7. Stamp Duty Taxation

7.1 Maintaining Stamp Duty Taxation

You can collect stamp duty from the customers on the closing debit balance of the current accounts at the end of every quarter. Each branch maintains this amount in their GL and then transfers the amount to the HO. The HO consolidates the amount received from all branches and pays it manually to the government.

Note

• You need to uncheck the option ‘Available Balance Check Required’ in the Transaction Code Maintenance Screen [STDTRNCD], to force debit the stamp duty amount for the transaction code used in the accounting entries.
• The System Data Element, CURRENT_BAL, is used to obtain the closing balance of an account.
• The User Data Element, STAMP_DUTY, is used to define the for stamp duty rate for an account.

Using the above SDE and UDE you need to create a formula and link it to the accounts.

For details on the interest rule, refer the chapter, Annexure C - IC Rule Set-up.