supply the BOE account.

  3. Financial Year can be setup by clicking the Calendar button, fill the Fin Year that will compute the Actual Tax Calendar.

  4. Fill the GST Invoice Number if you require generating the predefined GST Invoice Numbers depending upon the document.

  5. Trading Info Tab is automatically grayed out since the Organization is falling under the Manufacturing Organization.

  6. GST Regime needs to be setup with appropriate Organizations assigned to the regimes.

Item Setup

  1. GST Flag = Y if the item is falling under excisable goods.

  2. Modvat Flag = Y if the CENVAT credit on this item can be taken

  3. Item class = RMIN / CGIN depending upon the classification of the item.

  4. Trading option = N this flag identifies whether the item is tradable or non tradable, since the Organization is manufacturing item cannot be trading and local india tax does not have the concept of classifying the Organization to become Manufacturing and Trading.

  5. GST Item classification needs to be performed.

Sub inventory Locations Setup

  1. Sub-inventory should be bonded, that is, bonded flag is set to Y.

  2. If the Sub-inventory is Non-bonded or duty paid Sub inventory, that is, Bonded flag is N then all the cenvatable taxes are inventoried.

  3. Trading Sub-inventory Flag is grayed out.

39. What basic setup is required for a Trading Organization?

Organization Setup:

  1. EC Code and other GST Registration details need to be filled in the Trading Tab of the Organization Tax Information window.

  2. Fill Accounting details from Accounting Tab and make sure that the info is filled though not required in some cases as per business requirement. For example, if there are no BOE (export) related transactions, you need to supply the BOE account.

  3. Financial Year can be setup by clicking the Calendar button,

  4. Fill the GST Invoice Numbero if you intend to generate predefined GST Invoice Numbers depending upon the Order/Invoice Type.

Item Setup

  1. Ensure that GST option = Y and Modvat option = N

  2. Item class = RMIN/CGIN depending on the item type.

  3. Trading flag = Y. This flag would identify whether the item is a Trading Item

Sub inventory Locations Setup:

39. What is the need to define Master Child Relationships among Organizations?

The master child relationship among the organization and location are used only to generate consolidated GST registers at Master Organization level. You need to submit India Master Org RG request set in order to get GST Registers consolidated at Master Organization.

40. What to consider when setting up Master and Child Organization?

In the Master Organization Information block you have to specify whether the Organization represents an GST Licensed Organization or a Child Organization. If you select a Child Organization, you need to specify which is the GST Licensed Organization under which the Child Organization belongs. For a Master Organization and Location combination you need to enable the Master Organization flag. This should be done for the Organization with Location specified. The ECC Number defined for the Master Organization would default to all Child Organizations when Master Organization is selected.

41. Is it necessary to define PAN No, TAN No in Organization Tax Information window?

These fields are only for information and most not be used anywhere else by India Local taxation. India taxation uses PAN and TAN Numbers defined in the Regime Registration window for reports.

42. What should be the functional currency for the Organization using India Local Taxation?

The Functional Currency is INR for the Legal Entity that uses India Local Taxation.

43. Can we proceed to India Local Taxation Organization setup as soon as I define Organizations in Base Applications?

You should have completed the following before you move to define Additional Organization Information through India Taxation:

44. Can an Organization be defined both as Manufacturing and Trading Organization?

Through India Local Taxation an Organization Location combination can either be a Manufacturing Organization or a Trading Organization.

If an Inventory Organization Location is a Manufacturing Unit (Not a Trading Unit) and you enter details in the Tax Info Block (On Organization Tax Information window), then you cannot enter any information in the GST - Trading Information Block through Trading Information Button.

Similarly, if an Inventory Organization Location is a Trading Unit (Not a Manufacturing Unit) then No Information should be entered in this Tax Info Block since this GST Block is meant for entering GST Registration details for a Manufacturing Inventory Organization/Location.

45. Can a different Tax Calendar be defined for different Locations of an Organization?

The Tax Calendar should be defined only at Organization level with Null Location. This Calendar will be defaulted for each Location falling under the Organization. The tax period is meant for setting up the serial numbers of GST Registers and related reports.

46. Is it mandatory to complete setup in the GST Generation India Taxation for generating GST Invoices?

It is not mandatory to define GST Invoice Generation Serial Number. If you do not define the GST Invoice Generation window, then auto-generated system numbers are allotted to the GST Invoice as stipulated under the Central GST Rules (one sequence for Domestic transactions and another for Exports).

47. Can I skip the Assign Sub-inventories to Locations India Local Taxation for the Sub-inventories that I will not be using for GST Transactions?

It is mandatory to complete this setup, irrespective of the fact that the Sub-inventory is not bonded. You can leave the Bonded option, if the sub-inventory is non-bonded. Else, this impacts Shipping transactions.

48. Is it necessary that the India Taxation Item setup should be same for all Organizations?

India Items Context can be setup at an Organization level. An Item can be Excisable in one and non-excisable in another.

If an Item is tradable in one Inventory Organization but considered as Production Input in another Inventory Organization, then the user has to update its Item Template through the Item Template assignment form depending upon the nature of the business. If an item is defined as Trading Item, then the Modvat Flag has to be set to NO. This would update only the RG 23D Registers and not the CENVAT Registers.

49. Can India Local Taxation be used to define calculate and account for Negative Taxes?

India Local Taxation provides flexibility to define negative taxes. You can use Any other Tax type of taxes with negative Percentage or Unit Rate to handle such taxes. India Local Taxation would also handle any other debit/credit that needs to be done for any transaction.

Work In Process

Following are the frequently asked questions in WIP module

50. What WIP transactions are supported by India local taxation? Which GST Registers are updated for each of these transactions?

India Local taxation supports certain transactions in order to keep track of movement of Excisable Goods. Whenever there is a transaction using Excisable goods is created from the following features supported by Base Application, then India Local Taxation updates GST Quantity Registers. Following is a list of such transactions and their impact of GST Registers:

Transaction Type Impact on GST Registers for Item Types: RMIN Impact on GST Registers for Item Types: CCIN Impact on GST Registers for Item Types: FGIN Impact on GST Registers for Item Types: CGIN Impact on GST Registers for Item Types: OTIN
Miscellaneous Receipt RG Update RG 23A Part 1 RG 1 RG 1 RG 23C Part 1 NA
Miscellaneous Issue RG Update RG 23A Part 1 First RG23A Part 1, then RG 1 RG 1 RG 23C Part 1 NA
Cycle Count Adjustment. RG 23A Part 1 RG 23APart 1 RG 1 NA NA
Physical Inventory Adjustment. RG 23A Part 1 RG 23APart 1 RG 1 RG 23C Part 1 NA
Move Order Issue RG 23A Part 1 RG1 RG 1 NA NA
WIP Component Return. RG 23A Part 1 RG 1 RG 1 NA NA
WIP Assembly Completion. RG 23A Part 1 RG 1 RG 1 NA NA
WIP Assembly Return. RG 23A Part 1 RG 1 RG 1 NA NA
WIP Negative Component Issue. RG 23A Part 1 RG 1 RG 1 NA NA
WIP Negative Component Return. RG 23A Part 1 RG 1 RG 1 NA NA
WIP Scrap Transaction. RG 23A Part 1 RG 1 RG 1 NA NA
Staging transfer of a sales order RG 23A Part 1 First RG23A Part 1, then RG 1 RG 1 NA NA

Oracle Payables

Following are the frequently asked questions in Payables module:

Payables Setup

51. What should be the Setup steps when I wish to implement TDS features only?

Following India Local Tax Setups must be completed:

52. How should I define surcharge for a TDS Tax?

In Withholding, tax is calculated based on tax category. In tax category, assign the Surcharge tax rate, and TDS is calculated.

This section will be available when you create a Tax Deduction At Source Type of Taxes.

53. How would you define WCT Type of Taxes?

Firstly, define WCT Regime under WCT TAX TYPE. Based on that, WCT Tax Rate is created.

54. What should I do when there is a change in the TDS Rate or Surcharge rate?

Whenever, there is a change in the TDS Rates or Rates of Surcharge, user has to do the following to ensure that correct rate of TDS is applied to the transactions

Replace the Default TDS Tax Name with the new Tax Code.

55. What impact does the Income Tax Registration details (entered in the First party Registration window) have on transactions?

The Value entered in the TAN No option is very importance. It is the basis on which the TDS threshold limits are calculated. Tan No is defined only for the Operating unit level, all the invoices created on the operating unit is subjected TDS deduction of threshold limits. Different operating unit can have the same TAN No assigned. Both share the same threshold limit.

56. What setup should I check when the TDS Invoice or Credit Memo are not generated?

Check the following set up:

  1. TAN Number is attached to the Operating Unit.

  2. TDS year info (Calendar) is defined in GL for this Ledger.

  3. Check If Active Thresholds are defined for the Section and vendor type .

  4. Check if the Third Party registration is done for the supplier and site.

  5. Check if the invoice amount is positive and the limit reaches the threshold defined for the period.

  6. Check if India TDS Processing concurrent program is run based on invoice validation.

Tax Deduction At Source - Calculation, Accounting and Reporting

57. What is the impact of assigning a Default Section on third party Registration?

This automates TDS Calculation for every invoice created for the supplier site. This happens in spite of the fact that you override or delete the TDS Section before saving the Invoice Distribution.

58. How many TDS Invoices are created when multiple Invoice Distributions have the same TDS Tax ID?

Invoice created for the TDS Authority and the Credit Memo for the Supplier would be consolidated for all Invoice distributions having the same TDS Tax ID.

59. What is the pre-requisite to assign WCT Type of Taxes on Invoice?

It is necessary to assign a TDS Tax ID before you specify a WCT Tax ID. However, if you only have WCT applicable to the Invoice, then, assign this code in the TDS Tax ID.

For Supplier who does not have TDS Applicability but only have WCT calculated for services provided by them, then, assign the WCT Tax Id in the default TDS Tax Name field.

60. What will be the impact on TDS Invoices when Prepayment Invoice with Single TDS Code, applied to Standard Invoice has different TDS Codes attached?

TDS calculated on the Standard Invoice would be reversed in proportion of the amount applied to the total amount standard invoice bearing TDS.

61. What happens when Standard Invoice having multiple TDS Codes is applied to a Prepayment Invoice with multiple TDS Code?

TDS calculated on the Prepayment Invoice distribution to which the Standard Invoice is applied is considered for reversal.

TDS Amount calculated on the applied Prepayment line would be reversed in proportion to the amount applied to the Total Amount Prepayment Invoice.

62. Why should the user define a Fin Year for TDS? What is the impact of creating such Fin Year? When should I close the current Fin Year?

This is mandatory for calculating TDS on Invoices. Also, the TDS Certificate Number would be re-set every Fin Year.

Once the current financial year-ends, you will have to navigate to the TDS Period India Localization screen and press New Financial Year option..

63. What would be the Invoice Date and GL Date on the TDS related Invoice created on cancellation of a Base Invoice? What if the GL Date on the Invoice cancelled falls in a closed accounting period.

The Invoice Date and GL Date for the Standard Invoice created for Supplier on cancellation of the Original Invoice would bear the same date as the GL Date on the Reversal Distribution created for Cancelled Invoices.

In case, the cancelled Invoice falls in a closed period then, then the Invoice created will bear the first date of the subsequent Open Period.

64. How should you account for TDS calculated on Provision for Outstanding liability?

Create an Invoice with Zero Amount. Create two distributions. The first with provision amount. Assign TDS Tax ID to this line.

The second line should be created negative of the provision amount. This should not have any TDS Tax ID.

The first line should have the GL Date of the last date in the current period and the second should GL Date as first day of the new period.

This will automate provision creation and reversal. At the same TDS would be calculated for the provisioned amount.

65. What caution should you take in assigning the TAN Numbers to the Operating Units? What would be the impact of changing the TAN Number?

TAN Number is the basis for Calculation of Threshold Limits for TDS Calculation and also for generation of TDS Certificates.

It is mandatory that you specify correct TAN Numbers before you define the TDS Fin Year. These should not be changed once you have created the Financial Year. Any change would hamper the TDS Certification creation and also the Threshold limits calculation.

66. What steps do you need to take when you observe that TDS Invoices are not created on Invoice Approval?

You should check if the Payables Open Interface Audit Report and Payables Open Interface Rejection Report generated for the Payables Open Interface request submitted for creation of the TDS Invoices.

Make corrections through to the Invoice or the Setups and then resubmit Payables Open Interface.

In case, you see that the Payables Open Interface is not submitted on validation of the Invoice, then you need to check the following:

67. What should you do in case you have to change Invoice Amount or TDS Tax Code for a validated Invoice?

The TDS and WCT Amount will not be recalculated when you re-validate these Invoices. In case you would like to have TDS impacted for the revisions then, you should cancel the original Invoice and create a new one with the revised details.

68. TDS Invoices/Credit Memos are generated, even though the TDS tax category is not Provided in the TDS Tax Detail window. How do we avoid this?

Default TDS works based on Default Section provided at the third party registration setup from the site level to null site level. Either this need to removed. So that Tax Category assigned to that Section code and vendor type at Withholding threshold will not get defaulted.

69. What should we check when the RTN Invoice for the Supplier is not created on applying Prepayment Invoice?

In such cases, check the following:

  1. Once Prepayment is applied, Invoice submits the concurrent Program, India TDS Processing Concurrent, which in turn submits Import TDS invoices and also submits Approval of TDS Invoices.

    • Uncheck the check box Run Alone and

    • Set the Format type = Text and

    • Save the record.

  2. Check whether the Payables Open Interface Import is rejecting the RTN Invoices

  3. Check whether the TDS Tax code is attached both to standard invoice and prepayment invoice. Check if TDS is generated on both of these Invoices.

70. How do we ensure that the TDS Invoices and Credit Memos are always generated with Approved Status?

Ensure that the Create Pre-approved TDS Invoices and Credit Memos option is checked in the Common Configuration window under Withholding Tab for the Operating Unit for which the TDS is deducted.

Reports

71. India - Withholding Taxes Report

This is the only report being delivered officially.

Following functionality it supports:

  1. Can you please outline the requirements for a transaction to be displayed on the report?

    The report displays TDS invoices generated for the selected parameters, for example, date rage (applies on GL date of invoice). Withholding type, Vendor, Section code, TAN number, Organization ID, Payment status of the TDS Authority invoice. The report displays Invoice Number, GL date, Invoice Type (Stand/Prepay), Invoice Amount, Withholding Tax Rate, Tax type (TDS), TDS AMount, Credit memo gen, TDS Inve Number, Payement status.

  2. Does the invoice need to be validated, accounted, or Paid?

    It is not required to pay if paid and you must indicate it to pass the Payment status as Yes or No.

  3. Any steps to be performed for a transaction to get reported?

    Tax Deducted at Source is generated for this Report.

  4. Is there an option to create this report in Excel format?

    The report generates only in the Text Format.

72. Is there a report where I can see all TDS related Invoices and Credit Memos created for an Invoice?

You can run India - TDS Related Invoices Report to view details of all TDS related Invoices created for an Invoice. Run this report for a specific period.

73. Is there a report where I can view Tax Deduction for a Supplier for a particular period?

You can run India - TDS Prescribed Rate Report to view details of all Tax Deductions for a particular TDS section.

This report provides you information by Supplier.

74. What is a pre-requisite for generating TDS Certificates?

  1. Invoice created for TDS Authority should be paid.

  2. There should not be any change in the Organization TAN Number

75. How should I generate TDS Certificates when the Generate TDS Certificates Program ends with the error NO Withheld invoices found for TDS Certificate(s) Generation?

Only the Invoices to TDS Authority that have been paid will be considered for generation of TDS Certificates. Hence, you need to ensure that TDS Invoices for the TDS Authority are paid before you generate the Certificates.

76. What can be the reason when the Payables Open Interface Import program rejects the Invoice for TDS Authority with the reason as Invalid Vendor Site?

Remove the TDS Tax name attached in the Additional Supplier Information window at the Null Site level of the Supplier. Attach the TDS tax name at the Supplier and Site Level and save the record and do the transactions.

77. Where do we enter Date of Deposit and Bank Name details for payments made to TDS Authorities?

To capture additional information related to payment made to TDS Authority, a new interface has been created with the name TDS Challan Details.

Complete the payment transaction first and then navigate to this interface to enter the additional details. A query finds window has been provided to search payments made to TDS Authority.

PO - AP Localization Tax Flow

78. How would the Localization Taxes be carried forward to AP for ERS Invoices?

You need to schedule India - To insert taxes for Pay On Receipt to carry forward Localization Taxes from PO to AP. This program captures localization taxes in Receipts and inserts Tax lines in Invoice Distributions, for the ERS Invoice created for the Receipt.

You have to schedule the concurrent to submit requests at suitable intervals.

The concurrent India - To Insert Tax Distributions would run to Insert Tax lines in Invoice Distributions, on matching Invoice to PO or Receipt.

79. How do we create Invoices for 3rd party taxes included in receipts?

You need to submit India Concurrent for 3rd Party Invoices concurrent request to create AP Invoices for Third Party Taxes.

You can schedule the concurrent from India Local Purchasing to submit requests at suitable intervals.

80. Which Vendor Site would be considered for Invoices created for Third Party Tax?

Vendor Site specified in the Tax definition would be considered. In the absence of such information, you need to Specify Vendor Site for the Tax line, before saving the Receipt.

If Vendor Site is not specified for a Third Party Tax, then an error displays

The Vendor Site does not belong to the specified Vendor and cannot proceed.

81. What is the impact of a Return to Vendor (RTV) transaction on 3rd party Taxes?

Third Party Taxes would be debited to RTV Expense Account specified for the Organization and Location. It is not eliminated from the AP Accrual Account.

82. What entry would be passed to account for Customs Duties on RTV transaction?

Customs Duty is debited to RTV Expense Account specified for the Organization and Location. It is not eliminated from the AP Accrual Account.

83. How would the India Local Taxes be carried forward to AP for Debit Memos auto-created on RTV transaction?

You need to schedule India - To insert taxes for Pay On Receipt to carry forward India Local Taxes from the Return transactions to Debit Memo.

This program captures first party localization taxes in Receipts and inserts Tax lines in Invoice Distributions for the Debit Invoice created for the Return transaction.

84. How are taxes populated in ERS Invoice created based on Receipt with India Local taxes?

India Local Taxes included in a Receipt are carried to the ERS Invoice by the next request submitted for To insert tax distributions for pay on receipt concurrent program.

The concurren program, 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 errors, the error message is captured. Reprocessing Error Pay On Receipt Invoices Tax Records fature provides you with an option to view these error records and corresponding messages and mark them eligible for Reprocess. You can also delete these records.

To view the error records, navigate to India Local Payables Other India - Resubmit Taxes for Pay on Receipt.

The window merely make the Invoices eligible for reprocessing. You have to explicitly run the concurrent program, India - To Insert Taxes For Pay On Receipt, for processing these Invoices.

Sales Tax Concessional Forms

85. How would we define a new Form Names that are applicable to your state?

Navigate to India Local Payable - Purchasing Lookups. Query FORM_NAME. Change the Access Level to User and add the Form Code, Meaning and Description. Enter the Effective Dates and check the Enabled option.

86. How would you create record for tracking ST Forms?

You need to submit India - ST Forms Issue Processing with appropriate parameters to create ST Forms records for Sales Taxes.

87. How do I Auto-Select unmatched Invoices for a Declaration Form issued for a particular amount?

This you can achieve by entering the Form details in the header of define Sales Tax Form Details. Enter in the Form Amount field, a value that you would like to issue the Form for. Check the Match All option to select the Invoice Automatically. After which, you can save the data.

88. Would cancelled Invoices be considered for ST Forms Issue?

In case no declaration form is issued for this Invoice, these Invoices will not be considered for further Form issues.

89. Would reversed Invoices distributions be considered for ST Forms Issue?

In case no declaration form is issued for this Invoice, these Invoice distributions will not be considered for further Form issues.

Bill of Entry

90. Is there any way that we can create a Bill of Entry without having to enter all Item details?

You can check the BOE Item Independent option, while you are creating the BOE Header. You need to enter only a Single line with Total Customs Duty Amount. This BOE is available across all receipts lines.

GST Payments

91. We have PLA Payments accounted through General Ledger. However, we do not see these entries in the PLA Register. What can be the reason?

You should ensure that Acknowledge Received and Acknowledgment Date options on the Capture PLA Payments window are updated once you receive an acknowledgement on the TR Challan. On saving this, a credit entry will be passed in PLA.

The acknowledgment cannot be made unless the AP Invoice created for the PLA Payment is paid.

Order Management

Following are the frequently asked questions for Order Management module

Sales Orders

92. Why does "Please note that 1 line(s) do not have taxes" Note appear?

This message appears whenever these are no Taxes attached to one or more tax lines.

This is an intended functionality to caution users that though he has used India Localized form for entering the order, the said number of lines do not have taxes defaulted using the standard defaultation logic. This has been provided to ensure that when there is large number of lines in order entry, you are able to keep track of missing defaultation setups against lines that do not have such setup made.

93. What can be the reason for Taxes not defaulting on a Sales Order?

You need to check the following setups:

  1. The Item Category has been assigned either to Customer/Site.

  2. Tax Category is assigned to the Item in the Item Category List.

  3. Trigger JAI_OE_OLA_ARIUD_T1 should be enabled and valid

  4. The Functional Currency of the Organization is 'INR'

If any of the above setup is missing please add the missing setup.

94. How to enable GST calculation for a RMA?

In the Oracle Inventory Responsibility, query the Organization/Location in the 'Organization Tax Information - India Localization' screen. In the Accounting Info tab check if values have been assigned to 'GST Return Days' & 'Sales Tax Return Days'.

Alternatively check if the difference between RMA Order Date and Original Order Date is more than the value specified in the 'GST Return Days' & 'Sales Tax Return Days' fields.

95. What can be the reason for Sales Order Lines not being deleted on canceling a Sales Order Line?

This happens when the JAI_OE_OLA_ARIUD_T1trigger is invalid or disabled.

96. How are the Taxes impacted on changing a Customer Site on SO?

Localization Taxes default based on the Item Category List attached to the Customer Site. If you have changed the Customer Site with the one that does not have this setup then, existing Tax lines will be removed. Else, the appropriate Tax Category will be used to recreate the Tax Lines.

97. Why does change of Item on a Base Sales Order not reflect in Sales Order Localized?

Please note that such change of item on a Sales Order Line is not supported. The correct process is to cancel or delete the existing Sales Order line and add a line with the new item.

98. Why is data shown in Order tab (instead of Return Tab) when an RMA is created by copying an Order?

This problem comes up when the Order category used to copy is MIXED.

The Order being copied to an RMA Order has to be necessarily of the Order category as 'ORDER' (In the Transaction Type setup).

For already entered orders in the above order category, RMA Order can be entered by direct entry of order with reference instead of using the copy feature.

Sales Orders - Errors

99. When does the Sales Order (Localized) show an error 'Modvat type of Tax must be entered for this line' in a loop?

This error occurs when you assign GST Exemption Form values (Such as 'CT2-OTH_IND' or 'GST Exempt Cert OTH-IND' ) to Sales Order and also Modvat recovery is specified for the Organization.

In such cases, the system expects Modvat Recoverable Type of Tax to be attached to the Order. This error comes up when such Tax line is missing. To resolve this, ensure that a Modvat Recoverable type of tax is defined in system and the same is attached in the sales order line.

100. When does the Sales Order (Localized) screen show error ' JAI_OE_OLA_ARIUD_T1 CURRENCY RATE NOT DEFINED'? How do we resolve this?

This message comes up whenever the Currency Setup is missing for the Transaction Type. You can resolve this problem by making the correcting the following setups:

  1. Check the Transaction Types Setup by Navigating through Setup -> Transaction Types -> Define. Ensure that for the specific Order 'Conversion Type' field on the Finance Tab is not null.

  2. Also ensure that Exchange rate is defined for this conversion type in the Daily rates. This enables the system to derive a conversion to functional currency from the Transaction currency.

101. On Clicking BOOK Order Button - user gets the following Error “Please Specify the Tax Code. This Line Type requires Tax Calculation.” How do we resolve this?

Ensure that Tax code 'Localization' is defined as specified in the India Localization URM and the same is attached to this Sales Order

102. Fulfilled Order ends with Error “ ORA-20405 : Taxes are not matching in JAI_OM_OE_SO_LINES and JAI_OM_OE_SO_TAXES FOR LINE_ID”. What can be wrong? How can this be corrected?

This error indicates corruption of data in Sales Order & hence is a preventive measure to ensure that such corrupted data does not flow to GST Registers and AR Transaction.

To rectify this, rectify the taxes attached to the corresponding Sales Order Line for which you are trying shipment. In case of Partially Shipped Orders, please note that the correction is required in the new line that is being Shipped & not the one that is already shipped. Post correction of taxes, the shipment can be made successfully.

103. Copy an Order to create a RMA Order results in error “ ORA-20001 - No data found in localization shipping tables, hence copy cannot be done”.

Taxes on RMA are based on shipping tax Lines. Hence, if there are no tax lines in localization shipping table, copy of such order to create an RMA Order is not allowed.

In scenarios where there are no taxes in shipping tables, it is advisable to create the RMA by way of manual entry with reference to the original Order instead of trying to use the copy feature.

104. Copying an RMA Order to create another RMA Order results in error “ ORA-20001 - Copying of Return Order to Return Order is not currently supported with India Localization Taxes”.

A RMA cannot be copied to create a new RMA with localization taxes. It is necessary to use either a Shipped Order or enter the RMA Order directly with reference.

105. While Booking a Sales Order error "User defined exception in Package OE_SHIPPING_INTEGRATION_PVT" is displayed and the line status changed to Booked, where as it should be awaiting shipping. Is this due to some setup missing in India Localization?

To diagnose and ensure that it is India Localization error, please do the following

1. Ensure that all India Localization triggers are valid and enabled which are returned by the following script:

SQL> SELECT table_name,trigger_name, SUBSTR (owner,1,10) OWN, status

FROM all_triggers

WHERE (table_name IN ('WSH_DELIVERY_DETAILS') )

and trigger_name like 'JA%'

ORDER BY 4,1;

2. Post this, disable all the above triggers & try a cycle. If the error persists then it is a not a India Localization issue.

This issue occurs when any of the trigger on base applications table 'WSH_DELIVERY_DETAILS' is invalid.

106. While saving a Sales Order system shows error 'ORA-20101, 'Warehouse Id is Mandatory for Calculating Localization Taxes - Enter Warehouse id before Saving'.

As mentioned in the error, for calculation of Localization taxes Warehouse needs to be entered in the Others Tab of the Base Sales Order screen. This being a Base Sales Order field, the property of the same is not changed, but instead the above error is shown to ensure that the user enters the Warehouse id prior to saving the record.

Fulfilled Orders

107. Why are no rows fetched on querying for a shipment on Fulfilled Orders Localized Form?

Check the following before querying for the Shipment:

'select * from JAI_OM_WSH_LINES_ALL where Delivery_id = &Delivery_id;'

This would mean that the Trigger on fulfilled order failed & could not insert lines in localization table.

108. What Setup and transaction information should be checked when RG1 / Payment Register do not get updated post shipment?

Check the following Setup:

  1. The Item shipped has Item class as FGIN (For RG1) at Organization Items level.

  2. The Item shipped has Item as Excisable at Organization Items level.

  3. The Order type used is attached to Bond Register.

Check the following Transaction Data:

'select * from JAI_OM_OE_GEN_TAXINV_T where Delivery_id = &Delivery_id;'

shows no rows selected

If the above shows rows, rerun the India - GST Invoice Generation program giving delivery_id in the parameter & check the log file.

'select * from JAI_CMN_ERRORS_Twhere Application_Id = 'JAI_OM_WSH_PKG' and Creation_Date likeSysdate;

Checkup if any errors are reported for OM Transactions.

Fulfilled Orders- Errors

109. Fulfilled Orders results in error 'ORA-20406 - Mandatory India Localization Sub-inventory Setup not done for this Location from where shipment is made' or 'ORA-01400: cannot insert NULL into ("JA"."JAI_OM_WSH_LINES_ALL"."LOCATION_ID")'. What does this mean? How do we resolve this?

This error indicates that Sub inventory Location setup in India Localization is missing.

To resolve this do the following:

  1. Navigate to India Local Inventory responsibility -> Setup -> Organizations -> Sub inventory Locations.

  2. Query for the Organization and Location combination were you are trying to ship. Ensure that all the Sub-inventories for this combination are added in this form. Post this try to carry out Fulfilled Order.

110. Fulfilled Order results in error 'ORA-20401, 'Matched Quantity - 0 should be equal to Shipped Quantity - 5 in trading Sub inventory 'XXXX'. What does this mean? How do we resolve this?

For a shipment made from the Trading Organization, Matching of the Delivery with Receipt is pre-requisite.

It is also necessary that the Matched quantity and shipped quantity tally. India Localization does not support features of backordering in case of Trading Organization and the full quantity matched needs to be necessarily shipped.

You should match the delivery to receipts prior to shipment to ensure matched quantity is physically available for shipments.

111. Fulfilled Order results in error 'ORA - 20401 - LC Matched Quantity - 10 should be equal to Shipped Quantity -- 5 for LC enabled Orders'. What does this mean? How do we resolve this?

An LC enabled Order has to be matched to an LC with the quantity that is being shipped, prior to shipment.

For cases where splitting is required, please split first & then match. Try shipping only post matching is completed.

112. Fulfilled Orders results in error “ORA-20120: Currency Conversion Rate Not Defined In The System ORA-06512: at "APPS.JA_CURR_CONV", line 75 ORA-06512: at ”APPS.JAI_OM_WDD_ARIUD_T1", line 503 ORA-04088: error during execution of trigger 'APPS. JAI_OM_WDD_ARIUD_T1”. What does this mean? How do we resolve this?

The error occurs for a foreign currency transaction for which the currency conversion rates are not maintained. Please update the daily rates & then run the ITS (Interface Trip Stop).

113. Querying on Fulfilled Orders Localized screen shows Invalid Object JAI_OM_WSH_DELIVERIES_V. Trying to compile the same gives error ORA-01730: invalid number of column names specified. How do we resolve this?

This error occurs when there is any change to the table structure of base applications table Wsh_Delivery_Details & is resolved by reapplying the Jai_om_wsh_deliveries_v.sql from the latest patch set objects.

Letter of Credit

122. Why does Customer Number/Site not appear in LC Master Screen?

Please check & ensure that Customer and Customer Site Information is properly setup in Customer Additional Information screen.

123. How do we ensure that LC Number generated on LC Master is in sequence?

Ask your DBA to check the Sequence, JAI_OM_LC_HDRS_S, and see that it has a value.

Cause When the application is launched, after the database is restarted, new request numbers are cached in memory for use when LC Masters are created. The number cached is controlled by the Sequence JAI_OM_LC_HDRS_S.Numbers are cached, bouncing the database for any reason will cause sequence numbers to be skipped. All numbers remaining in cache are lost when the database goes down. When the database is restarted and the application is launched new numbers are cached beginning where the last full set of cached numbers ended.

Fix This is functionality as designed. The Sequence JAI_OM_LC_HDRS_S comes with a seeded value, or may have been adjusted by your DBA during installation. The feature can be turned off, however. To disable the feature set the sequence to NOCACHE in the JAI_OM_LC_HDRS_S table.

This should be done by the Database Administrator. From the SQLPLUS prompt type the following:

ALTER SEQUENCE JAI_OM_LC_HDRS_S NOCHACHE;

When NOCACHE is set, you can view the next available sequence by querying the USER_SEQUENCES table.

Additional Information: This can impact performance because when the feature is turned off, creation of each Service Request will cause a table query for the next id instead of getting it from the cached values.

Trading - Match Receipts

114. What can be the reason for the Order Type not appearing in Match Receipt screen?

Ensure that the following are completed:

  1. The Order is attached in 'Define Bond Register' to 'Trading Domestic with GST'

  2. The Order Entered has an 'Adhoc GST' Tax line with zero value

  3. The Order is in a Trading Organization and Location that has been defined

124. How do we correct a delivery wrongly matched to a Receipt?

If such error is noticed prior to shipment then the existing match can be undone using Unmatch feature. This feature is provided in the Match Receipts form. On selection of 'Unmatch' Button, system lists only those Orders that are not yet shipped. Unmatch can be performed either for the full delivery or for a delivery line.

However, once the shipment is made, such mistakes cannot be rectified.

115. Why does the ON-UPDATE TRIGGER ERROR occur on performing Match Receipts?

The above occurs when there is a corruption of the tax lines in the Sales Order. This gets rectified on querying the Sales Order and rectifying the tax lines.

116. What should be checked when an entry for one line does not appear in Match Receipt screen?

Please check and ensure the following:

  1. The Items attached in this line are properly set up as trading item.

  2. The Order line entered has an 'Adhoc GST' Tax line with zero value

  3. The line has been pick released.

  4. The Item class of the Item is set as 'FGIN' and not 'OTIN'.

117. In what circumstances is the fulfilled order (from a Trading Organization) allowed without completing Match Receipts?

This happens when the trigger JAI_OM_WDD_ARIUD_T1 is either invalid or disabled. This trigger ensures that the shipping is stopped in case of any error & if the same is disabled, all the checks will be bypassed & will result in either data corruption or will cause the Interface Trip Stop to run into error.

118. Can Matching in RG23 D receipts be LOT controlled?

Trading functionality of India Localization does not work on LOT Control provided by base applications. Hence, LOT numbers selected in the shipment have no bearing on selection and matching of receipts for trading functionality.

119. Why no Accounting Entries are passed for GST for Sale made through a Trading Organization?

As per localization functionality / design, use of RG23 D / Trading does not have any impact on GL. The account entered in RG23D account in Organization Additional Information is not used in Shipment. However, Account defined on the GST Tax is credited when the 'Order Price GST Inclusive' flag is set to 'NO'.

GST Exemption Transactions

120. Why is an RG 23/PLA entry created on carrying out an GST Exemption Transaction?

CENVAT Reversal entry is passed automatically based on the Cenvat Reversal Percentage value entered in Organization Additional Information for the Organization/Location from where the material is shipped. This happens only when the GST Exempt type is 'CT2-IND' and 'GST Exempted Certificate - IND'.

This percentage is normally supposed to be set up as 8% for duty debit under Rule 6 of The Central GST Rules.

121. What can be the reason for a Zero Value entry in the Bond Register?

Use of 'Customs' & 'CVD' type of taxes on Sales Order results in this problem. 'Customs' & 'CVD' are supposed to be input taxes & are not to be used with Sales Orders. 'GST' Type of Taxes should be used while creating a Sales Order for an exempt transaction.

122. Can we change the GST Exemption values on Sales Order once they are entered and saved?

Once a Sales Order is marked as GST Exempt, no further changes to the GST Exemption data is allowed. User should take sufficient care to enter correct data & verify the same prior to saving.

123. Why are Shipments Taxes made under Bond and having 'Additional GST' are updated in AR Transactions?

GST type 'GST - Additional' has been created specifically to cater to Additional GST duty. This is applicable to items like Sugar, Tobacco & also few textile items, like fiber, yarn etc. which attract Additional GST Duty under Additional Duties of GST (Textiles and Textile Articles) Act, 1975. Mapping of the SED is supposed to be made to 'GST - Special', which has been specifically provided for this issue. Use of correct Tax type should be made for proper product behavior.

GST Invoice Generation

124. What can be the reasons for GST Invoice Numbers not being generated on running the 'India - GST invoice Generation' concurrent program?

Anything missing in the following setups and transaction data can lead to non generation of GST Invoices.

Check the following Setups:

  1. The Item shipped has Item class setup at Organization Items level

  2. The Item Class should exist and should not be 'OTIN' or 'OTEX”

  3. The Item shipped has Item as Excisable at Organization Items level

  4. Check if the table JAI_INV_ITM_SETUPS has been populated for this item

  5. The Order Type used is attached to Bond Register

  6. The Financial Year is setup in Localization for the Organization.

  7. The Organization is either a Master Org or has been attached to a Master Org.

  8. The EC Code for the Organization is not null & a distinct code is entered.

  9. The shipment has been made from a bonded Sub inventory.

Check the following Transaction Data:

  1. The Order shipped has GST Type of tax attached to it.

  2. Inventory Interface has completed normally

  3. The Payment registers have sufficient balance to clear the transaction

  4. 'India - GST Invoice Generation' Program has been run for the transaction & completed without error.

  5. Running the query 'select * from JAI_OM_OE_GEN_TAXINV_T where Delivery_id = &Delivery_id;' Shows no rows selected

  6. If the above query shows rows, rerun the India - GST Invoice Generation program givingdelivery_id in the parameter & check the log file.

125. Why is GST Invoice Number is always generated as Zero?

Correct records for new financial year have not been populated in JAI_CMN_RG_EXC_INV_NOS table as there was some problem during opening of new year.

Alternatively, The Organization is not defined as a Master Org nor has it been attached to a Master Org.

126. Why does the Delivery id not appear in the LOV while trying to Run the 'India - GST Invoice Generation' program?

  1. Check & ensure that the setups as specified in Question 144 are made.

  2. Run the following select script:

Select delivery_detail_id, oe_interfaced_flag, inv_interfaced_flag from wsh_delivery_details where delivery_detail_id = &Delivery_detail_id;

If the above output does not show 'Y' for both oe_interfaced_flag and inv_interfaced_flag the same means that the Interface Trip Stop has not been successful (completed in error) and the same needs to be processed. Please note that 'GST Invoice Generation' is a step post Interface Trip Stop & hence in the given scenario, Localization is waiting for successful completion of Interface Trip Stop.

127. What can be the reasons for Delivery id not appearing in the LOV of 'India - GST Invoice Generation' program?

Check output of the following select script:

Select delivery_detail_id, oe_interfaced_flag, inv_interfaced_flag from wsh_delivery_details where delivery_detail_id = &Delivery_detail_id;

If the above output shows 'P' for inv_interfaced_flag the same means that the Interface Trip Stop has run into warning & the same needs to be processed. GST Invoice Number is generated only when the Shipment is successfully interfaced to Inventory & in the current scenario, the program is waiting for the Interface to get completed. The GST Invoice in the above case will only get generated when the inv_interfaced_flag gets replaced with 'Y'.

128. Why does the GST Invoice Generation Program not show any output?

'India - GST Invoice Generation' Program does not have any RDF attached to it and hence the same is not supposed to show any output. This program when run results in generation of GST Invoice Number based on setups made & updates the necessary registers & passes accounting entries. The output is not provided as there is no generic format for GST Invoice printing & each Organization requires the same to be printed in a different format as per business requirement.

129. How to setup GST Invoice Number? How to initialize the Number to start from a different Number?

In GST Generation India Localization screen Transaction Type field choose one of the options from the LOV. The options would be

  1. Order: On selecting this option in combination with the Order Type, the GST Invoice Number generated on shipping the delivery created with this Order Type would be based on the definition specified for this record.

  2. Return To Vendor: The document sequence defined here would be applicable to GST Invoice Numbers generated for a Return to Vendor Transaction.

  3. Domestic: The document sequence defined here would be used for Domestic Transactions. A Domestic transaction would be the one created with a Order/Invoice Type attached to 'Domestic with GST' Type of Bond Register. Please note that this will be applicable to all Domestic Orders/Invoices other than those explicitly setup through this screen.

  4. Invoice: On selecting this option in combination with the Invoice Type, the GST Invoice Number generated on completing an AR Invoice would be based on the definition specified for this record.

  5. Export: The document sequence defined here would be used for Export Transactions. A Export transaction would be the one created with a Order/Invoice Type attached to 'Export with GST' type of Bond Register. Please note that this will be applicable to all Export Orders/Invoices other than those explicitly setup through this screen.

  6. Also, note that you can initialize the default values of GP1 & GP2 in the table JAI_CMN_RG_EXC_INV_NOS to start from a different number.

129. How to ensure that GST Invoice does not get generated for certain shipments?

At Transaction level, GST Invoice generation is mainly dependant on the Sub inventory from where the material is being shipped & the Order Type association to Bond Register. Hence when for a particular shipment, GST Invoice should not be generated, the same should be shipped from a 'Non- Bonded' sub inventory. Alternatively an Order Type which is attached to 'Domestic Without GST' can be used to create shipments without having GST Invoice Numbers / GST Impact.

130. Why is that the GST Invoice Numbers are in a sequence but the date is not in the same Order?

GST Invoice Generation results in entry on Shipment Date as per localization intended functionality. This program is required to be scheduled to run on need basis and at least once per day. If the program is not scheduled but run manually for each shipment, and user forgets to run the same for a particular delivery, the same would remain pending in the temp table. As and when such record is processed the entry would get passed on the Date of the shipment and the number would be the current running GST Invoice Number. To avoid such kind of issue, Schedule the program to run without any parameters at least once a day.

131. How should I avoid same GST Invoice Numbers being created for Multiple deliveries?

The 'India - GST Invoice Generation' program is required to be set as incompatible to itself. If this is not done and multiple users run this program at the same time without passing delivery id, this issue comes up. Check & rectify the program's incompatibility.

132. GST Invoice Number is seen is Fulfilled Orders Localization screen, but appears as blank in AR Localization screen. What can be the Cause? How do we resolve this?

Cause

The above scenario is caused when the ITS (Inventory Trip Stop) runs into warning & hence updates the OM interfaced flag without updating the Inventory interfaced flag. In such cases the Invoice in AR is generated prior to generation of GST Invoice in system and hence the problem.

Solution

Run the concurrent program 'India - Importing GST Invoice Numbers in AR' for the org_id and the Invoice Number. The Invoice Number will no longer appear in the LOV once the GST Invoice Number is updated.

133. What can be the reason for improper GST Invoice sequence?

If prefixes are not being used, it is most likely that more than one type of Invoice / Order will be using the same series. Under such circumstance, it is likely that the GST Invoice is not being skipped out but used against different series of Order / Invoice. Please check your GST registers, which should confirm this.

134. How can we rectify existing shipments for which GST Invoice has not been generated?

Please note that Data fix in the above case will not be possible, as the shipping event has already taken place.

Please carry out the following steps to rectify the books:

  1. If the item is a FGIN item, Pass an entry in Manual RG1 Entry

  2. Else pass proper manual entry in the payment registers.

  3. While passing the above manual entries, you will see an GST Invoice Number that has been generated for this transaction.

  4. Record the same Number in pre-printed Number at fulfilled orders localized form for further reference if required.

135. What should be checked when GST Invoice is not generated for a Manual AR Transaction?

Check the following:

  1. The Item is an Inventory Item created in system.

  2. The Item used for Manual Transaction has Item Class setup at Organization Items level.

  3. The Item used for Manual Transaction has Item as Excisable at Organization Items level.

  4. Check if the table JAI_INV_ITM_SETUPS has been populated for this Item.

  5. The Transaction type used is attached to Bond Register as Invoice under proper register type.

  6. The Financial Year is setup in Localization for the Organization.

  7. The Organization is either a Master Org or has been attached to a Master Org.

  8. The EC Code for the Organization is not null & a distinct code is entered.

  9. Where you have not checked 'Allow -Ve Balance in PLA' at the Organization Level, check whether enough GST balance exists to clear the transaction.

  10. GST Type of tax is attached to the transaction

  11. The program 'AR Tax and Freight Defaultation' is submitted and has completed without error.

  12. The Transaction is completed.

136. How do we handle Tax Collection At Source?

You can use the following approach to meet the calculation and accounting needs related to Tax collection At Source:

1. Create a Tax Code for Tax Collection at Source with the Tax Type as 'Any Other Tax'. Assign this Tax Code to the relevant Tax Category. Set the Item Category list appropriately so that this tax would default for sale scrap items to certain customers.

2. The Tax calculated thus would be accounted by debit to the Receivable Account and credit to account specified for the Tax code.

3. Where you would be able to identify the TCS applicability only on creating the transaction, the TCS Tax code should be added manually to such transactions.

4. Following Accounting entry will be passed on Accounting for the AR Transaction:

Sundry Debtors Dr 11550

Scrap Sales Cr 10000

Tax Cr 500

TCS Collected Cr 1050

5. You have to generate TCS Certificates and returns outside India Localization.

Returns

137. RMA order is not picking the tax amount for the return order created with reference. OR Tax lines for RMA is created with Zero amount. Why does this happen?

Please check the following:

  1. Query the Shipment against which this RMA is being entered and ensure that the same has taxes visible. (If not, RMA Order will not have taxes, as the Original Invoice in such case will also be without taxes).

  2. Check that in the Sales Order Localized form the check if 'Allow GST Credit?' & 'Allow Sales Tax Credit?' have been marked as 'Yes'.

  3. Ensure that the Tax type for the tax code used is one provided by localization and is not a customized tax type.

  4. The value entered in 'Organization Additional Information' in the columns of 'Sales Tax Return Days' and 'GST Return Days' for the given Organization & Location combination is not null.

  5. The difference between Shipment date and RMA creation date is less than the value entered in 4 above.

138. How to handle a case where taxes are not defaulted on Credit Note generated for the Customer, due to missing setups?

Create a Manual Credit Note for the tax amount and match the same with Original Invoice. Use of Manual Register entry form can be made for updation of GST Registers in such cases.

139. Why is tax not recalculated when Modifiers are used in RMA created with reference?

As per localization functionality, the RMA Taxes are copied from taxes applicable at time of shipment & are frozen. The same cannot be changed in view of the legal requirement that Credit Note for an Invoice cannot have different tax compared to that of the Original Invoice. In case of any business requirement to have change in taxes, a separate Credit Note for such tax differential can be issued.

Alternatively, RMA Order can be entered without reference to the Original Shipment that will then allow user to change taxes.

140. Why is RG 23D Register updated both on Return and also on re-Shipment?

If a dealer has to take back the goods in his stocks & afterwards to resell the same to another customer under cover of an GST Invoice, in this situation the procedure prescribed by the Pune Commissionerate vide Trade Notice No. 18/87 Dated 11/12/1997 should be followed by the Dealers or Depots of the Manufacturers or Consignment Agents or Importers etc., who are registered.

Under the above The Range Superintendent can cancel the Original Invoice after verifying deletion of relevant entries in RG23D & confirming that no CENVAT has been availed at other end & allow the dealer to issue fresh cenvatable Invoices in the Name of the other Customer. The above is the basis of current RMA architecture in a Trading Organization.

141. Are GST Quantity Registers updated on Inventory Transactions that happens from the Staging transfer of Sales Order?

GST Registers will be updated based on the Item Class, subject to the condition that the Staging Sub Inventory is Bonded.

India Local Receivables

Following are the frequently asked questions in Receivables module

Taxes in Receivables

142. What should we check when taxes have not flowed to AR for Invoices created by using Auto Invoice?

Check the following:

  1. Sales Order had taxes attached

  2. Such Taxes can be viewed on querying the shipments in Fulfilled Orders localized. If not refer details given above.

  3. The Order does not have any exemption attached to it.

  4. The Program 'India Local Concurrent for processing Order Lines to AR' has been scheduled / run after Auto Invoice.

  5. Opening the form 'India Localization - Reprocessing Error OM Tax Records' does not show the same as stuck with any error. (This should be available under the menu Control -> India Resubmit AR Tax and Freight) If yes, resubmit the same and run the above program.

143. What can be the cause for the Taxes appearing in balance screen but not in distribution lines in Base AR Transactions screen?

This can happen in the following scenarios

  1. The 'India Local Concurrent for processing Order Lines to AR' has not been set as incompatible to itself and is being run simultaneously by multiple users.

a. Solution for this is to set the above program incompatible to itself.

a. In such case cancel all the scheduled requests of this program & schedule it to run with this parameter as 'Yes' from only from one Operating Unit.

144. Why do GST Taxes not flow to AR when Order Type is attached to Bond Register?

Liability of GST Duty on Sales made under Bond Registers does not arise and need not be charged to the Customer. However, such transactions are to be tracked through Bond Register.

This GST Amount in bond register is credited back in 'Bond Register' on submission of 'Proof of Export' using the Bond Register Summary screen.

145. What can be the reason for GST taxes not flowing to AR created in Trading Organization?

This happens in cases where the Trading Organization setup in Additional Organization Information has 'Order Price GST Inclusive' field checked. This means that price includes GST and the same is not to be recovered separately from the Customer.

146. What can be the reason for Tax line having Zero Amounts in Base AR Tables?

  1. This happens when an Invoice that has been imported using Auto Invoice and the Status is reset to Incomplete by the user manually. The cause of such issue is base applications behavior that replaces localization taxes with zero.

  2. The user should be aware of such behavior and should avoid setting the Invoice to Incomplete Status post import of the same from Order Management.

147. Why do Taxes on Non-Inventory Items, created through Generic line workflow without shipment, not result in taxes in AR?

Localization will process taxes from Sales Order to AR only for 'Bill Only Workflow' and any other method like 'Servicable Item' getting imported using 'Line flow - Generic' will not result in taxes. The Localization architecture is shipment based and above 'Bill Only Workflow' is an exception route provided for handling of GST Items. Further note that this kind of transactions will not have GST Invoice Numbers, as GST Invoice requires shipment as a pre-requisite.

148. Why do discrepancies occur in Shipment Taxes (lines are split during shipment) when compared with Sales Order?

Such discrepancy (when the same is of value Rs.1) can be as a result of rounding when the tax in the Sales Order is to be rounded off to zero decimals & the lines are split at time of shipment but again consolidated at time of Invoice creation.

Taxes in Receivables - Errors

149. Auto Invoice program results into an error of 'Unable to locate a valid Sales Tax Rate for transaction.'

The above error is results of partial setups have been done on the Base applications tax windows. Please note the following points on the Base application Tax Setup when you are using India Localization:

  1. Tax Method and Location flexfield selection has to be done in the System Options, as this is a mandatory setup requirement.

  2. Ensure that E-Business Tax setup for Tax code localization is carried out as shown in the Implementation Guide.

E-Business Tax Setup

150. How should I setup E-Business Tax Regime to Rates

Oracle E-Business Tax is a new product that provides the infrastructure for tax knowledge management and delivery using a global system architecture that is configurable and scalable for adding country specific tax content. As the single point solution for managing transaction-based tax, Oracle E-Business Tax uniformly delivers tax services to all E-Business Suite business flows through one application interface.

From Release 12 E-Business Tax replaces the Accounts Receivable tax engine that is present in Release 11i.

You will have to do a dummy Regime to Rates setup in E-Business Tax as detailed in this chapter. Please refer to E-Business Tax documentation for further information.

Please note that following steps to perform the E-Business tax setups are required for new implementations only. For existing Release 11i customers, migration scripts will ensure the required setups.

Step 1: Define “Party Tax Profiles”

Search for Operating Unit using the “Party Tax Profiles” page.

Navigation : Tax Manager – Parties – Party Tax Profiles – Parties Tab

Click on “Update Party Tax Profile” button.

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The following Flag should not be checked.

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Important: Please note that “Use subscription of the Legal Entity” check box must not be checked.

You will not be able to use India Localization if this flag is checked.

Step 2: Define Regime

Navigation : Tax Manager – Parties – Party Tax Profiles – Tax Configuration Tab

Following regime should be defined with exact values as shown below:

Following data should be entered while defining the tax regime:

Tax Regime CodeIN-SALES_TAX

NameIN-SALES_TAX

Regime Level: Country

Country Name : India

Effective Date : current date

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Set “Configuration Options” as follows:

You need to set value for “Configuration for Taxes and Rules” as “Common Configuration with Party Overrides”

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This setup needs to be carried out for once at the Legal Entity level and also for EACH Operating Unit in which you wish to use Oracle Financials for India.

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Step 3: Create Tax

Navigation : Tax Manager – Parties – Party Tax Profiles – Tax Configuration Tab

Create a Tax with following values:

Tax Regime CodeIN-SALES_TAX

Configuration OwnerGlobal Configuration Owner and Operating Unit *

Tax SourceCreate a new tax

TaxLOCALIZATION

Tax NameLOCALIZATION

Effective Fromcurrent date

Tax CurrencyINR

Rounding RuleDown

Applied Amount HandlingRecalculated

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* This setup needs to be carried out for once at the Legal Entity level and also for EACH Operating Unit in which you wish to use Oracle Financials for India.

Please enter values for “Tax Recovery Controls” as follows:

Allow Tax Recovery check box should be checked and “Primary Recovery Type” should be PREC1.

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Step 4: Create Tax Status

Navigation : Tax Manager – Parties – Party Tax Profiles – Tax Configuration Tab

Create Tax Status with following values:

Tax Status CodeSTANDARD

NameLOCALIZATION

Effective From current date

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This setup needs to be carried out for once at the Legal Entity level and also forEACH Operating Unit in which you wish to use Oracle Financials for India.

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Review your work in the Regime to Rate flow

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Step 5: Create Tax Rate

Navigation : Tax Manager – Parties – Party Tax Profiles – Tax Configuration Tab

Create Tax Rate with following values:

Tax Rate Code LOCRATE

Rate Type Percentage

Percentage Rate 0

Effective From current date

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This setup needs to be carried out for once at the Legal Entity level and also for EACH Operating Unit in which you wish to use Oracle Financials for India (for the purpose of creating tax rate at Operating Unit level you can use the 'copy' feature).

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Step 6: Update Tax Configuration Options

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Navigation : Tax Manager – Parties – Party Tax Profiles – Tax Configuration Tab

Review Configuration Owner Tax Options, ensure they are as following:

Navigation : Tax Manager – Parties – Party Tax Profiles – Defaults and Controls Tab

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Supplementary Transactions

151. Why does GST Amount on Credit Memo/Invoice remain zero?

In the above case it is most likely that the Assessable Value setup has not been carried out. As a result of this system replaces the new Assessable Value with Zero & hence assumes that the New GST Duty will be zero. Attach Price List in Customer Additional Information. Change of Tax Rate using Supplementary Transaction can be made only if "Assessable price" list is setup.

This is important in view that Client may require to create a Supplementary Invoice of tax rate change where there is a change in the assessable value of an item.

By not doing this setup, it indicates to the system that the "Assessable Price" is Zero & hence there is no GST to be charged for the given Original Invoice. If there is a change of price, in the Indian Scenario as a generic business requirement it normally also results in change of Assessable Value as well i.e., if A Debit Note is given for increase of Price, the client also requires GST Duty to be paid on such revised Assessable Value & issue Debit Note to the extent of the increase in Assessable Value.

152. What can be reason for Supplementary Invoices created without taxes?

The program “India Local concurrent program for processing order lines to AR" needs to be run, post which taxes will be visible with taxes.

153. Why is Supplementary invoice not created for Stock Transfers?

The functionality of Supplementary Invoice has been provided for raising Debit Notes and Credit Notes for Customers Invoices due to price or tax change. This is not designed to handle ISO's and Stock Transfers as primarily ISO's and Stock Transfers do not have AR Invoices.

154. How can we create a Supplementary GST Invoice in a Trading Organization?

Supplementary transactions can be raised on account of the following

  1. Price change for a retrospective period

  2. Change in Tax Rate for retrospective period

For sales made from a Trading Organization, GST Amount is determined by matching a delivery detail with Receipts. Hence the question of rate change does not arise under Trading scenario. If however, a correction is sought for in the RG23D records or additional D/N to Customer, the same can be done by passing manual entries in RG23D and creating a Debit Note to Customer using Transactions Localized screen of AR.

155. Can we raise an GST Invoice for Zero shipped quantity?

GST Laws are applicable only on the event of removal of goods & hence India Localization is based on the event of Shipping. For passing of entries in GST records where the shipped quantity is zero, it is recommended to use GST Register Entry screens such as Manual PLA, Manual RG1 entry, Manual RG23A/C Entry.

Supplementary Transactions - Errors

156. Import of a supplementary transactions using Auto Invoice is rejected with the Error 'Invalid tax_code (Localization)'. Why does this happen? How do we resolve this?

Cause

This happens in cases where 'Localization' Tax Code is not defined in E-Business Tax.

Solution

Ensure that a Tax Code is defined in E-Business Tax as per details provided in User Reference Manual.

157. Import of a supplementary transactions using Auto Invoice is rejected with the Error ''Salesrep id is not valid' or 'Sales_credit_type_id is not valid'. How do we resolve this?

In the Transaction source setup, 'Auto Invoice options' tab, Allow Sales Credit has to be unchecked

158. Import of a supplementary transactions using Auto Invoice is rejected with the Error 'CUST_TRX_TYPE_ID is nil'. How do we resolve this?

In the Transaction source setup, 'Other Information' tab, Transaction Type should be selected as Value. Taking id here will result in Auto Invoice rejecting the Invoice saying that the CUST_TRX_TYPE_ID is nil

159. Import of a supplementary transactions using Auto Invoice is rejected with the Error “You must supply an Invoice Number when you”. How do we resolve this?

Please query the Transaction source. In the 'Batch Source' tab, Automatic Transaction Numbering has to be unchecked.

TDS in Receivables

160. How do we handle errors in Autoinvoice which occur while importing TDS Credit Memos?

Refer articles provided under Supplementary Invoices and rectify the setups based on the error message seen.

161. Why does TDS Credit Memo not display Customer's and sites?

Please ensure that the following are done.

  1. The Customer Additional Information is setup.

  2. The Customer Site level info is setup in above screen.

  3. There are Invoices created for the Customer Site.

162. While Creation of TDS Credit Memo how to enter Account for debiting in case of Autoaccounting setups?

  1. Create a Standard Memo Line in base applications using the menu path 'Setup -> Memo Lines'.

  2. Assign the Account that needs to be debited.

  3. Use this memo line in the field 'Memo Line' which is non-mandatory in the TDS Interface India Localization form.

TDS in Receivables - Errors

163. What setup should I check when the Autoinvoice ends with error “Primary salesperson is invalid with current transaction date”?

The following setups are mandatory for the successful interfacing of TDS Credit Memo to AR Invoice:

1. Please ensure that a Base apps Tax Code is defined in your system as per the E-Business Tax definition explained in this document.

2. Please ensure that the following steps to define the 'TDS Credit Memo' source in AR are followed properly:

a. Go into the Set up Transactions - Sources - Add a new record with the following entries. (i.e., Make a new Batch Source ).

i. Name: TDS Credit Memo

ii. Type Imported

iii. Description: TDS Credit Memo

iv. Active: Checked

v. Standard Transaction Type: Credit Memo

b. In the same form Go into Autoinvoice Options:

i. Ensure that the following Entries exist for the same Batch Source

1. Invalid Tax Rate : Correct

2. Invalid Line : Reject Invoice

3. GL Date in a closed Period : Reject

4. Grouping Rule : Default

5. Allow Sales Credit - Checked.

ii. Go into Customer Information

1. Ensure that Value is clicked for Sold to Customer , Payment Method Rule, Customer Bank Account . Id is ticked for Bill to Customer , Bill to Address, For the rest None should be clicked

iii. Go into Accounting Information and ensure that the following set up exists :

1. Invoicing Rule : Value

2. Accounting Rule : Value

3. Accounting Flexfield : Segment

4. Derive Rate is Ticked

5. Payment Term : Value

6. Revenue Account Allocation : Percent

iv. In Other Information all first options are clicked

v. In Sales Credit Information - All Last Options are clicked.

vi. The source 'TDS Credit Memo' should NOT be created with 'Automatic Batch Numbering' and 'Automatic Transaction Numbering' options. Leave all the options blank since the Credit memo is created with a pre-defined transaction number

c. Autoinvoice has to be run with the batch source as 'TDS Credit Memo'

d. If the Sales Rep is used for Autoaccounting, the relevant accounts (Receivables, Revenue, Freight etc.) need to populated in the 'No Sales Credit' sales person record.

e. It is also possible to enter a pre-defined Memo line in the 'TDS Certificates' form while entering the details of TDS Certificates received from customers and this Memo line shall be defaulted to the TDS Credit memo generated. The system shall pickup the revenue account assigned to the Memo line for auto accounting in such cases if the Auto accounting is set to 'Standard Line'.

Manual Transactions

164. What should we check when GST registers are not updated on completing an Manual AR Transaction?

Ensure that the following is done

  1. Organization and Location are setup in Additional Information is setup

  2. The Customer Additional Information is set up at Customer Null Site and Customer Site.

  3. The Tax Code is setup with type as 'GST'

  4. The Transaction Type (Invoice) is associated in 'Define Bond Register' Form.

  5. The Item used has an Item Class setup at the Organization Items level in the Item Template form and is setup as Excisable 'Yes'.

  6. Record for this Item exists in the JAI_INV_ITM_SETUPS.

  7. The Invoice has a Tax Code, which corresponds with the above-mentioned setup.

  8. The Invoice is Completed.

  9. GST Invoice Number Field on the transaction gets populated.

165. What do we have to do to have AR Transaction Number to be same as GST Invoice Number ?

GST Invoice Number that has been entered as 'Pre printed GST Invoice' in Fulfilled Orders localized appears in Transactions (Localized) screen provided you enter the same prior to Auto Invoice & running the Tax program.

The above can be used for reconciliation if required.

In case of Manual AR Invoice also, provision has been made to enter such 'Pre printed GST Invoice' in Transactions (Localized) screen.

The Transaction Number, which appear in AR is an Base Apps Number and hence as such cannot be replaced by localization. Also, no such need is felt mainly when such Number has already been populated in the Transactions (Localized) screen.

India Localization architecture is restricted only till inserting tax lines in AR. There is no localization code (No kind of Form / Trigger / Procedure) at time of entering Receipts / collections or applications of the same. This part is completely handled by Base applications and is beyond scope of the current localization product.

166. Why is Journal Entry not created for GST Duty amounts included in Manual AR Invoices?

The entries are created with 'USER_JE_CATEGORY_NAME' as 'RG Register Data Entry' and the same needs to be setup and imported for seeing entries in GL.

Reports

167. Why does 'India Total Sales Report' show 'No Data found'?

Total Sales Report is expected to work only if data is available in Localization tables and the Transaction has Sales Tax / CST type of Taxes attached. This report also requires that the Customer Additional Information at Site level be setup.

India Local Fixed Assets

Following are the frequently asked questions related to Fixed Assets module.

Depreciation Based on Block of Assets

168. What can be the reason for the block of assets not appearing in the Block of Assets UI ?

Check the following:

  1. Check whether 'Block Of Assets' have been defined and 'Periodwise Depreciation Information India Localization' screen is setup for the BOOK TYPE CODE, to which the assets are added.

  2. Ensure that the Date Placed In Service of the asset falls in the Financial Year period, which is defined in the Block Of Assets Screen.

  3. You should enter into the Block of Assets UI only after entering the values in all the other fields of the Base form and after saving the record.

  4. It is required to enter the value, first in the field 'Date Placed In Service' of the form. Then you should enter into the above UI.

169. How to upload the Old Asset Information from the Legacy System?

Following procedure should be followed to upload the legacy data:

  1. For example, if the assets are added right from the year 1980, then, first define the Block Of Assets for the financial year 1980.

  2. Upload, first all the assets having the Date Placed In Service in the period 1980, by giving the Date Of Acquisition and block id in the Attributes 1 and 2 respectively of the table FA_MASS_ADDITIONS. Then POST Mass Additions.

  3. After the assets are brought to the Asset Workbench, then check whether you are able to view the Block Of Assets attached to the assets or not.

  4. Then run the program 'India Income Tax Act Fixed Assets Schedule' for the year 1980.

  5. This will calculate the localization depreciation for the block of assets and will arrive at the closing balance for the year 1980. This also, will create another record in the 'Block Of Assets' Screen for the year 1981 giving the opening balance equal to the Closing Balance of the year 1980.

  6. Then the user has to upload all the assets falling in the year 1981.

  7. Repeat steps 1 to 6 to upload other assets

170. What can be reasons for the block of assets not appearing while adding the assets, even though the setups are complete?

The user will capture the Date of Acquisition and Block of Asset information in this new UI.

User will have to complete the asset addition in Base FA and come to the India Localization screen to assign the Block of Asset and Date of Acquisition.

The user had the flexibility to assign a Block Name to multiple assets at one go which will increase the usability significantly.

Also, the date placed in service (which is given at the time adding the asset) will be defaulted as the Date of Acquisition. This date can be changed by the user. A comprehensive query finds window has been given for this purpose.

171. What can be reason for new Block Of Assets not appearing in the screen 'Define Block Of Assets' for doing the setup?

Complete the following steps for the resolution of the issue:

  1. Navigate to India Local Fixed AssetsSetupQuick Codes

  2. Query the Quick Code Type 'BLOCK OF ASSETS'

  3. Under this, add new Quick Code Value. For example: Vehicles Block. Save the record.

  4. Navigate to the 'Define Block Of Assets' Screen. Press CTRL+L. You will be able to view the new block of assets.

Interpreting PO-AP Diagnostic Scripts

Use the following information to interpret the spool of the Diagnostics Scripts

1. Receipt Details:

From the tables RCV_TRANSACTIONS and RCV_SHIPMENT_HEADERS, you can check whether the user has selected the correct context (i.e.ATTRIBUTE_CATEGORY).

a) For Receipts:

  1. Attribute Category will hold India RMA Receipt or India Receipt based on the Source document.

  2. Attribute 1 will hold the value of GST invoice no.

  3. Attribute 2 will hold the value for GST invoice Date.

  4. Attribute 3 will clarify whether the CENVAT was availed online or deferred.

b) For Supplier Returns:

  1. Attribute Category will hold India Return to Vendor.

  2. Attribute 4 will hold the value of Generate GST Invoice no=Y/N.

  3. When Attribute 4= 'Y' and if excisable Receipts are returned to the supplier then CENVAT entries and the registers will be reversed. This will help in checking the India Return to vendor report does not show output.

  4. From the tables JAI_RCV_LINE_TAXES','JAI_CMN_RG_23AC_I_TRXS', 'JAI_CMN_RG_23AC_I_TRXSI', you would know whether the correct GST duty attached to the shipment lines has hit the RG registers or not.

2. Details of Source document for which Receipt is created.

a) We can find the Source document details against which Receipt is created

3. Sub-ledger Accounting entries

Table JAI_RCV_JOURNAL_ENTRIES holds the accounting entries for the following transactions:

a) Receiving:

Receiving is further divided into Receiving Entries and CENVAT entries. CENVAT entries are generated only for Receipts having GST taxes attached.

b) Delivery:

Accounting entries are stored based on the Costing method i.e., Standard or Average costing.

c) Return to Receiving:

Reversal entries of Deliver transaction.

d) Return to Vendor:

Reversal entries for CENVAT and Receiving are stored in this. TableJAI_RCV_SUBLED_ENTRIES will help in reconciling Receiving Inspection account:

These tables will help in validating the accounting entries of Sub ledger with GL. We can compare the data between the tables 'JAI_RCV_JOURNAL_ENTRIES' and

'GL_INTERFACE before Journal Import' or 'GL_JE_LINES after Journal Import'

4. General Ledger Accounting entries:

Following are the columns in GL INTERFACE helps in identification or tracking the transaction:

reference1 :organization code

reference10:Transaction Description

reference22:'India Localization Entry'

reference23:Object Name

reference24:TAble name

reference25:Unique Reference of the Table

reference26:Column of the Table for which the unique reference is populated.

reference27:Organization_id

Following are the columns in GL JE LINES helps in identification or tracking the transaction during the audit trail:

Description: Description

Reference_2 : India Localization Entry (Hard Coded Value)

Reference_3 : Object Name

Reference_4 : Table Name

Reference_5 : Value

Reference_6 : Column Name

Reference_7 : Organization Id

GST Register Details

From tables JAI_RCV_LINE_TAXES', 'JAI_CMN_RG_23AC_I_TRXS', 'JAI_CMN_RG_23AC_I_TRXSI', you would know whether GST duty attached to the shipment lines has hit the RG registers or not. This will help us identifying the Inconsistent transaction Data.

a) Data in JAI_RCV_CENVAT_CLAIMS will provide the adequate info about the CENVAT entries below are the important columns help in analyzing the issue.

6 India Localization Setup Details:

Organization:

The 'Additional Organization Information' setup details, i.e., the register preferences, Charge accounts, can be had for that particular organization from the table

' JAI_CMN_INVENTORY_ORGS'.

Some of the important fields are:

a. SSI_UNIT_FLAGwill tell whether allow negative PLA is allowed.

b. Trading flag: will classify whether the organization is Trading.

c. Manufacturing flag will classify whether the organization is Trading.

d. Master org flag to classify whether the organization is master org enabled.

Item:

The item level setup, for which the receipt shipment lines got created, can be checked from the table 'JAI_INV_ITM_SETUPS'. From the data, you would know whether the item class is. Also, you would know the Organization trading info.

Following are the columns for which details explanation is provided.

a. GST_flag: holds Y/N, If 'Y' then RG registers will be updated.

b. Item_trading_flag: holds Y/N, If 'Y' then RG23D registers will be updated.

c. Modvat_flag: holds Y/N, If 'Y' then Receipt will appear in claim CENVAT screen and CENVAT entries will be generated.

d. Item_class: RMIN, CGIN, FGIN, OTIN etc., Item class is important to generate the proper accounting entries.

i. RMIN/CGIN will update RG23A/C registers.

ii. OTIN-Does not have any impact on GST registers.

Sub inventory:

From the table 'JAI_INV_SUBINV_DTLS', you would know whether the sub inventory is a 'Bonded' or 'Trading' . Based on the bonded flag reversal of CENVAT entries will be dependent at the time of delivered.

Taxes

From the table 'JAI_CMN_TAXES_ALL', you would know the tax type of all the taxes attached to the shipment lines of the receipts.

a. Tax_account_id: When the charge account is specified withMod_cr_percentage less than '100', non recoverable amount will be apportioned to this account.

b. Modifiable_flag: If 'Y' allows to modify the tax at transaction level.

c. Mod_cr_percentage: For GST taxes if the %=100 then the Receipt will appear in Claim CENVAT screen and CENVAT, GST registers will be generated.

d. GST flag: This will classify the tax as GST tax.

e. Adhoc flag: This will help the user in giving the adhoc amount, tax calculation not based on precedence.

Interpreting OM-AR Diagnostic Scripts

In scenarios, where you find that India Localization Taxes are not carried from one stage to another or certain localization processes do not yield desired results, we recommend you to run the diagnostics scripts and read through the interpretation guide to trace the root cause.

1. GST Invoice Number not generated

You would know that GST Invoice is not generated when there is no value in GST_INVOICE_NOfield of JAI_OM_WSH_LINES_ALL table.

Following can be the possible reasons:

  1. Item should be excisable. This setup is complete whenJAI_INV_ITM_SETUPS. GST_FLAG = 'Y'

  2. Item class should be defined and should not 'OTIN', 'OTEX' - You can check this from JAI_INV_ITM_SETUPS. ITEM_CLASS IS NOT NULL and IS NOT 'OTIN' or 'OTEX'

  3. Order and Register association should be either 'DOMESTIC_GST', 'EXPORT_GST', 'Bone-dry' for manufacturing organization and '23D_DOMESTIC_GST', ' 23D_EXPORT_GST', 'BOND_REG' for a trading organization. For this you should look into REGISTER_CODE field of JAI_OM_OE_BOND_REG_HDRS.

  4. No record exists in the JAI_OM_OE_GEN_TAXINV_T table for the sales order

  5. No errors are in the JAI_CMN_ERRORS_T table with application_id as 'JAI_OM_WSH_PKG'

  6. Enough balances are available in the JAI_CMN_RG_BALANCES table for the organization and location id

  7. If Register association is 'BOND_REG' check that the amount in 'JAI_OM_OE_BOND_REG_DTLS' is more than the shipment amount.

2. GST invoice number is generated as '0'

Following can be the possible reasons:

  1. Financial Year setup should be done. For this record exists in the JAI_CMN_FIN_YEARS table

  2. GST Invoice Number setup should be done. At least one records exists in the JAI_CMN_RG_EXC_INV_NOS table for the combination of Organization id , location id and fin year combination

  3. If GST invoice generation at EC code is setup in the organization additional information screen, then the current org should either be a master org or a child org associated to a master org and its 'GST invoice number at EC Code' field checked.

3. Error

'Mandatory India Localization Sub-inventory Setup not done for this Location from where shipment is made' encountered when fulfilled order a sales order

Check if record exists in the 'JAI_INV_SUBINV_DTLS' table for the organization, location and subinventory combination.

4. GST Taxes not imported to AR Localization tables

Check if

Register Association of the sales order is 'BOND_REG'

Check if the order_price_GST_inclusive column in the JAI_CMN_INVENTORY_ORGS table is 'Y' for a Trading Organization

5. When a Return order is done with reference to Sales Order, Taxes are not defaulted

Check if